shadow
Network Marketing PRO. Newsletter
The Newsletter for the PRO-fessional Network Marketer
Published by The Profit Clinic            www.networkmarketingPRO.org           26 June 2001
Please share this newsletter with anyone who might benefit from it. If you received this copy
from a friend, why not enjoy your own copy? It's FREE, twice a month. Subscribe here.

Part One
The Network Marketing Company of the Future

John CounselBy John Counsel, CEO of The Profit Clinic MLM Success Centre

This report is the first of two parts. It explores the kinds of features that I believe will typify the kind of MLM company that will dominate the future of this unique system of free enterprise business.

My friend and colleague, John Grant, editor and publisher of the Australian and New Zealand edition of "Money Maker's Monthly", is an astute observer of what happens in network marketing around the world. He outlined his view of the future to me in a phone call we had a few weeks ago. I think he's probably right – but only in the relatively short term. I certainly hope so. The fact is, what he describes has been going on for years, and has caused untold damage to both companies and downline people.

His vision is of network marketing being driven by networks, not companies. In this vision, large, charismatically-led organisations that are loyal to an individual leader, not to an ideal or a company, will move from one opportunity to the next as company lifecycles accelerate from, say, 20 years down to 2 years.

Technology and the increasing rate of change will drive this acceleration, but so too will these networks. They'll stick with a company until it enters the decay phase of its life- cycle, then they'll abandon it for the next bright hope to appear on the horizon. Their catchcry will be "first mover advantage."

Parasites inevitably kill off their hosts

This kind of parasitic organisation has existed for more than a decade. And, true to form, parasites typically kill off their hosts by their behaviour. I've watched some MLM "leaders" actually sink companies by their actions.

They join up their huge downline organisation with a new company, product demand suddenly swells dramatically, the company then expands production rapidly to meet that demand (and takes out loans to meet the ballooning bonus payments – these are rarely self-funding to begin with, despite naive popular belief) then, just as suddenly, the leader moves on to the next opportunity, leaving the company over-extended financially and with more inventory than it needs – and little demand for its products.

The hidden agenda of some "leaders"

The disturbing aspect in all this is the reality that, in many instances, these "leaders" leave their existing company because it won't offer them a special deal – or won't match a special deal offered by a competitor keen to poach them and their network.

The truth is that these networks are driven by fear of loss, from the "leader" down.

The "leaders" make their downline teams emotionally dependent on them by the use of highly manipulative tactics, and they often stoop to subtle (and not-so-subtle) forms of emotional blackmail to bring their organisations into line. Learn more here...

They cover their less-than-noble motives with fine sentiment and sophisticated rhetoric. Their "blarney" can persuade even normally-intelligent people that black is white and white is black, because "they're all really just shades of grey."

Here's why I don't believe these organisations are the long- term future of network marketing:

1. Fear of loss and emotional dependence are the basis of FIRST Generation* business systems.

2. Network Marketing is the ONLY Fourth Generation* system of business yet to evolve.

3. Fourth Generation systems of any kind will NOT work on First Generation principles.

4. A First Generation system posing as a Fourth Generation system is a counterfeit... a FAKE.

5. As Abraham Lincoln once said: "You can fool all of the people some of the time, and some of the people all of the time, but you can't fool all of the people all of the time." The chickens eventually come home to roost.

It's time to recognise the counterfeits for what they are.

In the next report, we'll explore a MUCH more encouraging vision of the future of network marketing.

Next: The MLM Company of the Future — Part Two

[* Read about the differences between First, Second, Third and Fourth generations, and why network marketing is the ONLY Fourth Generation business system, here...
http://www.profitclinic.net/advanced]

All contents © 2001 by John Counsel unless otherwise shown. All rights reserved.
No reproduction or distribution of any part of this newsletter permitted without prior
written consent of the copyright owners.
spacer
shadow
   
shadow   shadow