What are the drawbacks of joining a networking business?

Philippines
June 14, 2011 8:18am CST
there is a networking business that is becoming popular in our city. It requires a small capital and in exchange you'll get a product that you'd have to sell at a discounted price. truth of the matter is, people are joining in since the more people you persuade to join you downline, the greater you'll earn. so, Would you join a business of this type? what do you think would be the drawbacks?
3 people like this
6 responses
• United States
14 Jun 11
What kind of business are you looking for? All businesses work this way, no matter what you do you need customers, a product or service and the will to build it. Networking is hard to build because yes you need to convince people to join, but where are you going to get a business with very little capital and get a product along with it. The trick is money management. Most people get in these business and buy a whole lot of products hoping to sell them all and when they can't they quit and tell others that it doesn't work. When you get someone interested you get them to buy what they need and then you get a referral commission and a commission on what they buy. You really need to understand how network marketing really works. to The only way I would not join is if it takes more than a $100.00 to join and what type of product they have for me. Is it something I use everyday or is it something I would only buy once. I would not join if the product is something I would only purchase once like an air purifier. Now how many times would you buy an air purifier? Then take a look at liquid vitamins how many times would you purchase liquid vitamins. You can get a 30 day supply and then at the next month you would have to buy another 30 day supply. This could give you a residual income every month.
@murkie (1103)
• Philippines
14 Jun 11
i agree. of all those who join a network marketing company, only 10% ever succeeds. some unsuccessful ones would blame the company and never ask themselves what is it they're doing wrong. these type of people were too blinded with the sight of easy money, never understanding that to be successful, one has to work hard.
• Philippines
15 Jun 11
I guess I'd have to look into myself first and whether or not I need this product. I never saw it that way. I just assumed that all networking business like these are like pyramid scams. Thanks!
• Philippines
14 Jun 11
I have joined a MLM or network marketing before.At first I was excited because the people involved have really good convincing attitudes.They can even brainwash you to the point that you'll almost believe in everything they say.There maybe legit networking business but you should be extra careful because most of them are scams. If you want to find a legit company you really need to look at the products.The products should be affordable, consumable and have a true market value.You should also compare the product's price with the market price.If people are telling you that you really need to sell, but you just need to recruit downlines, just get away from them because it's probably a scam.Furthermore, don't invest huge capital yet.Try to be a member in lowest capital as possible,them upgrade your membership if it really works.
• Philippines
15 Jun 11
Thanks for you input! Yeah, those people really have an effect on you. They just have so much convincing power to make you believe that anyone can be millionaires.
@Bebs08 (10681)
• United States
14 Jun 11
No, I don;t like to join this type of business. First is that... you have to build up your down line so that you can earn from them. Worst with this is that.. when you are the last one in the line, then the business will broke, you will never receive anything. and What about the capital you put in? they will be gone like bubbles. I have lots of friends who join in this business.. others were able to get a little in their first days but those whom they recruit who give a big amount of money did not receive anything. That friend of mine wss in trouble.
@murkie (1103)
• Philippines
14 Jun 11
probably your upline isn't working hard enough. what i know about networ marketing is that the whole netwok is the responsibility of all the people in that network, especially the gut on top since s/he could still has some percentage form the income of the lower levels. oh, and network marketing is different from a pyramiding scam.
@Cutie18f (9546)
• Philippines
15 Jun 11
I got invited to this sort of business which I outrightly refused but the person who made the invitation was really very persistent, she would not hear of me saying no to what she says could be a big potential to become wealthy. She was talking about different ranges of capital, whichever I could produce, and I told her I could not afford to put up any of the amount, but she still would not listen and invited me to an expensive restaurant so she can further show me how an income of three months can be gained in just one day in this kind of business. She wouldn't hear of my saying no to the restaurant invitation so I went and in the end I still stuck to my original answer which was a NO. No matter what she did and how hard her team tried to convince me but I just couldn't raise the capital requirement, so.
@stanley777 (9402)
• Philippines
15 Jun 11
My nephew have just joined a networking business too.In less than a week he already recovered what he had invested.He even showed me his account for proof that it is really worth it.He is convincing me to join but I have second thoughts about it.Well he is my nephew and I guess he won't recruit me if it didn't work for him.MLM business is very popular this days, some are to good to be true.So be careful in case you decided to join.Invest only a small capital just in case.
@murkie (1103)
• Philippines
14 Jun 11
well, network marketing isn't only about downlines. it has products too, in which you could get at discounted rates. sadly, though, most people who join are after the people they persuade to join. they no longer think of the product. since you are only asking about the drawback, i think one of the worst drawbacks is to have a downline who doesn't care whether s/he makes a sale or not. this is the type of person who waits for someone to make money for him/her. another drawback would be the negative publicity of a network market. unsuccessful network marketeers tend to be noisier than those who are. tendency is that there are more negative publicity, which would cause doubt among your prospected clients/recruits. but beware of some network marketing companies as some of them are scams. look for legitimate ones.
• Philippines
15 Jun 11
Thank you for your inputs and comments murkie. You made me realize that networking might be profitable after all that is if you work as a team. I have to agree that i better research on that market and company first before investing.