Does the state of the economy have an effect on your network marketing business?
If you have been watching the news as of late, you likely are hearing all of the bad reports about the economy. Fuel costs are rising worldwide. This is causing an escalation in costs for every type of business that uses fuel.
The global economy is causing a decrease in wages in a number of different industries. In addition to all of these negative trends, unemployment is at an all time high.
The number one asset for most people, the personal residence, is depreciating rapidly.
Mortgage qualification requirements have increased significantly making it more difficult to own a home. Because of the challenging economy, many network marketing distributors feel they will not be able to build their business.
They worry that nobody is interested in getting started in a home based business because finances are tight. They fear that nobody has the start up capital to start a home based business.
This is simply a result of the economy myth.
How Does the Economy Influence Network Marketing?
The economy myth is the false belief that if the economy in general is doing bad, network marketing recruiting is going to suffer.
This is completely not true. In fact, you can argue the opposite to be true. When the economy is doing badly, many people who were once resistant to the concept of network marketing now become open to the idea because of the need for additional income.
The Real Estate Industry is an Example
For example, take a look at the real estate industry. Over the past 5 years, recruiting real estate agents and brokers into your network marketing business was a difficult process.
Agents could literally get their license, set up shop in a brokerage and make a full time income part time selling homes on the side. Many agents were making six figures, or even multiple six figure incomes.
Brokers made strong six or seven figure incomes.
However, with the depreciation of house prices and the slowdown of home sales, the real estate industry has been devastated. Agents who made six figure incomes are lucky to make even $30,000 a year.
Due to these major changes in the industry, real estate professionals who previously looked down their nose at network marketing are now not only taking a second look, but they are joining.
Using the skills and personal development they acquired in the real estate industry, many of them are going on to build huge incomes and organizations in network marketing.
This holds true for other industries as well.
Network Marketing Provides Solutions in a Weak Economy
Many parents would like to get a second job. However, when they realize that the cost of babysitting is so high it would literally wipe away most of the gains earned from a second job, it simply ceases to be a realistic option.
A network marketing business becomes a serious option due to the ability to run the business strictly from home.
It becomes even easier to run the business from home with the advent of many internet network marketing prospecting strategies and techniques.
A poor economy is simply nothing more than an excuse used by frustrated networker marketers who are not having the success they would like to have.
Don’t join that crowd. Decide today that you are going to build a huge business in a tough economy. You will be very happy with this decision.