Many are unfamiliar with the multi-level marketing strategies and the working of a networking industry. It is indeed innovative and has brought newness in the entrepreneurial sector. It was once the most profitable segment in the economy. However with the society evolving with time, the craze to mint money at a faster rate has stimulated the growth of many scamsters in number. People never cease to be mesmerized by the execution of multi-level marketing strategy. The entire industry has been facing a lull phase for a few years. The sole reason for this downfall is negative reviews circulating the World Wide Web. These reviews instigated the QNet Scam.

Not only QNet Scam, but there are several other instances and examples that have been the talk of the town for many years. There is no doubt, the strategies adopted by Multi-level marketing company are beneficial and render to quick remuneration. There are a segment of people who disagree and find this fact bogus. There are companies established on a small scale that have scammed people, however all the companies established in this industry cannot be pinned for the defaulters.

A multi-level marketing scheme implements a simple rule. They pay their employees on the basis of the efforts put in and the saes accumulated. The name itself suggests it is a marketing tool. Every employee working for a multi-level marketing firm, is given a personal website to manage. The website displays products manufactured by the company. The employees have to tap prospective customers and sell them the products. People mistake this particular scheme with a pyramid set-up. Moreover, they have an inbred inhibition that a multi-level marketing strategy is similar to referral programs. The employees were trained to manage and administer the website. After the training, employees have to pass a test. Once they do, the employees are given their profiles. There is a learning curve every employee has to abide by. Their improvisations in honing their skills are taken into account every month. If an employee fails to display improvement in his or her marketing skills, the employer may not spare a second chance.

Multi-level marketing strategies have toned down their advertising and promotional tactics due to the Qnet scam. The scam created havoc in the industry which led to the diminishing popularity of the schemes. Prospective employees still contemplate their association with companies executing multi-level marketing schemes. Every company has a certain percentage of disgruntled employees. Unhappy employees plied to the Internet and posted negative comments and reviews, to put their views and opinions across. Many read their pleas and grievances, but failed to grasp the other side of the story. On the contrary they joined the bandwagon and made a less informed choice. The posts instigated a trend to post defamatory remarks about companies who adopted multi-level marketing tactics. Because few people were misinformed, the entire Multi-level marketing company had to face tragedy.

The QNet Scam is one amongst many, which defines how Internet can effectively force a company to tread on a path to rack and ruin.

Author's Bio: 

An international direct selling brand that utilities the network and multi level marketing (mlm) combined with e-commerce for more info: http://questnet-scam.tumblr.com/