Truth on MLM

Wiki Article

Truth on MLM, also known as network marketing, is a strategy where sales representatives earn not just from their personal sales, but also from the sales made by people they recruit into the business. These recruits are referred to as a “downline,” and the original seller earns a commission based on their activity.

MLM companies often sell products like health supplements, cosmetics, kitchenware, or digital services. Examples include Amway, Herbalife, Mary Kay, and Avon.

Unlike traditional businesses, MLMs operate by encouraging participants to act as both consumers and recruiters. This hybrid model often creates a cycle where the success of the top depends on the recruiting efforts of the bottom.