Kathmandu, September 28:

Network marketing could lead you to a successful and prosperious life if done in an ethical manner, claims a recently published book. But many Nepalis might not believe it, as they ha-ve been time and again cheated by one or the other ‘lucrative schemes’. “The problem is one should understand the difference between network marketing and pyramide scheme,” clarifies the book, ‘Status and necessity of network marketing,’ written by Purna Bandhan, a marketing researcher. “Network marketing or multilevel marketing is a legal system of merchandising products through multiple levels of distribution. These distributors purchase goods at wholesale and act as middlemen between the manufacturer and consumers who pay retail pric-es,” says Doris Wood, a proponent of multilevel marketing.

The author not only tries to trace the history of marketing from Yankee peddlers to the present e-commerce and network marketing to prove its scope in Nepal, but also gives us a peep into the world of the current marketing trends. Vouching for ‘ethical marketing’ practises, the author gives an inside story of some multilevel marketing companies like American Marketing Way-Amway, its marketing strategy, turnover and profits it provides to its customers. “Network industrial revolution is the form of another economic revolution in the worl-d,” the author argues. He see-ms near the truth that marketi-ng practices and behevioura-ble patterns have been slowly developing from simple trade era to production era, sales era, and to marketing company era. It claims, as is the practice, that the marketing company era is dictated by the concept, and direct selling is one of the best concepts that is used by some of the successful companies worldwide.

He explains the practicality and necessity of network marketing in Nepal. “Nepalis,” he argues, “Can not be denied the benefits of network marketing. As the development in the IT has turned the world into a global village, the concept could be fruitful.” The companies, instead of spending a huge sum on advertising, are selling their products directly and pay commissions to customers, who recommends or buys the products. That has created a strong consumer-distributor networ-k. “But such practices should be within the legal framework,” the book argues, “The company should be registered according to the law of the land and their transactions should be clear and taxes paid regularly.” There are organisations like World Federation of Direct Sel-ling Association (DSA), to protect the rights of both the company and customers.

If one is thinking to join or at least to have an idea and how it can be done ethically, the book can be a source of information. The language of the book is simple and its probably the first book on the subject published in Nepali. The book, even if not a bible on network marketing, is worth reading.