What Does Information Giant WIKIPEDIA Say About MLM (Multi-Level-Marketing) and Network Marketing?

Xocai Healthy Chocolate and MXI Corp are Leading the Legitima cy Revolution With Adam Paul Green as a Key MLM Leader and Top Earner Multi-level marketing (MLM) is a marketing strategy in which the sales force is c ompensated not only for sales they personally generate, but also for the sales o f others they recruit, thus creating an organization of distributors and a hierar chy of multiple levels of compensation. Other terms for MLM include network mark eting and referral marketing. Most commonly, the salespeople sell products directly to consumers by means of re lationship referrals and word of mouth marketing. Some people equate MLM with di rect selling, although MLM is only one type of direct selling. MLM companies hav e been a frequent subject of criticism as well as the target of lawsuits. Critic ism has mainly been focused on their similarity to illegal pyramid schemes, pric e-fixing of products, high initial start-up costs, emphasis on recruitment of lo wer-tiered salespeople over actual sales, encouraging salespeople to purchase an d use the companys products. Xocai (Mxi Corp) is not a pyramid scheme. However, no t all MLM companies operate the same way, and MLM groups have persistently denie d that their sales techniques are anything but legitimate business practices. In contrast to MLM is single-level marketing. In single-level marketing, the sales person is rewarded for selling the product, but not for recruiting or sponsoring other salespeople. ~Direct selling, Network Marketing, and Multi-level Marketing Network Marketing and Multi-level Marketing are generally considered to be synony ms, and a subset of direct selling. While direct selling and network marketing refer primarily to the distribution system, the term multi-level marketing emphasizes t he compensation plan more. Network Marketing tends to be modern preferred term, however many other terms are also used, including word-of-mouth marketing, inter active distribution, relationship marketing and others. Critics have argued that the use of different terms and buzzwords is an effort to distinguish multi-level marketing from illegal Ponzi schemes, chain letters, and consumer fraud scams. Xo cai (Mxi Corp) is not a pyramid scheme. The Direct Selling Association (DSA), a US industry body, reported that, in 1990, 25% of members used MLM, growing to 77.3 percent in 1999. Companies such as Avo n, Electrolux, Tupperware, and Kirby all originally used single level marketing to sell their goods and later introduced multi-level compensation plans. By 2009 , 94.2% of members were using MLM, accounting for 99.6% of sellers, and 97.1% of sales. The DSA has approximately 200 member (companies) while it is estimated t here are over 1,000 firms using multi-level marketing in the US alone. ~History Its generally accepted that the first multi-level marketing plan was introduced in 1945 by the California Vitamin Company (shortly afterwards to become Nutrilite) . The plan allowed Nutrilite distributors with at least 25 regular customers to recruit new customers and draw a 3% commission from their sales. Unlike traditio nal direct selling, this was an ongoing payment whenever the customer re-ordered , allowing direct sellers to build a sales organization that could generate a re sidual-like income. ~Setup Independent, unsalaried salespeople of multi-level marketing, referred to as dist ributors (or associates, independent business owners, dealers, franchise owners, sales consultants, consultants, independent agents, etc.), represent the compan y that produces the products or provides the services they sell. They are awarde d a commission based upon the volume of product sold through their own sales eff

orts as well as that of their organization. Independent distributors develop the ir organizations by either building an active customer base, who buy direct from the company, or by recruiting of independent distributors who also build a cust omer base, thereby expanding the overall organization. Additionally, distributor s can also earn a profit by retailing products they purchased from the company a t wholesale price. ~Legality and Legitimacy MLM businesses operate in the United States in all 50 states and in more than 10 0 other countries, and new businesses may use terms like affiliate marketing or hom e-based business franchising. However, many pyramid schemes ALSO try to present t hemselves as legitimate MLM businesses. The FTC states: Steer clear of illegal py ramid schemes. Xocai (Mxi Corp) is not a pyramid scheme. Pyramids are NOT MLM com panies all the time they are bad pretenders! Why is pyramiding dangerous? Becaus e pyramid plans inevitably collapse. How can you avoid a pyramid? Look for compa nies that have been in business at least 5 years thats your best measuring stick. In a 2004 Staff Advisory Letter to the Direct Selling Association, the United St ates Federal Trade Commission (FTC) stated: Not all multilevel marketing plans ar e legitimate. In fact, some are pyramid schemes. Xocai (Mxi Corp) is not a pyrami d scheme. Its best not to get involved in plans where the money you make is based primarily on the number of distributors you recruit, rather than on your sales to people outside the plan who intend to use the products. The FTC also warned, t hat research is your best tool, giving eight (8) steps to follow: 1) 2) 3) 4) 5) 6) 7) 8) Find and study the companys track record Learn about the product Ask questions Understand any restrictions Talk to other distributors Consider using a friend or adviser as a neutral sounding board Take your time Think about whether this plan suits your talents and goals

~However, there are certain people who hold that all MLMs are essentially pyrami d schemes even if they are legal. ~Criticism The United States Federal Trade Commission (FTC) issued a decision, In re Amway C orp., in 1979 in which it indicated that multi-level marketing was not illegal i n the United States. However, Amway was found guilty of price fixing one time (b y effectively requiring independent distributors to sell at the same fixed price) and making exaggerated income claims. This incident was decades ago and the laws in the USA have since been changed (updated) to better monitor, control and pol ice the MLM Industry. The FTC advises that multi-level marketing organizations w ith greater incentives for recruitment than product sales are to be viewed skept ically. Xocais comp plan complies with these requirements 100%. Xocai (Mxi Corp) is not a pyramid scheme. In April 2006, it proposed a Business Opportunity Rule intended to require all sellers of business opportunitiesincluding MLMsto provide enough information to enable prospective buyers to make an informed decision abo ut their probability of earning money. In March 2008, the FTC removed Network Marketing (MLM) companies from the propos ed Business Opportunity Rule. http://adampaulgreen.com/what-does-information-giant-wikipedia-say-about-mlm-mul ti-level-marketing-and-network-marketing-xocai-healthy-chocolate-and-mxi-corp-ar e-leading-the-legitimacy-revolution-with-adam-paul-green-as-a-4/

About MXI Corp (Marketing Xocolate International Corporation): Established in 2005, Marketing Xocolate International Corporation (MXI-Corp) is the world leader in natural antioxidant products with a particular focus on heal thy, dark (and now milk) chocolate products. All MXI Corp products are focused on potent doses of delicious, antioxidant-rich Belgian cacao. MXI Corp believes that the high levels of natural antioxidants that are found in its cacao can pr ovide a viable solution to individual nutritional needs. The Xoai (show-sigh) pro duct line, which currently includes nine products, is manufactured utilizing a p roprietary cold-press process, which preserves the nutritional values of the com panys proprietary blends of vitamins and minerals. Nevada-based MXI Corp is a pri vately held company. The Brooks family, owners and operators of MXI Corp, have t otal combined chocolate sales of more than $1 billion. ~MXI Corp currently operates in 25+ countries and has over 200,000 distributors. ~Archived press releases can be found at http://www.AdamPaulGreen.com ~Join Xocai Today! Additional Key Information Can Be Found Here: http://adampaulgreen.com/join-xocai-today-and-eat-healthy-chocolate/ http://adampaulgreen.com/resources/getting-started/promos/ http://adampaulgreen.com/resources/getting-started/