http://www.voxau.com/fib/fibro/47colos2.htm
As there are myriad cases in which the term "network marketing" is used interchangeably with "multi-level marketing" the true meaning of the two terms becomes misunderstood.[1][not in citation given][2][not in citation given] In many cases a multi-level marketing structure is used in combination with a network marketing strategy, so it is possible to refer to one particular company as using network marketing as well as multi-level marketing; however this is not always the case.[2][not in citation given]
It is important to make the distinction that the term "network marketing" describes a particular marketing strategy, while "multi-level marketing" is a specific characteristic that is a large part of, and speaks to an overall business model. While the two are often seen implemented within the same company business plan, they need not be and in many cases one is used without the other.
It is possible confusion arises from the hierarchical structure created in a multi-level system: because of its nature, the system itself results in the formulation of a tree network within the scope of the company. The term "network marketing" however is not in reference to the structure of the company; it is a description of the nature of the strategy used to market the company products. In other words, the "network" adjective is not referring to any company-related attributes; it refers to how the marketing itself takes place: through the social networks of individuals. Put yet another way, network marketing is not marketing which necessarily creates a network within a company, it is marketing that is performed through the social networks of independent people.
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