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Showing posts with label business. Show all posts
Showing posts with label business. Show all posts
Wednesday, June 24, 2009
Thursday, March 19, 2009
Multi-Level Marketing: Business Opportunity or Scam, 2
Continued from "Multi-Level Marketing: Business Opportunity or Scam"
One of the criticisms leveled at MLM plans is that they are "pyramid schemes". That is, that if you recruit five people, and they each recruit five people who, in turn recruit five people, and so on . . . you will soon run out of people. It's obvious that we can't all get rich recruiting other people, since people are a finite quantity.
It's true that MLM markets reach a saturation point at which growth must slow down. Of course, that's true of companies that enter any market. Early explosive growth tapers off.
But that does not mean that stagnation is inherent in the nature of MLM. Amway, for example has been going strong for many decades. How is this possible?
You must take into account the fact that since the days shortly after Noah, new people have been born every day. That means new people who are looking for opportunities come of age every day.
This, of course was part of God's plan from the beginning.
So God created man in his own image, in the image of God created he him; male and female created he them. And God blessed them, and God said unto them, Be fruitful, and multiply, and replenish the earth, and subdue it: and have dominion over the fish of the sea, and over the fowl of the air, and over every living thing that moveth upon the earth. (Gen 1:27-28)
Please understand, I'm NOT saying that the Dominion Mandate was a Multi-Level Marketing plan. But God's blueprint for dominion required an expanding population. As the number of people increased (geometrically), each generation would subdue a larger portion of the earth.
Mankind would reach total dominion at the same time that its population reached a saturation point.
The bottom line here, is not that MLM is inherently bad or that the concept won't work. The problem lies in overpriced products and massive hype. I want to address those issues in another post.
One of the criticisms leveled at MLM plans is that they are "pyramid schemes". That is, that if you recruit five people, and they each recruit five people who, in turn recruit five people, and so on . . . you will soon run out of people. It's obvious that we can't all get rich recruiting other people, since people are a finite quantity.
It's true that MLM markets reach a saturation point at which growth must slow down. Of course, that's true of companies that enter any market. Early explosive growth tapers off.
But that does not mean that stagnation is inherent in the nature of MLM. Amway, for example has been going strong for many decades. How is this possible?
You must take into account the fact that since the days shortly after Noah, new people have been born every day. That means new people who are looking for opportunities come of age every day.
This, of course was part of God's plan from the beginning.
So God created man in his own image, in the image of God created he him; male and female created he them. And God blessed them, and God said unto them, Be fruitful, and multiply, and replenish the earth, and subdue it: and have dominion over the fish of the sea, and over the fowl of the air, and over every living thing that moveth upon the earth. (Gen 1:27-28)
Please understand, I'm NOT saying that the Dominion Mandate was a Multi-Level Marketing plan. But God's blueprint for dominion required an expanding population. As the number of people increased (geometrically), each generation would subdue a larger portion of the earth.
Mankind would reach total dominion at the same time that its population reached a saturation point.
The bottom line here, is not that MLM is inherently bad or that the concept won't work. The problem lies in overpriced products and massive hype. I want to address those issues in another post.
Thursday, March 12, 2009
Multi-Level Marketing: Business Opportunity or Scam
I have been involved in several multi-level marketing (MLM) operations over the years, including the granddaddy of them all, AMWAY. I never did well at them, and I tend to be dismissive toward things I'm not good at.
The whole MLM premise is that if you have a great product, you can not only profit from selling it, you can share in the profits of others whom you recruit to sell it. You also get a return from those whom the others recruit, and so on. These folks are called your downline.
Thus, if you recruit three people, and they each recruit three people, you have twelve people in your downline. Each generation of recruits [theoretically] increases geometrically.
The operational word here is theoretically. Of course, if everyone succeeded at recruiting, you'd soon run out of people. But that aspect does not bother me as much as another.
The fact is that most people will not recruit anyone. And those who do seem to need regular doses of hype to keep them motivated. In order to succeed, they must surrender their lives and personalities to the program.
Those who aspire to MLM success must eat, sleep & breathe their company line. There may be exceptions, but most MLM programs encourage -- indeed, require -- total immersion in the program's culture to attain success.
You can find one of tne of the reasons for this in the product's pricing. MLM products are, on the whole, more expensive than comparable products in the marketplace. They have to be, in order to pay commissions all the way up the line.
Does this mean that multi-level marketing is inherently bad? More on that in my next post.
The whole MLM premise is that if you have a great product, you can not only profit from selling it, you can share in the profits of others whom you recruit to sell it. You also get a return from those whom the others recruit, and so on. These folks are called your downline.
Thus, if you recruit three people, and they each recruit three people, you have twelve people in your downline. Each generation of recruits [theoretically] increases geometrically.
The operational word here is theoretically. Of course, if everyone succeeded at recruiting, you'd soon run out of people. But that aspect does not bother me as much as another.
The fact is that most people will not recruit anyone. And those who do seem to need regular doses of hype to keep them motivated. In order to succeed, they must surrender their lives and personalities to the program.
Those who aspire to MLM success must eat, sleep & breathe their company line. There may be exceptions, but most MLM programs encourage -- indeed, require -- total immersion in the program's culture to attain success.
You can find one of tne of the reasons for this in the product's pricing. MLM products are, on the whole, more expensive than comparable products in the marketplace. They have to be, in order to pay commissions all the way up the line.
Does this mean that multi-level marketing is inherently bad? More on that in my next post.
Tuesday, January 13, 2009
Evaluation for Excellence
Whether you're competing in the business world or the job market (or competing to keep the job you have), the key to success is excellence. Employers and clients with their heads screwed on straight want to keep excellent service because excellence represents more value for each dollar spent.
That means to recession-proof your business, employment or present job, you need to rise above the mediocre. This raises the question: if excellence is the key to success, what is the key to excellence?
Henry over at assessment.com provides a great insight into what it takes to rise to excellence in one's work:
One comment that is heard time and again about those who demonstrate excellence is, "He/she is a natural at it." They don’t seem to struggle to be excellent; it just flows. That is always a sign of motivation, and therein lies the first key: Motivation is required for excellence. Motivation is what we like to do naturally. It’s like being right or left-handed. We don’t even think about it. We just write. The same is true for people known for excellence. They have a group of motivations that work in concert to help them perform at a higher level. Like all motivations, these were inborn and are as much a part of them as being blue-eyed or tall. But there is a second key: Motivation can be developed. People who demonstrate excellence have identified their motivations and worked hard to develop them. They have added knowledge, skill, experience and practice to consistently produce at the highest levels. By the way, there is a flip side to these two keys, and it is this: The best we can be with low motivation is adequate. No matter how hard we work and desire it, in the long run we will never be excellent at something without high levels of motivation in that area. In other words, if we toil in areas where we have low motivation, we resign ourselves to mediocrity.
He has not told the whole story, to be sure, but what he says makes sense. We tend to be good at what we like, and we tend to like what we're good at.
The Motivational Assessment Personality Profile (a test you can take for free over at assessment.com) will scientifically analyze how various job talents and skills motivate you. You can pay to get more information and insight from the test, but if you are like me, you will be surprised at the insights you get even from the free evaluation.
I recommend you take the free test. But don't buy anything yet, at least until my next post on this subject. Until then, I'd be pleased to hear your reactions to the test results in the comments section.
That means to recession-proof your business, employment or present job, you need to rise above the mediocre. This raises the question: if excellence is the key to success, what is the key to excellence?
Henry over at assessment.com provides a great insight into what it takes to rise to excellence in one's work:
One comment that is heard time and again about those who demonstrate excellence is, "He/she is a natural at it." They don’t seem to struggle to be excellent; it just flows. That is always a sign of motivation, and therein lies the first key: Motivation is required for excellence. Motivation is what we like to do naturally. It’s like being right or left-handed. We don’t even think about it. We just write. The same is true for people known for excellence. They have a group of motivations that work in concert to help them perform at a higher level. Like all motivations, these were inborn and are as much a part of them as being blue-eyed or tall. But there is a second key: Motivation can be developed. People who demonstrate excellence have identified their motivations and worked hard to develop them. They have added knowledge, skill, experience and practice to consistently produce at the highest levels. By the way, there is a flip side to these two keys, and it is this: The best we can be with low motivation is adequate. No matter how hard we work and desire it, in the long run we will never be excellent at something without high levels of motivation in that area. In other words, if we toil in areas where we have low motivation, we resign ourselves to mediocrity.
He has not told the whole story, to be sure, but what he says makes sense. We tend to be good at what we like, and we tend to like what we're good at.
The Motivational Assessment Personality Profile (a test you can take for free over at assessment.com) will scientifically analyze how various job talents and skills motivate you. You can pay to get more information and insight from the test, but if you are like me, you will be surprised at the insights you get even from the free evaluation.
I recommend you take the free test. But don't buy anything yet, at least until my next post on this subject. Until then, I'd be pleased to hear your reactions to the test results in the comments section.
Thursday, January 8, 2009
Online Garage Sale
While I intend this blog to be about business and economics, I thought I'd pass along this opportunity.
It's not really a career, and the only way to turn it into a business would be to have an attic with an inexhaustible supply of "used stuff". But it IS a way to turn those old video games, golf clubs or vintage records into cash.
A new online store called Triple Clicks is trying to position itself as THE online market for garage sale items. In order to promote their service, they will give you your first listing free.
If you have something to sell, and you're interested, Click Here.
(In the interest of full disclosure, I will benefit from click-throughs that result in free registrations.)
It's not really a career, and the only way to turn it into a business would be to have an attic with an inexhaustible supply of "used stuff". But it IS a way to turn those old video games, golf clubs or vintage records into cash.
A new online store called Triple Clicks is trying to position itself as THE online market for garage sale items. In order to promote their service, they will give you your first listing free.
If you have something to sell, and you're interested, Click Here.
(In the interest of full disclosure, I will benefit from click-throughs that result in free registrations.)
Tuesday, December 23, 2008
Purpose
God from all eternity did by the most wise and holy counsel of his own will, freely and unchangeably ordain whatsoever comes to pass; yet so as thereby neither is God the author of sin; nor is violence offered to the will of the creatures, nor is the liberty or contingency of second causes taken away, but rather established. (Westminster Confession of Faith, Chapter III, par.1)
God predetermines all things, and man has free will. This is the teaching of Scripture, and it is embodied in Reformed theology. To paraphrase R.J. Rushdoony, Predestination does not negate free will; it establishes free will.
The bottom line is that nothing happens outside God's plan, but man is still responsible. (It's a paradox. Get over it)
This means that Christians are called by God, who gifts them with a destiny. It also means that Christians are responsible to co-operate with their calling and destiny.
Part of that calling is to live out the character of Christ in all the departments of life: church, family, society and business. It is that last item that I want to make the focus of this blog -- at least for now.
That is to say, I want to record my observations about what the Bible teaches concerning economic principles (and perhaps even how they apply in our current national & international situation). But I also want to record this as a journal of my own trek into the world of business.
I have recently quit my job to become self-employed. I am not an expert in this field, and in fact I've failed in previous attempts to establish my own business.
Therefore, if you read this blog, don't come looking for an expert (I'M NOT!) who has the blueprint on how to prosper in business. Look at it as someone who is taking the steps, making the journey and will make mistakes as he looks to God's Word for guidance.
In a sense, I mean this blog to act as a sounding board for my ongoing efforts to co-operate with God's calling and destiny in this life, here and now. You are welcome to listen in and to join the conversation, as well.
God predetermines all things, and man has free will. This is the teaching of Scripture, and it is embodied in Reformed theology. To paraphrase R.J. Rushdoony, Predestination does not negate free will; it establishes free will.
The bottom line is that nothing happens outside God's plan, but man is still responsible. (It's a paradox. Get over it)
This means that Christians are called by God, who gifts them with a destiny. It also means that Christians are responsible to co-operate with their calling and destiny.
Part of that calling is to live out the character of Christ in all the departments of life: church, family, society and business. It is that last item that I want to make the focus of this blog -- at least for now.
That is to say, I want to record my observations about what the Bible teaches concerning economic principles (and perhaps even how they apply in our current national & international situation). But I also want to record this as a journal of my own trek into the world of business.
I have recently quit my job to become self-employed. I am not an expert in this field, and in fact I've failed in previous attempts to establish my own business.
Therefore, if you read this blog, don't come looking for an expert (I'M NOT!) who has the blueprint on how to prosper in business. Look at it as someone who is taking the steps, making the journey and will make mistakes as he looks to God's Word for guidance.
In a sense, I mean this blog to act as a sounding board for my ongoing efforts to co-operate with God's calling and destiny in this life, here and now. You are welcome to listen in and to join the conversation, as well.
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