The Network Marketing concept was originated during the early 1930s by Carl Rehnborg, an American businessman who lived in China from 1917 to 1927. His 10 years in China has provided him with plenty of opportunity to observe and study the effects of an unbalanced diet.

He found out that a balanced diet was needed in order for the body to function properly; he then began to research on a dietary supplement which could provide people with important nutrients regardless of their eating habits.

After seven years of research, Carl Rehnborg had produced a food supplements in which he gave to his friends to try. After a certain period of time, he would visit his friends to see the results of his products. Many a times, he would find his products still sitting on the shelves, unused and forgotten.

People are not trying them because it was free and was therefore worthless to them. It was at that time he realized that the solution to this is to charge them for the products.

When he starts to put a price and sell it to his friends, they naturally consume it. They actually liked the products and started telling their friends about how great these products was and wanted their friends to try them too. When they asked Carl to sell the products to their friends, Carl proposed to his friends to sell it to them and he is willing to them a commission.

This was how Carl Rehnborg’s food supplement business started taking off and the California Vitamin Corporation was born. It was later changed to Nutrilite Products in 1939 when it moved to larger headquarters and the rest was history.

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Network Marketing is still the most challenging and rewarding industry in the world today. An industry that touch many peoples’ lives and yet it is often misunderstood by many people. Terms such as Network Marketing, ‘MLM’ and Multi Level Marketing all refer to the same type of business model.

This industry has had more than it’s share of scumbag crooks and con artists that have used and abused the concept. However, if you do your homework and get involved with a legitimate network marketing organization, this business model has exceptional income potential.

Paul Zane Pilsner a renowned economist and author of New York Times Best sellers such as ‘Unlimited Wealth’ and ‘The Next Trillion Dollar’ describes “Network Marketing” as Intellectual Distribution educating consumers about products and services that will improve their lives, products, and services that they didn’t already know existed.

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Nowadays people are getting more creative or rather being able to capitalize on markets trends to make some fast buck using the network marketing business model.

One has to be more careful before parting your money away. “Money talks” and it often say “Goodbye”.

I have to share with you this story, this is a good one.

As we all know that “Fung Shui” has become very fashionable and it is the “In Thing” now, everything seems to be “fung-shuiable”. Nevertheless, I am also a believer in Fung Shui. Thanks to Master Joey Yap and Lilian Too for they have made it so popular. Have you ever come across a company that uses MLM to market personal fung shui? Refreshing, right?

A couple of months ago, my cousin introduced me her new friend (her upline). She was telling me about all the wonderful things that have happened to her after she attended a seminar and started using the products.

What is it? I asked. Quickly her upline took out some brochures and blah….blah….blah……and started to ask for my birth date to calculate my luck.

Wow! This is original, fung shui MLM. Apparently it was based on the ancient art of Hindu numerology. What more, a young Chinese founder probably in his early thirties teaching Hindu numerology?

The plot was quite simple, let’s say “No. 6” is for wealth and “No 7” is for health and so on. You will have to add up all the digits of your entire birth date; add again until you arrived to a single digit.

This is nothing new, I have heard of it ages ago. I asked.

No, no wait. She said. If your personal number is 2 and wealth is what you are after, then you should buy a pendent “No 4” to wear. 2 + 4 = 6 = wealth and so on. They are wearing a few pendants with different numbers, saying that each number is for different a purpose.

If that is the case I don’t need to buy any of them, I carry all the “Numbers” with me as in my IC, driver’s license and the cash. They all have numbers.

The founder of this company is a very smart businessman as he knows how to work on human weaknesses. “The Fear and the Greed”. The fear of losing out if this works, (my friend will be richer than me) and the greed will drive them to want to get rich quickly or instantly. Tell me who doesn’t want to be wealthy?

I am sure what is actually in his mind is to make money and there are so many suckers out there who will buy this story. Come on, think. Is there is any perceived value in it? Be smart and don’t get con.

This is definitely a camouflaged network marketing company, very well disguised and well blended in. Unless you know the differences and being able to recognize the tactics a pyramid scam uses, you may find yourself tempted to join and become involved. It is all based on human greed and this is a typical example.

“There is no calamity greater than lavish desires.

There is no greater guilt than discontentment.

And there is no greater disaster than greed.”

- Lao Tze, Chinese philosopher (604 BC - 531 BC)

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