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Multi-Level Marketing Slide

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Multi-Level Marketing Slide

  1. 1. MULTI – LEVEL MARKETING BAD OR GOOD? Prepared by Raja Nur Wahyu
  2. 2. • MLM firms sell their goods not through a conventional distribution system and retail outlets, but through individual people, selling to their friends, acquaintances and strangers. (Bloch, 1996)
  3. 3. MLM PLANS AND STRATEGIES...
  4. 4. ADVANTAGES OF MLM…
  5. 5. • The company is linked to a solid track record and showcases great work ethics.
  6. 6. • By becoming a member you can ask questions to more experience marketer.
  7. 7. • Dont need any experience. Just practice business skills and knowledge andobtain the mastery experience . (Fu Dai a, 2011)
  8. 8. • Both full-time and part-time. • The competition amongst peers is non- threatening
  9. 9. • Decentbonuses and numerous incentivesare given totop-workers
  10. 10. • The fees to start-up are low. • They offer a strong support system.• Good examples help lead the way.
  11. 11. DISADVANTAGES OF MLM…
  12. 12. When planning to create a downline… it can COST.
  13. 13. •A lot of MONEY is usually spent on gas for your car,eating out, and hotel rooms.
  14. 14. • Some companies only pay for recruiting and do not give out acommission based upon total sales. This is pyramiding and it is ILLEGAL!!!
  15. 15. MLM ON ISLAMIC PERSPECTIVE…
  16. 16. HALAL orSYUBHAH
  17. 17. Sales the product at higherprice so UPLINE can enjoy higher rate return
  18. 18. If downline FAIL to achieve this target, maybe they would NOTbe entitled to receive anyCOMMISSION
  19. 19. • Some MLM companies manipulate their product, coerce the member to use their product or sell haram products. All these activities are Cleary prohibited or…HARAM!!
  20. 20. TOP10 MLM COMPANY IN 2010
  21. 21. TOP 10 MLM COMPANY IN 20101. Amway (M) Sdn Bhd2. Avon Cosmetic (M) Sdn Bhd3. Cosway (M) Sdn Bhd4. Elken Sdn Bhd5. Extra Excel (M) Sdn Bhd6. Hai-O Marketing Sdn Bhd7. Herbalife Products (M) Sdn Bhd8. RZ Corporation Sdn Bhd9. Tupperware Marketing (M) S/B10. Zhulian Marketing (M) Sdn Bhd
  22. 22. CONCLUSION So, how much the entrepreneurs will be ableand are willing to LOSE if MLM doesn’t work? Is it fit with Islamic perspective? THINK ABOUT IT…
  23. 23. • Bloch, B. (1996). Multilevel marketing: whats the catch? Journal of Consumer Marketing, 18 - 26.• Fu Dai a, K. Y. (2011). Chinese immigrants in network marketing business in Western host. International Business Review.• Bakar, A. A. (2009, 04 20). Need to change public view on Multi-Level Marketing.

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