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Entrepreneurs Learn From Amway's Success In Network Marketing
Regardless of how you feel about MLM or network marketing, Amway's success cannot be denied.
By: Art Consoli
Regardless of how you feel about MLM or network marketing, Amway's success cannot be denied.
By: Art Consoli
Behind the over 3 million distributors selling more than $7 billion in product in more than 70 countries lies an effective management system that helps and gets the most out of an organization of disparate people none of which operate from a company office. Every entrepreneur can benefit from understanding how Amway recruits, trains, and motivates its independent distributors.
Even with an annual turnover estimated to be in excess of 40%, Amway "manages" to keep growing. And now the current trend of outsourcing jobs and corporate downsizing plays right into their hands.
Any entrepreneur or businessperson can learn from Amway and improve their company's performance by adapting the same techniques.
Studying Michael G. Pratt's academic article, "The good, the bad, and the ambivalent: Managing identification among Amway distributors" in the September 2000 issue of Administrative Science Quarterly provides some interesting information.
Amway has focused on everyone's need for identity; his or her own, how they relate to their associates, and with the business or company with which they are linked.
Having come to understand the importance of this issue, Amway figured out how to capitalize on the negative feelings people have with respect to their identity and through dream building and positive actions by the up-line distributors, motivate them to become successful Amway distributors.
Recruits to the Amway program are carefully screened to determine where they are on the dissatisfaction scale and why. Once determined, negative statements designed to increase the dissatisfaction ("Sensebreaking") by attacking the sense of why the individual should remain in that bad situation, are repeatedly presented to the individual.
At the point when the person is willing to abandon the unpleasant situation (s) Amway then gives the person new meaning for his or her life, ("Sensegiving") until finally the person takes action ("Sensemaking") as he or she sees the sense of joining Amway.
Once on board the Amway train, the down-line people are constantly assessed by successful up-line people who are unusually adept at determining where they are in these three emotional states. Should anyone start to become ambivalent, "help" is quickly provided to whichever condition needs attention or reinforcement.
How does this help you in your business?
Page 2
Art Consoli's unique background and skills allow him to speak and write about how someone with limited experience can do a self-evaluation which will let him decide which business opportunity is best, how to evaluate opportunities and gain control over the one which offers the greatest potential and then manage that business to success. Readers of his book call and write to tell him how much his book has helped their lives and improved their business. The author can be reached at www.businessstrategyartconsoli.com.
Even with an annual turnover estimated to be in excess of 40%, Amway "manages" to keep growing. And now the current trend of outsourcing jobs and corporate downsizing plays right into their hands.
Any entrepreneur or businessperson can learn from Amway and improve their company's performance by adapting the same techniques.
Studying Michael G. Pratt's academic article, "The good, the bad, and the ambivalent: Managing identification among Amway distributors" in the September 2000 issue of Administrative Science Quarterly provides some interesting information.
Amway has focused on everyone's need for identity; his or her own, how they relate to their associates, and with the business or company with which they are linked.
Having come to understand the importance of this issue, Amway figured out how to capitalize on the negative feelings people have with respect to their identity and through dream building and positive actions by the up-line distributors, motivate them to become successful Amway distributors.
Recruits to the Amway program are carefully screened to determine where they are on the dissatisfaction scale and why. Once determined, negative statements designed to increase the dissatisfaction ("Sensebreaking") by attacking the sense of why the individual should remain in that bad situation, are repeatedly presented to the individual.
At the point when the person is willing to abandon the unpleasant situation (s) Amway then gives the person new meaning for his or her life, ("Sensegiving") until finally the person takes action ("Sensemaking") as he or she sees the sense of joining Amway.
Once on board the Amway train, the down-line people are constantly assessed by successful up-line people who are unusually adept at determining where they are in these three emotional states. Should anyone start to become ambivalent, "help" is quickly provided to whichever condition needs attention or reinforcement.
How does this help you in your business?
Page 2
Art Consoli's unique background and skills allow him to speak and write about how someone with limited experience can do a self-evaluation which will let him decide which business opportunity is best, how to evaluate opportunities and gain control over the one which offers the greatest potential and then manage that business to success. Readers of his book call and write to tell him how much his book has helped their lives and improved their business. The author can be reached at www.businessstrategyartconsoli.com.
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