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 Why people fear of MLM ?, Do you guy really understand wat is MLM?

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Anodize
post Feb 7 2007, 12:44 AM

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okay... lets shorten everything this thread is saying...

Remember studiotraffic back in 2005? Was it hot?
Well, i invested in it too.
Before i started to invest USD3k, i am just a normal member investing USD90 to get my account to be USD100 so that i could make a withdrawal. It came to my attention that i've received a cheque amounting USD9.50 as i played for 13 days minus some charges. I sent it to Maybank but it was rejected as they charge on the conversion of the cheque to Ringgit Malaysia but no doubt, the cheque is genuine.
I continued with studiotraffic till July,2005 where studiotraffic officially opened Studiopay in Kelana Jaya, PJ. I then invested USD3k where my returns are huge. People in malaysia started trusting studiotraffic as they get their cheque each month. I even recruited a member investing USD9k where i could get commision of 10% from the amount of the investment made by my members... I've already told them that having a higher pay means higer risk. I didn't push him to join me but he still joins as he is a risk taker. He too received numerous cheque from studiopay. But when December comes, the company itself stated many reasons for the delay. And at the end, Studiotraffic shut down. Many people owe others money as they promised they will pay them back for whatever they've invested.

So, the conclusion in Malaysia is that many are very "kiasu" They will not believe in whatever they hear untill they experience it. MLM is difficult task.... but is a traditional business easy? try asking yourself that...

I have to agree that doing MLM is not easy to be succesfull.... but i ask myself this.. If i continue to working for 10 years in whatever industry i am doing, would i be successfull?

You start working as a normal staff in a company... after sometime, your get to be promoted to be a supervisor of that department.... and after maybe 2-3 years working, you might be promoted to be manager of the department.... and after 10 years working as a manager, do you think you will be promoted to be a CEO or whatsoever? I believe not unless you are relative to that company itself. And by working in a industry, to be promoted, you will have to poke many people's back to show that you are hard working and not like them. Thats what i don't like...

There are more than 2k of direct sales companies in Malaysia but only 1% of them are more than 10 years whereby 10 years is the minimum requirement of how stable the company is. And there are only a few of them which are DSAM certified.

Another concept of MLM is for people's life to get better... not investing a huge amount of money in hope of getting a larger amount back. A piece of advise... do investigate the company that you are spending your future on before deciding joining them or not. You cannot blame others if you join and failed... its your own choice.

There is another case of MLM... MLM is said to let people earn money. But there are 90% of MLM company requires members to renew their membership by paying an amount of money... Lets take an example of Amway. I am not sure how much they pay to be a member and how much are their renewal fees... Just take an example of RM10 for renewal fees. If Amway have 1 billion of members, their turnover with just membership renewal fees would be RM10 billion.So, in other words, the company is earning more than the Distributor themself.

* No hard feelings if i had offended others. I am just sharing my thoughts.

The other example is selling lamp, Last time they have a concept of investing RM 30k and ask them to find other 5 member to invest the same amount so that you can be more succesfull.... but in my thoughts, if 1 person invest RM30k, 6 person would have RM180k already. Would they be successfull in it? They are unsure too... but with RM180k, i would rather open chain of stores selling HP or other stuff as at least if the business is not good, i still could sell of all the HPs without any profit margin to gain back what i've invested in. Do you agree with me?

Anodize
post Feb 8 2007, 12:28 PM

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QUOTE(sting79 @ Feb 8 2007, 04:11 AM)
I made the decision of not wanting to join any MLM based on this question:
Are you willing to sacrifice your TV/games/paktoh/personal time doing MLM (and hopefully be successful in it) ?

No, I've got a job, and I want to spend my non-working hours for my own time. I'm not a sales-person, I don't persuade people that well, and most importantly I hate to introduce MLM/business prospect/opportunities to others.

I will only let others know about a certain product/service when I have used it for some time, and like it. And probably then will I consider advertising for that product/service, and if they've got an opening for a MLM business partner, why not? I will still continue to use the product, and I'm familiar enough to recommend a good stuff to others, willingly and naturally.

Or for this reason: I'm serious about getting rich faster by doing sales (MLM is sales) and willing to sacrifice a certain amount of time doing it part time first, then full-time if all goes well.

Other brainwashing/examples/statements might get me interested, but in the end it's still back to the question above. I'll rather not take the risk and get some-part time job instead... at least I'm not forcing myself doing something I don't like...
*
Doing MLM should be like what you said in the bold. MLM itself has a good marketing plan. It is just the distributors of some sort that made people misunderstand the concept of MLM.

And yes. I'm wiling to sacrifice my TV/games/paktoh/personal time doing MLM. Cuz i don't want my life to be just as ordinary. I don't mind being a millionaire if i could but at least, i want to live a life of debt free. Ask yourself... do you own a car? I said own that means paid wholely where you don't apply for loan. I myself don't. When you have nothing to lose, why not give it a try. It might make your life a turning point. but if you failed to do so, yes you will loose your TV/games/paktoh/personal time. But heck, you've gain whole lots of experience. Learn lots of things that you don't get to learn from the society.

Does everyone born to be a sales person? Is selling a product call persuading? or was it convincing? and when your regular customer sees your determination in MLM, they will tend to ask you how you are getting on. By then, you can start explaining the business to them. Its not like you will have to introduce all the details to one particular person that might/might not have interest in at all.

Most of the time, doing MLM would be best starting from a part time. Cuz you don't earn a stable income from that particular MLM company yet. To be a good upline, one should know the needs of your downline and to guide them the proper way to start the part time business. I myself did consult my upline saying that i want to do the business full time but she gave me a hit on the head saying that i'm not ready as i don't have a stable income in the MLM industry yet. I also asked my upline if i could change my car to make myself look more successfull.... She knock my head again telling me that don't try to fly when you don't even know how to walk correctly.

There are MLM that will brainwash others... but i would say that it all depends on one self. They chose to believe in that particular MLM and they work for it. That is fair enough.. Everyone have their own wisdom through experience and i believe they could decide if they want to accept the fact that MLM is the next kin of sales. Those that were called "Brainwashed" should be given respect for as they stood there for you to splash cold water. And when they get home, their family get worried if he would be cheated as there are many companies out there loves to cheat for their own benefits.
Anodize
post Feb 9 2007, 05:28 PM

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QUOTE(jessril @ Feb 9 2007, 12:19 PM)
I'm only against the ethics of them driving a nice car into university and start brainwashing students to think that they too can do it, use their student loan, etc etc... My brother was one.

I've secondary schoolmate who was so gung-ho into MLM that he skipped SPM exam. Don't know if he was brainwashed into thinkin education is useless (Robert Kiyosaki anyone?) or what... but he is now... a waiter... doing credit card sales on the side. I seriously pity him and his false hope/beliefs.
*
Yes... its true... i too are against the ethics of them driving a nice car into Uni... But many got rich from MLM does not do that... most of them that does that are faking it... Faking that they got loads of cash from MLM...

Skipping SPM exam aint a good thing to do unless of course you are to persue further studies abroad... Robert Kiyosaki didn't think that education is useless... its a part of life. He mention that getting too much education does means that you will earn more... He didn't succeed is because he didn't choose the right path of the MLM i belief.

Anodize
post Feb 10 2007, 07:56 PM

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xsaintx, You are both right and wrong.

If you intend to just earn 1 or 2 years fast cash and think that its only about money, then you should be doing some other buy and sell things... not MLM.... cuz in MLM, as one's upline, we wouldn't want to destroy the dreams/future of our downline. They bestow their trust on you and you leave them be after you gain your pot of gold? I wouldn't want to do that...

For me, after gaining my pot of gold, i would also help my downline gaining it. I would be even happier if my downline be even more successfull than me as they go up the stage thanking the me who brought the career/business to him. You will feel very proud. The more downline being succecssfull, the happier you are even if the downline makes more money than you do.
Anodize
post Feb 12 2007, 10:33 PM

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QUOTE(matkor @ Feb 11 2007, 07:20 PM)
what's the difference between mlm and direct sales? are they the same thing?  blink.gif

but anyhow, i dont hate this mlm thingie. i just hate it when ppl keep bugging me around eventho i reject them already. This is very annoying.  I hate this sentence "i have a business proposal to share with you. we are good friends. that's why i must share this proposal with you. I know you want earn more money. Let's work hard and earn them together" so to mlm ppl, is that your universal sentence in recruiting ppl? be honest ya. if that is what your upline taught you, tell him i point my middle finger to him.

mlm with good products, i accept them. i will not join them eventho if their products are reasonable, i might buy from them. eg: cosway cookies/tidbits are yummy to me and cant be found in any other stores. i dont join them, but i buy them from my relative who is a cosway member. im not a member of buffalo, but i bought their kitchen utensils. it's not bcos i support them, it's because i acknowledge their quality.

Mlm with stupid products like gold coins and dunno what candle lah. gold coins that has no value but cost rm2k? gimme a break. stop conning ppl telling your gold coins will worth like rm10k after 10yrs. the coins have no value outside the network. which means only sama jenis ppl which joined the same MLM that offer that coins will think that those coins are worth like 10k after 10yrs. for me, that kind of mlm is like "friend cheating friend". today, my friend cheated me. tommorow, i will cheat my best friend. then my best friend cheat my good friend. then my good friend cheat his mother. one word, lame.
and the candle thingie, well u know lah. candle can make ppl healthier and poorer. doh...  laugh.gif
*
MLM= Multi Level Marketing. I believe the word Multi Level says it all (Time Leveraging technique used by your boss. And you get what you work for without salary but with good commisions/profits)

Direct Sales = I too believe that the word DIRECT says it all too... (1 level only. Usually, they will be paid a salary to carry out their task.)

Those sentences they uses nowadays are meant to be used towards business building minded people. Not meant for young adults/college students/working range of people.
*This is not a fact and its only my personal opinion.
Anodize
post Feb 16 2007, 12:24 PM

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A lot of people tend to confuse of MLM's concept... MLM is meant for those who want to make money without putting in much money to start with "Pak Sau Heng Ka" but there are now many MLM company coming up with some pretty huge amount as "Investment"... Man... use your brains and think... Investments are meant for those that are already sort of successfull people where they have extra money to spend to earn more money... Not those people borrowing money all over just to start the business...

MLM itself is not wrong... It is just the concept thoughts of New Distributors to find the shortest route to success... There is no Short Cut to success except to follow foot steps of those that are already successfull GENUINELY...
Anodize
post Feb 16 2007, 02:35 PM

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I would say that MLM company should teach the distributor of the proper attitude/concept to do the business... without it, it would be chaos.
Anodize
post Feb 16 2007, 03:32 PM

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QUOTE(suns8630 @ Feb 16 2007, 03:23 PM)
and those people whom into this MLM ... will evetually knows that ... the "recruiter" is  telling the whole "TRUTH"
correction : it should read as follow ::

The "recruiter" is NOT telling the Whole "TRUTH"
*
Not all the recruiter is not telling the whole truth... If you are into MLM business, it is your duty to ask questions... If the recruiter denies the question, that would be his wrong.
Anodize
post Feb 17 2007, 02:14 AM

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well... there are other MLM company that uses binary system where the concept of binary system are mainly the company that earns as there is not a chance of balancing your both leg and stuff... I myself had been through ecosway with their binary system.

There is a saying that you can control how many children you have but you cannot control how many grand children you have thus if you think again, binary system is just the same. You can have 2 leg... but you cannot control your leg to have how many other legs and so on.

Why did we mention of LB is because LB had caused many to fail till down to earth as some had gone borrowing money all over and some even borrowed the loan shark and some cheating their parents that took PTPTN loan for it. And i heard that there are even some that sacrifice their own body to do it. LB just gone over the limit of the so called "Investment". I believe that there are lots of other MLM company that does not require that sum of money to start a business or "opportunity".

The reason why i am posting all this is not because recruiting people but just to let everyone that reads this thread aware of the MLM company around you and not to be cheated by it. For those that wanted to know more about any plan they come across, you can always PM me. I would gladly explain it why it would be a failure.
Anodize
post Feb 21 2007, 07:28 PM

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QUOTE(bysquashy @ Feb 18 2007, 10:53 AM)
One thing for sure, MLM products is always over priced and over rate, anyone second that? Happy Chinese New Year to all biggrin.gif
*
Not all MLM products are over priced. Futhermore, if one uses the product to be very good, he/she would be willing to pay for it.
For those who are think that the product of one's MLM company is expensive, try asking them what they are paying for. For instance, many facial stuff selling in the market had the first ingredient of Water, Aqua or other names to represent water. But some MLM company had other ingredient to be the first.

If the product had been checked through FDA, the first ingredient represent 60% of the whole bottle. In other words, if you are buying a cleanser in a pharmacy, the first ingredient is aqua, it means that the cleanser consist more water than other solution. So, why waste money to buy a product made out of water? If you want to say over priced item, in my personal oppionion, NuSkin would be over priced.
Anodize
post Feb 22 2007, 03:29 AM

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Lets list out the MLM company that you know of which is not written here and is still active.

1) Amway (Supermarket)
2) Cosway/ecosway (Supermarket)
3) Synergy (Skin Care / Health care)
4) Forever Living Product (Skin / Health / Cosmetic / Weight management / Daily care / Facial)
5) Phhp (Fiber/health care)
6) DCHL ( LB / Estebel ) aka (Air/skin)
7) Usana (Health Care)
8) Herbalife (Slimming )
9) Nu Skin (Facial)
10) Milelia (Health care)
11) FitLine (Health care/Weight Management/Skin care)

Correct me if i am wrong with the Company base product

This post has been edited by Anodize: Feb 22 2007, 10:24 PM
Anodize
post Feb 22 2007, 10:25 PM

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added Fitline... but seriously, i never heard of it... Is DXN active at all?
Anodize
post Feb 23 2007, 05:22 PM

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If you guys really understood MLM, You should know the power of MLM when a product from other company wanted to get distributed.

Lets say a MLM company with 10,000 active Distributors. And then X company came up with a product that each family could afford. X company then seek the MLM company and gave them their proposal. The MLM company accepted it thus the X company would directly have a sales volume of 10,000 where the distributors would each buy one to try out the product before selling it. And then the 10,000 distributors would then spread the words to their relatives/friends/neighbours/etc... So, X company succeeded to push their sales. After sometime, X company's product had been recognise, they would tend to mark up their cost for the MLM company thus making the MLM company have to Mark up their price too.

Do you guys get the view here?
Anodize
post Feb 26 2007, 09:33 AM

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QUOTE(picozoo @ Feb 25 2007, 10:42 AM)
owh.. poor story of your friend cloudstrife07... :-)

by the way... my opinion is, if student wanna do MLM... it's good, but must organize correctly... some are very excited.. that's good.. but the leader did not teach them how to manage their time.... :-P
i always said to all my group to have diary and organizer.... so they can manage their time perfectly... and also equivalent... :-)
*
students that want to to MLM is a good thing. Its just that they should not cheat/use their study loan or things like that to do it. MLM itself should have no risk. For example... you might need a joining as a member fee like cosway, FLP, Amway.... but not like LB,Usana,IPC... MLM is a way to get rich without putting investments beside the joining fees...
Anodize
post Feb 27 2007, 01:35 AM

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QUOTE(picozoo @ Feb 26 2007, 10:05 AM)
yeah you are right Anodize... now people think that the new trend of MLM is just putting money for the first time, and then wait until the system make an autodownline for them... by the way, that's only the top can get big money!
*
yup... if you guys would like to get money that easily, why not go for the bursa... learn a little and you can dump some money in and wait for it to rise and then withdraw the money. At least that you would get a yes or a no... but in MLM, if you invest money in it, and do nothing about it in hope for a return, it would definately be a no.
Anodize
post Feb 28 2007, 05:59 PM

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in my own view, the poor is not poor. but the people without any goal/dream is the poor. Cuz they don't know what they work for.
Anodize
post Mar 1 2007, 09:43 AM

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QUOTE(fyire @ Mar 1 2007, 01:42 AM)
That's another misconception that MLM promotion campaigns tend to capitalize on. Trying to get ppl to think that their system is the only way to for a person to have goals and dreams.

Read Again what i've posted. I had said nothing regarding MLM promotion or whatsoever. I'm talking in generally... Not siding to anyone/any businesses.


Added on March 1, 2007, 1:44 am

Of which MLM ppl r hardly the only ones who knows how to get their money to work for them, and furthermore, hardly all MLM ppl knows how to get their money to work for them too. This is the other side of the story that MLM ppl tend to leave out too.

This is very true.. Not all MLM company teaches the distributors on how to manage their money. What those company cares for are the distributors investments(money/time). They do not really care for their distributors.


Added on March 1, 2007, 1:46 am

Just like any venture out there as well, it requires a lot of effort. Nothing unique there about MLM either.

Not even in that example that you've given about playing the stock market. There's plenty of ways to do it wrongly, which leads to it being simply very much like gambling, but proper investment requires a lot of effort and studies constantly to monitor the market, and is hardly the dump and wait like you've mentioned.

Yup... Thats very true too... Thats why i'm saying it in my own way that there is no free lunch. There is a very good movie that i would recommend at this moment "Pursuit of Happyness".


Added on March 1, 2007, 1:48 am

MLM is just one way to get rich without putting in much investments. There's plenty of other ways as well.

Besides, apart from that joining fees, there's plenty of hidden costs too, such as going for those various seminars and so forth. Therefore, just like any other business types, MLM has got its hidden costs too. Nothing unique there about MLM in that sense.
*



I do not quite agree with this. Not all MLM company are like that.. But even if its like that, try to think this way... When  there's a leadership talk in the market that cost you RM1000, you would pay for it if you think that you need to improve on that. But if the talk didn't help you at all, do you get your refund back? Hell no... Another example is MLM company do still rent places for some certain seminars/events they are having... thus charging a small fee ain't that bad...


blink.gif

Anodize
post Mar 5 2007, 11:18 AM

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Somehow, i think it is wise to respect each and everyone's decision on what to do with their life... one might disagree with the MLM marketing strategy but one might not. There is actually no right or wrong doing MLM.... just that one must really look into the MLM company before really start pursuing in their sales...
Anodize
post Mar 7 2007, 03:17 PM

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QUOTE(wensoon @ Mar 7 2007, 11:57 AM)
last time i aso join mlm company call exkxx...it really hard to clamb so i quit ..
but currently i join another mlm .. but this is not involve and buying prodcut .. this mlm is provide lifestyle package like spa, gym, pub .. the most attract me is got medical card with highest protection about 800k
and if find ppl join this package i aso can earn more then 1k per person..
since i have own full time job .. i not active person in this company just enjoy the membership ..
but this company is grow very rapidly within 1 year .....
so last time i join mlm i know how feel how hard to find ppl buy product form u ....
so now i very happy to join this membership even i not to find ppl ...
*
Right.... I missed out MGM.... lol... but if you come to realise it,

The company is making the money.
To ask someone to join, That person must have a Credit card
They will lock your credit limit for the amount to be paid to the company. (similiar to loan)
Their so called no ending commision is sort of fake. It will be cut of until certain lvl down.
If the person you reffered to join, and he had an accident, you are not the expert to do the claims and stuff.
To have a medical claim of up to 800k, it means that the person have no reason to live after an accident.
Having partnership with Pathlab for 2 year, meaning that if within the 2 years and the sales are not good, Pathlab would actually discontinue the partnership.

The good thing about it maybe the lifestyle you are looking for... but how many spa there is? if every single member goes to the spa, what will happen? And if you have a full time job, you can hardly find time to go for those lifestyle stuff.

Anodize
post Mar 8 2007, 09:16 AM

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I know that... But i guess you are not a business lady... when i said about discontinuing the partnership, i mean it in business terms...

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