Chapter 1. What is Network Marketing?
Network marketing is another form of direct marketing. Managing a
distribution network is more important than sales.
The networker starts building his own company before helping other business
partners create a company like a franchisor.
Unlike franchising, where only one company opens new markets, any
independent business owner in Network Marketing can open up new network
businesses, but with the low financial investigation and without risk.
A networker is responsible for network management and marketing
promotions for this branch network.
Another role of the Marketing Network is to create a transnational company
with the assistance of international partners. Network marketing is typically
one of the best examples in Europe of how to use a single European market.
A report says the overall sales in Network Marketing (approximately EUR
300 million p.a) in Germany are still very high but are expected to be quick.
The market in Ukraine (Nov. 2003) has just started, and the market in Russia
will also begin in 2004. Therefore, in the next few years, we will see
unparalleled and exponential business growth in these countries. If you are
from Ukraine or Russia or know people there, you may directly benefit from
it. You could allow them to create their own business.
This was only an example, for instance with more exciting success stories
from other countries. Sweden, Korea, and so on, and the potential is
comparable in all funded countries.
Across Europe, the network marketing business is still in its infancy.
Currently, network marketing accounts for only 0.7% of trading.
Therefore, this distribution channel has enormous potential for worldwide
future development.
Network marketing performance's three pillars are (1) remaining income; (2)
leverage; (3) advertising duplication network;' MLM' and multinational
marketing, all the business model of the same. While many close-minded
people abroad (and other people who tried and failed) have partial and
negative misunderstandings, this business model is extremely successful,