MULTI-LEVEL MARKETING. FEATURES AND CONTROVERSY

Justyna Kaźmierczak1, Artur Łabuz2
1, 2 University of Szczecin, Poland
Kaźmierczak, Justyna (University of Szczecin, Poland)
Łabuz, Artur (University of Szczecin, Poland)
MULTI-LEVEL MARKETING. FEATURES AND CONTROVERSY
Annals of Marketing Management and Economics, 2018, vol.4, nr 1, s. 25-34

Słowa kluczowe

marketing network of connections commission system business model.

Streszczenie

Multi-Level Marketing is a kind of novelty in the business reality. The greatest popularity gained in Western countries, where it functions as a kind of hybrid method in distribution of the goods with the design of the sales network. It is one of the most secure business models. In Poland the awareness of this type of activity is still small and remains a wide spectrum of scientific research. This situation has led to the creation of this article. The aim of the publication is to highlight the problems of Multi-Level Marketing, an indication of the essence of this phenomenon, and show how far is different than traditional marketing. The article presents the system of functioning of this kind of business, how it works a system of charging commissions and indicated a practical example of this system. Considerations based on literature studies and case studies.