Network Marketing, for a successful business

Definition of Network Marketing:-

Network marketing, commonly referred as network marketing can be defined as a unique marketing strategy in which sales forces are compensated for both the sales closed personally a well as for the sales of all the salespeople to be recruited. For a successful business, network marketing is undoubtedly very essential.

There are many techniques that are involved where marketing is concerned and one of it types that are network marketing is a kind of business idea in which the activity is involved with the agents of product distribution that are the distributors and retailers. The compensation theory of the sales force gets applied here in network marketing. Another name for network marketing is referral marketing and pyramid selling.

Textbooks on Network Marketing: -

 There are numerous books on network and multi-level marketing across the global market. Some of the basic textbooks on Network Marketing are as follows:

• The Network Marketing self-started, Carmichael, Allen, 1993.
• The ultimate guide to network marketing, Rubino, Joe, 2006.

Examples of Network Marketing: -

Network marketing may come in various forms. The common ones being:

Example 1:

Direct selling is an example of network marketing that gives the boost to short business periods and investment deals. Independent business owners, dealers, shareholders, franchisees and how do they bring about a considerable change by the means of direct selling is a form of it. The recruited sales force act as a down line factor and goes with the flow of relationship referrals and in hand direct consumption of the product.

Example 2:

Word of mouth is another example of network marketing. It incurs many things in the name of marketing. The interaction and craze which sustains in the market does the bit of the multi-level marketing looking into all the matters of the application. Although it has many criticisms like settling on high prices initially and illegal scheming this does not look like a favorable situation for the organization to be in, so one must plan the outcome fully knowing about it.

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