Thursday, December 1, 2022

Network Marketing Business Models

July 22, 2011 by  
Filed under Affiliate Marketing

Sharp entrepreneurs have discovered a new and exciting business model for network marketers. You may be surprised at how logical the business model is. But you can still take full advantage of it for your own business success.

Many new ideas represent a natural progression from existing events and technologies. Without the wheel, who would have thought of inventing a bicycle? And without the bicycle, would the Wright brothers have ever built or flown an airplane? How about adding machines and calculators and typewriters and computers? You get the point. And so it is with this new and exciting business model.

First, business model “A” realized that if he identified or produced a really good product, he could make money by advertising and selling it to his personal customers. He later discovered that if he could show other independent representatives how to market and sell his product to their own customers, he could reduce his expenses and sell more total products. He could also afford to share his profits with these reps. It was a win-win situation for business model “A,” for his independent reps, and for all those satisfied customers.

As businesses and corporations expanded worldwide, giant discount stores were opened. These businesses offered huge numbers of products to many thousand of customers. They kept their overhead low by selling from enormous warehouse-type stores with no concern for design or beauty. They purchased in large quantities at lower unit prices, thus, they could sell products for less than independent business people. This business model has been very successful, and severely impacted the small home business owner.

A later business model was discovered when the Internet was developed. People learned that they could purchase products from the comfort of their own homes. There was no longer a need to drive to a distant store, fight crowds, search without assistance for merchandise, and haul home large quantities of bargain priced goods to store in the garage. Internet shopping hurt the business of small home business owners and discount chain stores.

Savvy entrepreneurs dislike having their businesses put at risk. Independent thinkers all, they are also typically accurate observers of trends. they enjoy working independently, being paid what they personally decide they should earn, and dictating the conditions under which they perform. A few of them studied the trends around them and came up with a brilliant solution.

Many of these small business owners had very good businesses before the discount stores ruined their chances of success. Some survived to see the Internet steal away even more of their customers and their earnings. But by carefully observing the trends, some of them realized that a magic solution might exist, if they capitalized on what was happening all around them.

This logical progression resulted in the birth of a new business model, Network Marketing Online–NMO. Discount chain stores will surely attempt to gain a foothold in this market as well, but savvy entrepreneurs with outstanding products have the advantage. They can target the smaller niche markets, and provide better customer relations and service. People like doing business with people they know, like, and trust.

Go to : Network Marketing Online to discover the revolutionary and exciting home business concept that is taking the world by storm.. Check here for free reprint license: Network Marketing Business Models.

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