Network marketing : consumer perception and commission structure
medeiros, anniina (2021)
2021
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Julkaisun pysyvä osoite on
https://urn.fi/URN:NBN:fi:amk-2021060915404
https://urn.fi/URN:NBN:fi:amk-2021060915404
Tiivistelmä
Network marketing, also called multilevel marketing is a field of direct selling. The major difference between network marketing and direct selling is the possibility to grow a personal sales organization.
This study discusses the awareness of multi-level marketing companies in Finland, differences between MLMs and pyramid schemes, the most recognized MLM companies in Finland, the overall image of MLM businesses among the consumers, convincing on new members to join in the MLM business and to examine how the commission is structured.
The literature review studies the history and present of network marketing on international level and in Finland, compensation plans, ponzi and pyramid schemes, differences and characteristics between legal MLMs and pyramid schemes and marketing of the products and business opportunities.
Quantitive method was used to collect the data. An anonymous online survey was implemented and shared on multiple social media channels.
Research findings presented that the consumers overall perception of network marketing was negative because of feeling of being under pressure and empty promises. Majority of the respondents had ordered products from network marketing companies and the user experiences of the products had been positive.
Some of the respondents had been working as sales representatives in network marketing companies but none of them had network marketing as their primary source of income.
This study discusses the awareness of multi-level marketing companies in Finland, differences between MLMs and pyramid schemes, the most recognized MLM companies in Finland, the overall image of MLM businesses among the consumers, convincing on new members to join in the MLM business and to examine how the commission is structured.
The literature review studies the history and present of network marketing on international level and in Finland, compensation plans, ponzi and pyramid schemes, differences and characteristics between legal MLMs and pyramid schemes and marketing of the products and business opportunities.
Quantitive method was used to collect the data. An anonymous online survey was implemented and shared on multiple social media channels.
Research findings presented that the consumers overall perception of network marketing was negative because of feeling of being under pressure and empty promises. Majority of the respondents had ordered products from network marketing companies and the user experiences of the products had been positive.
Some of the respondents had been working as sales representatives in network marketing companies but none of them had network marketing as their primary source of income.