5 thoughts on “Is this called MLM?”

  1. 1. What is MLM? What is MLM?

    In the State Council of the State Council of No. 444, the "Regulations on MLM" announced by the announcement is defined:

    MLM refers to the organizer or operator developer. Calculate and pay for the number of personnel who are directly or indirectly developed or the sales performance, or require the development personnel to obtain illegal interests in accordance with the condition of paying a certain fee, disrupt economic order, affect social stability Behavior.

    . The evolution of MLM definition

    The earliest term MLM was translated from the English "Multi-Level Marketing". Meaning: multi -level associated operation method.

    Due to my country's adjustment of MLM policies in 1998, some people have gradually replaced the word transmission with the word direct sales. According to the national policy at the time, people referred to the multi -level business method of "specialty store plus direct salesperson" as "direct sales". The multi -level operation method of specialty stores is called "illegal MLM". The term "MLM" was faded, and there was no clear definition.

    With the process of direct sales legislation, the "Regulations for the Prohibition of MLM", which will be implemented on November 1, 2005 on September 1, 2005 The latest clear definition.
    Mority does not make people do not have affection, friendship, and even love ~~~ In the case, it is "six relatives who do not recognize" which one.

    MLM is actually direct sales. According to January 10, 1997, The State Administration for Industry and Commerce Order No. 13 announced that the MLM Administrative Measures stipulated that the so -called MLM refers to the way manufacturers do not sell them through store sales, but the operating methods of MLM directly sold their products to consumers. It includes multi -level MLM and single -level MLM. For the time, the country was filled with MLM business activities, but because the criminals used MLM for the requirements of cults, gangs and superstitions, rogues, etc., which seriously deviated from the construction of spiritual civilization, it affected the stability of our society. Cadres, active soldiers, and all -day students participate in business. In order to protect the legitimate rights and interests of consumers, promote fair competition, and maintain the order of market economic order and social stability, the State Council issued a notice on the prohibition of MLM business activities in 1998. harm. 2. From the date of the release of this notice, any MLM activities are prohibited. 3. Strengthen law enforcement and severely banned various MLM and disguised mLM behaviors. It can be seen that MLM business activities have been explicitly prohibited.
    Myromicular is an illegal act. According to the "Notice of the General Office of the State Council on the Development of Special Campaign of MLM in 2001", for MLM and the recently -emerging network MLM such as MLM The large -scale and serious major cases, organize special forces, adopt strong measures such as "end denomination, grasp of the lead, blocking account, hanging license, and refund money" to investigate and complete it.

    The five major frauds of MLM
    [Case Guide]
    The experts from the State Administration for Industry and Commerce introduced the main tricks of MLM and MLM activities in MLM R n [Case text]

    one of the tricks: The source of MLM is not relying on retail products, but the cost of the offline meeting

    Looking at the MLM cases of "Wuhan Xintian" in some areas of Hebei, the MLM organization is strict in the middle level, and it is divided into five levels: members, promoters, trainers, agents and agents. According to the performance of each person, from low to high -level promotion, the development of 1 offline can become a member, with 15%of the entry fee for extrapolation; 3 to 9 people can become trainers, with 20%of the entry fee commission, commission of the entry fee for entry fees. ; 10 to 64 people can become promoters, developed 65 to 391 as agents, and commissioned at 42%of the entry fee; more than 392 or more agents can withdraw their entry fees at 52%of their entry fees. Essence

    This Two: Double control of violence and spirit

    Linking MLM is actually organized criminal activities. It is difficult to get rid of MLM organizations. After many people were "brainwashed", they were deeply trapped and could not extricate themselves. They were convinced of the concept of MLM and MLM in disguise. (Fraud Research Network)
    In addition, the MLM organization also forced participants to develop offline and continue to trick friends and classmates to join. Because the development targets of MLM personnel are mostly relatives, friends, classmates, fellow villagers, and comrades in arms, their unscrupulous methods of fraud have led to a serious decline in trust between people, triggering their friends and relatives, and even the death of their families.

    The "sales"

    The recently seized illegal MLM activities are usually unprecedented sales, which is commonly known as "Lairen" sales. These pyramidles are paid and commissioned as a basis for cheating. The so -called commodity is just a medium and does not go to the hands of consumers.

    The trick of tricks: MLM and MLM in disguise using the Internet

    March this year, the Chengdu Industry and Commerce Bureau and the Public Security Bureau successfully cracked a MLM organization of the US Internet Fund. Its organization claims to be a huge commodity distribution system covering all over the world (including streets, townships) through the issuance of financing throughout the world. The specific method is that through the introduction of others, the introduction of the person's registration name and password, log in to the website to subscribe for $ 174 a fund. After the subscription Join, constantly selling funds, and continuous compensation. In China, it is necessary to pay 1680 yuan to join Internet funds. The joined person handed the money to the introducer, and the introducer or he went online to send the money to the United States.

    This Trip 5: Based on the introduction of the work as a deception student to join the MLM organization

    Morne organizations to recruit workers, and use young people to actively eager to succeed to cover up illegal MLM fact. The temptation of "good work" is the first group of students who have been pulled into the water. Some students in the school have a job search, and the "good job" and "high income" promoted by MLM organizations have lost their ability to resist the temptation. In addition, MLM organizations adopt restrictions on restrictions Personal freedom and other means have made it difficult for some students to be lost in the MLM vortex.
    The students participating in MLM are interested in the concept of "one night" claimed by MLM organizers, or they are confused by virtual things such as "equality" and "care" proposed by MLM leaders.

    What is illegal MLM?
    Mority, also known as direct sales outside the country (border), generally refers to a marketing method that companies or services are sold directly and provided to consumers through the circulation links such as store operations. Due to the advantages of low sales costs of MLM, many foreign companies have adopted this marketing method. After MLM was introduced to my country, it immediately changed. Some criminals used the characteristics of organizing MLM, the hiddenness of the traders, and the decentralization of the MLM personnel. The current situation of immature operations, illegal operation, fund -raising fraud, sales of counterfeit and inferior products, smuggling products, and other illegal and criminal activities.

    This illegal MLM have two obvious characteristics: First, the price of MLM commodities seriously departs from the actual value of the product itself. Some MLM products have no use value and value at all. Fiction; the second is that the income obtained by the participants is not from the reasonable profits obtained from sales products or services, but the expenses paid by others when they join. They are exactly the same as the "mice" and "pyramid fraud" outside the country (border). In fact, it is a fraud that makes a few people such as the organizers gather money and the vast majority of jokes will be reduced to the victims. The costs of participating in the masses are completely possessing or used by criminals or used to pay online. Most criminals use a small part of the cost paid by the participants to maintain the operation of illegal activities. Most of them have already transferred to their personal accounts. Once it is difficult or revealed, they are ready to escape.

    It to protect the legitimate rights and interests of consumers, promote fair competition, and maintain the order of market economic order and social stability, the State Council issued a notice on the prohibition of MLM operations in 1998. As a result, it is required to resolutely prohibit MLM business activities. Enterprises that have been approved to register for MLM operations will immediately stop MLM business activities.
    I answers: Beiming Palace Master-Grand Magic Master 9th level 2-15 21: 00

    The difference between direct sales and MLM, so-called "direct sales", there are many ways of expression, the most basic, the most basic It is to leave the fixed sales location, that is, there is no store sales. Established in the world in 1978 ... A variety of concepts such as "MLM", "Direct Sales", "Network Marketing", "Single -Flash Direct Sales", and "Multi -Story Direct Sales" have appeared, causing confusion about MLM and direct sales. Direct sales ...

    The differences between illegal MLM and direct sales

    In April 1998, after my country issued a prohibited MLM, illegal MLM personnel have no guise of deception. Then he borrowed the name of "direct sales" and continued to deceive. However, no matter how "illegal pyramiders" change their faces, as long as they pay attention to observation and distinguish between legal direct sales and illegal MLM, they can always see the essence of these frauds.

    What is direct sales? The World Direct Sales Association explains this way: Direct sales refers to the place outside the fixed retail store (such as personal residence, work place or other places). Independent marketers use the face -to -face way to directly introduce the products and services through explanations and demonstration methods. Give consumers for marketing.

    The legal direct sales is to transport high -quality products directly to consumers. At the same time, there is a comprehensive after -sales service guarantee and return mechanism to avoid economic losses of consumers and salespersons. The real direct sales can be called a bright pearl in the field of marketing, which not only successfully created large multinational companies such as Amway, Mary Kay, Avon, but also its excellent marketing concepts and rich management philosophy under this concept. The successful cases of these pioneers were selected as compulsory textbooks of MBA (Master of Business Administration) at Harvard University.

    So what is illegal MLM? According to the Opinions of the State Administration for Industry and Commerce, the Ministry of Public Security, the People's Bank of China on the "Opinions on Strict Campaign of MLM and MLM, etc.", the characteristics of MLM or MLM in disguise MLM are mainly:

    (1 ) Operators engage in storeless business activities through developers and organizational networks, and those who have been online between participants will be paid from the offline marketing performance; Subscribe products (including services, the same below), etc. The way to get the entry fee, obtain the qualifications of joining, introducing or developing others, and obtain returns; The income paid by the offline members, and the amount of the income is determined by the sequential order of the addition of it; The costs paid in disguise in disguise;

    (5) Organizers use some of the costs paid by the participants to pay for the compensation of the participants;

    (six 6 ) Others who are engaged in mileamina activities through development personnel, organizational networks, or recruiting people with high returns.

    The most fundamental difference between legal direct sales and illegal MLM is: Legal direct sales companies have their own factories, their own scientific research institutions, production and sales of products are approved by the state, companies and direct selling The members are cooperative relationships, and the interests are based on sales of goods; illegal MLM companies do not have their own factories, but instead put the poor products of other manufacturers on layer by layer. This kind of "indirect trafficking" that earns intermediate profits through the conversion of goods, so that the price of goods and actual actuality is far, and the more layers of MLM, the higher the price of the product. , And MLM is not allowed to return, it has suffered great economic losses.

    D direct selling and MLM is "Direct Selling" in the original meaning of English. This kind of marketing method without shops was originally introduced to the mainland of the motherland by Hong Kong and Taiwan. Most of the Hong Kong and Taiwan regions translate it into " MLM. Due to the regulatory vacuum, the development model of the "Mouse Association" type has brought about the loss of control to the direct sales industry, and it has become a street -crossing mouse that everyone shouted. It also became a derogatory word. In fact, MLM is an evil mutation of direct sales. It is a product of being used. It is similar on the surface. There is only "one wall separation" between direct sales and illegal MLM. Management is justified.

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