I went to a seminar last night for OG (organo gold) and I had a apipheny. Network marketing is really marketing. Not a scam. The only thing is most people dont realize they are the customers also.
Case in point. To make money you need to either sell the product or get someone under you to join. You get paid for everyone else under you from either them reordering for more product or them getting other to join. Essentially getting paid off of their registration fee or reordering. In the end you are only getting a percentage of the true amount that is being made. You are profiting from getting the word out about this product (marketing) and buying the product from the company (customer) only to sell the product again for a profit on your end(distributor).
The company is making out because you are a salesmen or a middle man. You are not an employee of the company even though they are paying you. You are like a street team for a rapper that just so happen to sell his CDs out of your trunk.
Another industry that is similar but is more up front about it is building supplies or tool sales. The good thing about this is if you can sale water to a whale, you are perfect for this. But if you cant, you are always underneath someone and you usually have alot of product on hand.
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