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Let's compare the two.
Network marketing / Multi-level
marketing ( MLM )
They usually offer reasonably priced products and services that people consume
in a short time. Generally the commission structure is less up-front then the direct sales companies, but it has a benefit
that most direct sales companies do not have and that is residual income.
• It costs less to get involved with this form of business, a few hundred
dollars.
• Allowing more people to become involved.
• Residual Income.
Network marketing is about sales and distribution, but a different kind of sales.
Its more of a soft sale or recommendation then the hard closing type that your accustomed to with the typical salesman or
saleswoman in the direct sales.
Direct Sales Companies
These companies are known as seller-based, they market higher priced, usually
one time sales items. The benefits of these programs are you make higher commissions but they have very little if any residual
income. Essentially if you stop working so does your income.
You are paid directly on what you personally sell, so you have to sell lots and
lots of merchandise. This also limits you to the type of people you can bring into your business as the “salesperson”
type. Direct sales cost more to get involved with usually in the thousands of dollar range, again limiting you on the number
of people! | 
