Robert Kiyosaki has been a best-selling author, speaker, and investment guru for many years. Probably his best-known book is Rich Dad Poor Dad, where he explains the stark differences in the lessons his real father (Poor Dad) and his best friend’s father (Rich Dad) taught him. about money. If you want to know some basic fundamentals on how to understand the world and how to become truly rich, I definitely recommend giving it a quick read, it will probably change his life… I know it changed mine.
But to the point of this article, what does Robert Kiyosaki really say about network marketing? Well, network marketing in society often gets a bad rap and I’ll get to those later, but what Robert Kiyosaki says is that network marketing is a good option if you’re interested in learning business principles. It’s a place where you have very low start-up costs, at least compared to more traditional businesses, and you have the opportunity to learn real business principles. Some of the principles he talks about are learning to sell and market, managing people, getting rejected, and making money work for you, even when you’re working it.
So let’s move on to some of the reasons why network marketing has gotten a bad rap in society.
- Start-up costs:
- no job no pay
- They are ALL pyramid schemes
For some reason this is frowned upon, but when you compare the amount of these costs to what it would cost to start a traditional business, say a tire shop, the difference is staggering. They are literally a fraction of the costs.
The network marketing business model is basically that of a mini-franchise, which means that each new person is a distributor, consultant or business owner, and in a true franchise you don’t get paid until you sell something. This is also true of most network marketing businesses, whether you’re selling the product or selling a new franchise.
This is probably the most false statement of all. A pyramid scheme is defined as a business model where someone is paid simply to sign up a new person and not offer any actual product or service. There are network marketing companies that have been around for many years and I have many friends and family who still use the products the companies offer (and don’t buy from me), not to mention that they are happy with the product and how it works. plays.
If network marketing is something you’re taking an honest look at, then you really need to do some soul-searching as to what you really want to accomplish by doing this type of business. If you are simply looking for a quick way to make money, this is not the industry for you. You may make some money initially, but if you are not willing to help train others and are not willing to put in the time to help others succeed, it will all fall apart.
But if you’re interested in being a true business owner and learning the principles necessary to run a successful business, this is a great first step. To be REALLY successful, you’ll need to put energy into learning how to sell, market, overcome objections, and manage people. When you’ve mastered these, you’ll not only be a great network marketer, but possibly ready to move on to other, more traditional business models if that’s your goal.
Robert Kiyosaki is a true advocate of financial, business and emotional education and recommends network marketing as a great first step into the business world.