Difference between MLM & Pyramid Scheme – Everything You Need To know

Multilevel Marketing is a selling strategy in which various MLM companies recruit distributors to market their products and services to the people and also inspire others to join the company as a distributor and receive a commission, by selling the products additional and inviting others to work.

Multilevel Marketing is usually confused with Pyramid Scheme; wherein one pays to join and convert an agent of the scheme who get paid for raising others into the system and thus extending their network.

One of the most notable differences between multilevel marketing and pyramid scheme is that goods and services are exchanged in case of former, whereas no goods and services are traded in the latter.

Explore more to find out Difference between MLM vs Pyramid scheme

1 thought on “Difference between MLM & Pyramid Scheme – Everything You Need To know”

Leave a Comment