Complaint Review: Excel Communications - Mlm - Amway - Network Marketing - Nationwide

I had no rebutal to my statement before, and yet people continue to argue that mlm and network marketing is a good business. So I post my problem with this form of business once again.

The problem with all mlm or network marketing companies is that they are destined and even designed to fail. If not now, then eventually.

Don't get me wrong, I basically like the idea of Network marketing. If I have a friend that has never heard of, let's say walmart(for example). I tell him it's cheaper and has a good selection, he checks it out and decides to shop there every month for the rest of his life. Why shouldn't I get a commission from his spending? He would of never shopped there if it wasn't for me. And, let's say he tells 3 other people who have never been there and they now shop there. Why shouldn't both him and I recieve a commission. If I would have never shown him, he would of never shown those people. And so on. This is how mlm's basically work, and like I said I like the idea.

One of the problems is you get someone who doesn't do much, which doesn't make him money, he quits and does some networking of his own by bashing the company and it's services to everyone he knows. Another problem is the service is the same price or more expensive then getting it in a store down town. This really isn't an issue though, because if I had a choice of buying something, or paying a little more and making money from people wanting the same thing, I'd pay a little more. The real problem(sorry it took so long to get here) is the math.

Lets take Excel telecommunications for example. Here you get some people to use Excel phone service, let's say 10 people. Then you get some Reps(people who want to make money) and they do the same thing(gather customers and reps). Excel recomends that you try to gather 3 reps, and they do the same, down to a 7th level. Now remember that all these reps would have customers and would want to get 3 reps each(the reason they want to do this is they get commision on both thier customers and thier reps). Now at the 7th level that would equal 2187 reps in your downline(so let's use 2000 Reps for this example). Thats 2000 reps just from one person starting this business. Thats 2000 reps that are trying to do the exact same thing. So thats 2000 reps trying to get 2000 in their downline. That equals 4,000,000 reps that are trying to get 2000 in their downline. That equals 8 billion reps. More then the population of the planet(6 billion).

That's just reps, remember all these people have to select customers too. Now I know that it's not a perfect world and not everyone will get exactly 2000 reps. And I know the population is growing fast. But this system grows fast too.

It is inevitable that before long everyone will either have heard about Excel and are not interested, be in Excel(or an Excel customer) already and not obtainable to sign up. Leaving the people that got into it early making some money, and the people near the decline not making anything.

Excel was just an example, all mlms work on the same idea. But I am still hopefull someone will find a get rich idea that will really work for everyone.

Thayis

Edmonton, Alberta
Canada