Pro’s and Con’s of Network Marketing: Know them and you won’t be disappointed

Are you thinking about getting a network marketing distributorship? If yes, undoubtedly you are considering all the pro’s and con’s of network marketing.

Network Marketing Defined

Before getting involved in a network as a distributor, be sure you understand the meaning of network marketing, and this includes knowing the pro‘s and con’s of network marketing.

Network marketing -- also known as multilevel marketing -- is a system of selling goods or services through distributors.

First: the pro’s of network marketing:

There certainly is something to be said for having complete control over your work schedule. Imagine having the ability to work full-time or even part-time and to do so from the comfort of your own home. No commuting, no office attire, no annoying bosses or co-workers to deal with!

It’s true not too many regular “jobs” offer this type of opportunity.

The internet is another “pro” of network marketing because it has made it so much easier for network marketers to reach potential customers. The web has revolutionized the way consumers shop – researching products online and narrowing our list of must-have product features and brands.

What could be better for a network marketer than connecting with such motivated and informed consumers who don’t have time to waste running around shopping?

As you know, there are many well-known, successful and reputable network marketing organizations -- but there are also some companies with questionable business practices that give network marketers a bad name unnecessarily.

First the Pro’s and Now the Con’s of Network Marketing

Starting out in a new business can be tough at first, particularly if all your income depends on sales volume. The key is patience and perserverance and making sure you have realistic expectations about the business.

Here are some suggestions from the US Federal Trade Commission on what to look out for when considering the pro’s and con’s of network marketing:

• Beware of plans that ask new distributors to purchase expensive inventory. These plans can collapse quickly -- and also may be thinly-disguised pyramids.
• Be cautious of plans that claim you will make money through continued growth of your "downline" -- the commissions on sales made by new distributors you recruit -- rather than through sales of products you make yourself.
• Beware of plans that claim to sell miracle products or promise enormous earnings.
• Beware of shills -- "decoy" references paid by a plan's promoter to describe their fictional success in earning money through the plan.
• Insist on taking your time to think over a decision to join. Talk it over with your spouse, a knowledgeable friend, an accountant or lawyer.
• Avoid any plan that includes commissions for recruiting additional distributors. It may be an illegal pyramid.

The best advice when considering the pro’s and con’s of network marketing is to do your homework, check with your local Better Business Bureau and provincial authorities about any plan you are considering. Then you will be better able to carefully weigh the pro’s and con’s of network marketing and make the right decision.

Click here for a free work at home career assessment now! »