Tuesday, October 23, 2007

Network Marketing - What is a Scam?

Network Marketing - What is a Scam?
I am involved in some network marketing businesses.
Through various marketing channels, I get lots of
questions. Usually via e-mail, sometimes via phone. You
want to know what one of the most common questions I hear
is? I bet you have asked it yourself, because I know I
have.

"Is this a scam?"

Sure, it comes in different flavors. Some of my favorites
include, "This is a total scam, dude!"; "I've seen scams
like this before!", and "No way, people fall for this
scam??"

I looked it up. According to the fine folks at
www.m-w.com, the word scam is simply defined as such: a
fraudulent or deceptive act or operation. OK, that's
pretty loose. I mean, how many "deceptive acts" do we deal
with on a daily basis? TV commercials, reality shows,
political debates? When you really think about it, it is
hard to be persuasive without some degree of deceit. And
that's all advertising is; persuasion. Unless you want to
live thinking the whole world is "a scam", I think you can
only focus on the "fraudulent" part of Mr. Webster's
definition.

Fraud is a whole other subject. To me, fraud in network
marketing is indeed something to be wary of. I'm sure
there are examples of businesses that started only to take
money from a few trusting individuals, then shut down and
take the money and run. Still others only collect e-mail
address for the purpose of selling them.

What you will find is more prevalent, however, are smaller
transgressions, such as improper statistics. For example,
most sites will show how "Jim made $5000 in 2 days". Is
this fraudulent? Probably not.

Here's how to protect yourself

If you've made the decision to persue a network marketing
business, either via internet or not, you MUST look at all
claims using your own sense of reason. First off, assume
that all the advertising you hear and read is true. Most
likely, every claim you read is verifiable in one way or
another. Secondly, assume that the same WILL NOT happen to
you.

Read this carefully. I am NOT saying you will not make
money. I am NOT saying the advertising is deceitful or
fraudulent. I AM saying what most people won't tell you.
It is highly, highly unlikely that your immediate results
will mirror those you hear about. Of course there is a
chance, but if you assume that "you will be different", you
are going to be disappointed.

Do not forget that network marketing is first and foremost
a business. It is not a magic potion to cure you of
suffocating debt and daily financial woes. It takes time,
patience, courage, risk, capital, understanding, education,
and (once again for emphasis) time!

Make sure whatever business you start has at least these
two things. One, viable marketable products that are in
demand. Two, a strong training and support network,
preferably of people whose success depends on your own.


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Check out David's Marketing Businesses:
http://www.GAPSage.com
http://www.WealthyMarketerForSuccess.com
http://www.gibline.com/davwax
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