by Gordon Hamilton

Created on: June 22, 2009

The general public's impression of network marketing is such that equating network marketing with social justice may seem to most like creating very strange bedfellows. The reality is, however, that network marketing and social justice go hand in hand if a number of criteria are fulfilled and all those involved devote their time and their efforts to making the concept work.

Network marketing is where a company which produces a product or provides a service markets its products via a series of networkers, who are generally paid a commission both for selling the product and for introducing others to the company. What these people who undertake to market the product or service essentially do is convince potential customers of the benefit of the product or service and to sign up for same. There are naturally a great deal of unscrupulous companies who engage in network marketing and great care has to be taken to ensure that before becoming involved to any extent, the parent company are investigated as far as is at all possible.

When a company is starting off in network marketing, they will initially recruit a number of networkers who will subsequently form the top level of what will essentially become a pyramid. These networkers will begin the process of promoting and selling the company's products - generally via word of mouth - to people whom they know well or with whom they are at least acquainted. This will of course depend upon the networkers being convinced of the benefits of the company's products or services or they may very well stand to lose the favour of a number of friends and relatives! For each sale that is made, it is likely that the networker will receive a commission from the parent company.

The second way in which the top level networkers will earn money is by introducing new workers to the company. These new individuals will market and sell in exactly the same fashion but what will happen is that the person who introduced them will gain a small payment from the company - not from the second level networker's share of the profits - for introducing that person. This process will continue down the line with very often networkers up to five levels above receiving a payment for every sale made in levels below them.

It can therefore be seen that if the company's products are of quality and value, the company will gain tremendously from this system, the networkers will gain at all levels and the customers will gain from benefiting from the product or service. It is not difficult to see in this respect how network marketing and social justice go hand in hand and how at the end of the day, everyone is happy.

Learn more about this author, Gordon Hamilton.
Click here to send this author comments or questions.