Sunday, March 9, 2008

Have I Got A Deal For You!

In the preceding post, "Just Sign Here", I explained how the talents of lawyers are used to hide the lack of integrity and network marketing experience of the leaders of a company. That is, reding the contract (P and P).

Since contract reading can be time consuming a field sobriety test of sorts has been devised to determine if the company and its master distributor are drunk with unethical behavior, thusly driving similar behavior in the field.

There's a good reason these guys have sweaty palms and shifty eyes.

The FTC (Federal Trade Commission) defines a pyramid scheme, in part, as a company who's main money making method is recruiting without providing a product of value. Running a pyramid scheme is often the reason company officers and master distributors get locked up.

To create the illusion of retailing as their main way of making money companies offer products or services at a morbidly obese retail rate and tell prospects their wholesale rate is a reward for becoming a productive rep.

Many of these products can be had at Wal-Mart and the like for much less. So the first thing we're looking for in this test is deceptive behavior from the company that drives "garage qualification" in the field.

Reps garage qualify by buying more product than they can use just to get a check. Front loading, a knee jerk response to a recruiting oriented compensation plan, is the second thing to look for in this test.

Reps doing this want to get some of that money back. So they turn around and unload that excess inventory by offering them on auction sites under a fictitious name.

To conduct this test and see if this is going on in a company search for their products at:

Amazon.com
Ebay.com
Google.com
Yahoo.com

Well officer (BURP!) how'd I do?

Multiple auction site offers of a company's products tell you four things:

1. Recruiting is what the company is really rewarding.
2. The leadership is motivated by greed and ego.
3. The reps in the field are front loading just to survive.
4. The products are grossly over priced.

Conclusion

Do you want to build a profitable network marketing team? Is long-term wealth your goal? Do this simple search before you join any company. Chances are you will be glad you did.

I appreciate you,

Bill Tessore

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