Billionaires Richard Branson, Donald Trump and Warren Buffet have all bought or created networking marketing companies since the turn of the 21st Century. This is because these giants of the business world recognise how efficient a business model network marketing is.

The Pyramid Selling Myth…

Sometimes people mistakenly confuse network marketing with a pyramid scheme. A pyramid scheme is a non-sustainable business model that involves the exchange of money primarily for enrolling other people into the scheme where there is no product or service being delivered. The unethical behaviour of some network marketing companies has added to the misunderstanding and scepticism towards network marketing. That is why I only recommend businesses that I personally have verified are NOT pyramid schemes.

Another thing to consider is that all businesses have a managerial structure that is in the shape of a pyramid so it’s not the shape that’s the issue anyway. If anyone says “it looks like a pyramid”, that alone is not a reason to be concerned. Here’s a good BBC article which shows the typical pyramid structure of all businesses.

Typical Structure Of All Businesses:


In 2007 global soccer icon David Beckham signed for LA Galaxy whose main sponsor was Herbalife, a multi billion dollar global nutrition network marketing company. Naturally these global giants would not want to harm their brand names in anyway by involving themselves in a product distribution model which would do that. Network Marketing is not a pyramid scheme, it is a business model for distributing products and services.

The Direct Selling Association forecasts that very soon, networking companies will produce over $700 billion in revenue with a major growth in the industry resulting from the explosive growth of the internet. With 21st century digital marketing, a network marketing company can now distribute its products or services to the whole globe within 2-3 years if their product or service is an info product or an online subscription internet service. Previously it would have taken 20-30 years to distribute tangible products such as nutrition or skincare products.

Here is a “UK Trading Standards” view of network marketing.

For more details about network marketing – check out my page… “what’s so good about network marketing?”

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