People would often mention "creating a business" when I was an IBO when I was working there. However, many people who spoke about starting a business had no idea what they were talking about. I believe this is due to the fact that they were taught that developing a business entailed listening to cds and attending networking events. Alternatively, sponsoring people may be necessary in the course of growing a firm. In my section of the Amway universe, growing a business was primarily about recruiting and demonstrating the strategy to customers. Evidently, I was misled, as were a large number of other people.
A customer base is typically considered to be the first step in the process of establishing a business. A profit is made when a business moves items and services. People who participate in groups that emphasise buying from yourself or other prosumer nonsense will generally struggle because the revenue they make in their business comes entirely from their own pockets. Alternatively, their jobs may actually be providing the funds for their own bonuses. The only way to profit in this model is to sponsor a large number of downline members so that the pyramidal pay structure can work in your favour.
Many independent business owners (IBOs) compare themselves to a franchise. Imagine owning a true franchise where your long-term success was dependent on your ability to open additional franchise locations. But what if you, as the business owner, and your family accounted for the vast majority of the sales revenue? Is it possible for this franchise to survive? Most likely, this is not the case. However, this is exactly what many Amway Independent Business Owners (IBOs) do, and they are misguided in believing that they would be successful. The only reason Amway Independent Business Owners (IBOs) are able to maintain this model for a longer period of time than a standard franchise owner is because they do not have to rent office space or recruit workers.
It would be instantly apparent if an Amway IBO ran their business like a regular business that they were not making any retail sales to non-IBO clients when the first month's utility bill or lease payment arrived in the mail.
Building a business entails a wide range of activities. These items may include advertising and product marketing, but they are not need to contain any training in order to be effective. When reduced to its most basic form, the Amway business is all about selling and consuming products, while also encouraging others to do so as well. Why do IBOs believe that such comprehensive training (including standing order and functions) is required? Challenge IBOs to prepare a detailed business plan for their Amway business, including estimated revenues and expenses, and then submit it to me to see what you come up with in response. If you believe I am being unfair, write up your Amway presentation and hand it in to a loan officer at a bank to prove your point. Take a look at what they have to say. Seriously.
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