Network Marketing: Scam or Superman Business by Lawrence E. Kepecs



Network Marketing In a world of utter disappointment, where people swim upstream in a sea of financial troubles, where debt outweighs profits, and foreclosures rule the middle class, there appeared one glimmer of hope wrapped in the tool of Network Marketing. Perhaps the most incredible game designed to make the most incredible amounts of money for its players. No, I’m not talking about baseball, or football, but rather a game that you can orchestrate yourself to win millions of dollars at a time. I am talking about a game that you choose your players, and that utilizes all of its players’ skills to the nth degree; a game that, if done properly and perfectly, can make you 11 million dollars at the 10th level, with more money beyond that. This is a real game, that really exists; a game far beyond slot machines and casinos; a game that has the ability to release the shackles that are fastened upon you, perhaps pay off your tuition, your debts, your student loans, and put you on the road to freedom; a game that utilizes the power of the many outweighing the power of the one, leveraging a myriad of workers in a team to be able to generate life altering amounts of money for all in that team through the model of Residual Income. If one were to take a look at the structure of one such program’s Money Diagram one would understand more about what I’m getting at. Network Marketing: is it the business of the 21st Century, as Robert Kiyosaki explains in his Rich Dad’s Guide to Financial Freedom? Is it the way business will be conducted in the future as Donald Trump and Warren Buffet’s Network Marketing companies feel?

Or haven’t you heard from your struggling brother-in-law, Network Marketing can’t possibly work. It looks great on paper, but when it comes to reality, it’s a scam. It’s a Pyramid Scheme, so it’s designed to fail and therefore is illegal and immoral. Only the people at the top make money.

How many of us have heard these views throughout the years? How many of us have even thought these things ourselves? It seems at times that the more education we may have, the more we question the validity of the world we live in, as well as the Network Marketing model.

Companies need to advertise their products and services as inexpensively as possible.   When Sprint and MCI were starting out, trying to break into the long distance business, they were having a tough time until they decided to utilize Network Marketing. MCI went with Amway, and Sprint went with Network 2000 to distribute their long distance service. Sprint gained 1 million customers in 9 months time. So from this we see that Network Marketing really does work for companies when it is done correctly.  Now imagine making a deal with a network marketing/ direct selling company that will advertise your products in their own way.  Utilizing their 300,000 independent representatives, they sell your products.  In fact, a large percentage of its own workforce – the independent representatives themselves, will purchase your products to learn more about them, use and sell and will therefore make a commission on their own useage.

As an independent representative, I simply show the business presentation to a group of people who want a change in their financial life, and the lives of their families. Perhaps maybe some of them have lost their jobs, or are about to lose their homes. I get 2 or 3 people to sign up under me, and they each get 2 or 3 people under them. The end result is we have a group of 12 people who are ready to expand their business to have a better life for their families. Leadership incentives are available, as well as travel incentives and a new vehicle.  Different companies have different structural systems.  Some form separate  teams who compete and are therefore not as efficient, and some, like the Leadership program I’m in, work together in one line, as a team.

For those who consider this kind of business utilizing passive Residual Income a “scam,” let’s consider the facts. The thoughts, “only people at the top make money,” or “it’s a pyramid scheme.” If we were to look as the company you work for: who makes the most money in it? Perhaps the President, or CEO, followed by the members of the board, followed by the executives, followed by the managers, followed by the peons in the company- the cashiers who are making minimum wage, and are doing most of the work. Does this business model sound like an ancient structure we mentioned earlier- the pyramids? How about the government? It’s structure too, contains a head- the President and Executive Branch, followed by the Legislative and Judicial Branches followed by the rest of the people. So the idea of a triangular structure exists in all walks of life. It happens scientifically, that the pyramid or triangle is the strongest geometrical shape. Shrouded in antiquity, some of the ancient Egyptian pyramids are actually older than 4,000 yrs., and the Sumerian pyramids, aka ziggurats, are as old as 6,000 yrs., at the dawn of civilization.

Can one, however, apply a physically strong geometrical shape to a business concept? My response to that question would be, why can’t we? What is nice about good Network Marketing businesses is that it forces a team of builders to develop, who work together in harmony for a common goal- that is to help the whole team prosper. As the team grows, it becomes more prosperous for the peons in the group as well as for its hierarchy.  Walmart has thousands of distribution points called stores, which sell products.  The more distribution points it develops, the more products are sold, the more money is generated.  The same is true in network marketing.  The more distribution points you develop aka representatives, the more products are being sold, the more money is generated for you.  Walmart stores are millions of dollars to run.  Your own mini-Walmart, your Direct Selling business is a few hundred dollars a year to operate.  90% of brick and mortar businesses fail in the first year, and Direct Selling businesses are no different.

A problem that develops in this business model is that people are human. Humans are by nature, skeptical. Skeptics for the most part are not willing to try new things. This becomes a problem in this industry with non business-minded people. In theory and on paper, the model is fantastic, and can make a lot of money for its participants if they are persistent, and willing to learn new ways of thinking. The drawbacks are that we are attempting to recruit new people who are by nature, skeptical and probably not business minded, and so never join. The few that do take the plunge are often up against a sea of negativity, from everyone else. So not only are you trying to build a legitimate business while swimming upstream in piranha infested waters that are inhospitable to Network Marketers, but it gets exhausting trying to defend the industry, before we even begin explaining the payplan!! Pushing a freight train does get exhausting after a while, but if one can get it to move, it can be difficult to stop also.

The other problem that develops is the upline’s detachment from your organization. Sure, your upline will supply you with great videos, webinars, telephone conferencing, and motivation. From past experiences with previous companies, I can tell you that with many companies, that is usually the extent of it. If you are working hard and are not bringing in the people for whatever reason, they do not seem to care. You end up being just a number and your upline forgets about you, which is why there is a large dropout rate. Ideally, if you are successful, so too, will your upline be successful, so it really is in their best interest to help you in whatever ways they can. They should want to place extra distributors in your downline, to help your business grow, so their businesses will grow too. Unfortunately, the reality of it is that some uplines simply do not care enough to help. This is a major problem to overcome in this industry which my leadership association has addressed.  They have actually kept the good parts of the industry, and changed the bad parts to make them work ethically and efficiently.

If everybody reading this article who is having a “Recession Malfunction” in their finances were to sign up right now in a specific business, would it not be a huge success for the entire team that signs? In fact, one could pretty confidently say that an individual would probably not have any more financial problems if the team were built properly. In most Networking companies, there would have to be training on many different levels, from the traditional to the non-traditional marketing ways. Some ways may work better for yourself, other ways may work better for others, but the idea is to try various methods in order to see what works for you, and what does not. If the traditional methods are not working, one should exercise flexibility in one’s thinking, and try some non-traditional ways. With my association, there is a proven method that works extremely well, and is taught to every member.

Ask yourself, am I happy with my current financial situation? If not, what are all the possibilities on the table for me. Be open to new ideas and try other options besides the traditional 9-5 working business model. Whether or not you decide to use Network Marketing as a tool for yourself to establish financial freedom through a passive residual income, maintain the positive mentality that you must beat The Recession instead of having The Recession beat you.

Read about Lawrence E. Kepecs’ other news items:

Lawrence Kepecs Discovers a Cure

How I lowered my cholesterol naturally

Lawrence Kepecs Discovers cure for stubborn warts, Basal Cell Carcinoma, and Toe Fungus

Religious Leader and Teacher Offers Financial Therapy for Entire Communities

How I Discovered A Solution to Organization’s Financial Difficulties

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4 Responses to Network Marketing: Scam or Superman Business by Lawrence E. Kepecs

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