Dendritic growth model of multilevel marketing

Pang, James C.; Monterola, Christopher

doi:10.1016/j.cnsns.2016.06.030

Cited by 5 publications

(6 citation statements)

References 19 publications

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“…Past research has recorded that recruitment will mostly enhance growth and earnings as long as the other factors remain stable (Vander Nat and Keeo 2002). This is further supported by Pang and Monterola (2017) who brought forth the concept of dendritic formations in MLM. Exchanges do occur in those linked nodes, and hence risk becomes a factor that needs to be dealt with by all the parties involved in the process.…”

Section: Introductionmentioning

confidence: 68%

“…This is because the recruiter earns a commission from the sales of their downline recruits making the drive for recruitment a critical activity in MLM. Consequently, the more members are recruited and added to the network chain, the more explosive the dendritic formation (Pang and Monterola 2017). As MLM grows and changes occur in business models there is a need to identify the factors that motivate individuals to join MLM companies.…”

Section: Literature Reviewmentioning

confidence: 99%

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Factors of Multi-Level Marketing Success Strategies Which Motivate Participants

Makore,

Moyo,

Madziba

2023

SABR

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Background: Remarkable successes have been registered throughout the world by individuals engaged in multi-level marketing (MLM), also called network marketing, which refers to individuals selling products to the public, often by word of mouth and direct sales. Purpose: The purpose of this study was to examine the determinants of MLM success strategies in the Zimbabwean economy and to identify factors that influence multi-level marketers in Zimbabwe. Methodology: A quantitative approach using a survey questionnaire was used to collect data which was then analysed using SPSS. A sample of 146 usable responses drawn from Harare and Masvingo was used in the study. Statistical techniques, which included exploratory factor analysis (EFA) and the correlation matrix, were carried out to deduce the strategies associated with achieving success as a distributor for a MML company. Findings: The study findings suggest that success in MLM is dependent primarily on the following factors: incentives for motivation; team-building methods; and support strategies. It is from these factors that the study further sought to identify the individual variables or combinations thereof that could be endorsed as predominantly influencing the success of MLM in Zimbabwe. Value: Empirical evidence is provided on the latent constructs or factors that influence individuals to join MLM companies. As part of the practical contribution, MLM practitioners should focus on the compensation plan, trust, and commitment as key factors in motivating individuals to participate in MLM.

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Section: Introductionmentioning

confidence: 68%

Section: Literature Reviewmentioning

confidence: 99%

Factors of Multi-Level Marketing Success Strategies Which Motivate Participants

Makore,

Moyo,

Madziba

2023

SABR

View full text Add to dashboard Cite

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“…Albaum and Peterson (2011) indicated that the World Federation of Direct Selling Association (WFDSA) reported the worldwide global retail sales of direct selling companies to hit US$ 117.5 billion in 2009. Similarly, Pang and Monterola (2017) indicated the WFDSA report on the total global sale of MLM companies to be about US$ 180 billion for 2014, which is more than twice that of the video gaming industry and more than 10 times that of the music industry.…”

Section: Introductionmentioning

confidence: 99%

“…Most recently, Pang and Monterola (2017) used a biologically inspired dendritic cell growth model in a confined substrate to capture the empirical features of MLM schemes. They demonstrated that the growth (or morphological) features of an MLM network can be replicated in the biological dendritic growth network.…”

Section: Introductionmentioning

confidence: 99%

Modeling and optimization of multilevel marketing operations

Hum

Parlar

2021

Naval Research Logistics

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This paper models the resource allocation problem arising in multilevel marketing (i.e., network) operations. The supervisor of a network of salespersons has a limited resource (her own time). She must decide on the (i) optimal number of "direct contacts" to recruit, train and develop; (ii) optimal number of lower levels she should be responsible for helping to hire, train and develop their own direct contacts, and (iii) optimal allocation of her time at each level in the network. We use tools from branching processes and find general results for the probability distribution of the number of lower level contacts with non-identical distributions for any given number of initial contacts. Using these results, we present an optimization model for contacts with different characteristics and determine the optimal number of initial contacts, the number of lower levels and the supervisor's optimal effort at each level using tools from nonlinear programming, in particular, Kuhn-Tucker conditions and Lagrangian duality. We generalize our models, (i) to allow for the randomness of time spent by the supervisor; and (ii) the possibility of supervisor generating her own direct sales. Several examples illustrate our findings.

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“…2016). The income under a MLM enterprise is based on the combination of product sales and employment process (Pang &Monterola 2017).…”

Section: Introductionmentioning

confidence: 99%

Environmental Consciousness, Environmental Education, Conspicuous Consumption and Re-Buying Decisions on Network Marketing in Turkey

Ozkan-Pir

Karaduman

2017

EURASIA J MATH SCI T

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The network marketing as a direct sale method has been widely recognised in Turkey. Today the consumption is not only comprised of the diversity of provided goods and services or their functional use but also some other various reasons. The functional consumption is generally considered the main reason behind the purchasing behaviour. Additionally, the consumers are influenced by the social meaning transmitted by a product or brand like a social expression of status or image. Moreover the consumers has become increasingly aware in respect of making product choices to fulfil their needs in the way to minimise the impact on the environment and their own health. The sample size of this research is a group of 504 people among the network-marketing customers in Turkey. The role of environmental consciousness and environmental education in the impact of conspicuous consumption on the re-buying decisions was assessed through an interview method. The structural equation methodology was utilised to evaluate the relations between the research variables. The model was tested with the structural equation method and a significant positive impact was identified between the environmentally product consciousness and re-buying decision. Unlike the environmentally product consciousness, no significant relation was identified between the conspicuous consumption and re-buying decision.

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Dendritic growth model of multilevel marketing

Cited by 5 publications

References 19 publications

Factors of Multi-Level Marketing Success Strategies Which Motivate Participants

Factors of Multi-Level Marketing Success Strategies Which Motivate Participants

Modeling and optimization of multilevel marketing operations

Environmental Consciousness, Environmental Education, Conspicuous Consumption and Re-Buying Decisions on Network Marketing in Turkey

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