PRESENTED BY: Kristel Joyce Cabacang Maria Vanessa Cabugawan Marlon Clyde Camilon Maribeth Cuesta Edward Gerald

Duran

Multi-Level Marketing is a business model wherein the members generate profit by selling products as well as introducing potential recruits as downlines and distributors of the said products.
In Tacloban City, it is a fact that numerous MLM companies already existed. Throughout the years, however, new companies have emerged bearing numerous differences. This paper, is to assess the general difference between the two.

The General Difference Between Old and New Network Marketing Companies in Tacloban City.

General Objective: To record the general difference between new and old Network Marketing companies in Tacloban City. Sub objectives: To discuss business orientation used by old and new companies in networking. To assess the level of influence of the technological condition of Tacloban City during the emergence of Network Marketing. To assess the major factors that influenced the potential recruits to join networking companies. To determine the level of acceptance in Tacloban City to Network Marketing.

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A. Company Clusters
Table 1.1 Company Clusters
Yrs. Of Existence

AVON NATASHA BOARD WALK UNO ROYALE EMPIRE

36 years old 20 years old 23 years old

5 years old
6 years old 1 years old

The companies are clustered into 2 groups and are categorized as Old and New Networking Companies. The clusters are based on the number of years the companies have existed in the Philippines Networking Companies who were incorporated more than 10 years ago are clustered into Old Networking Companies while the later cluster are companies incorporated less than 10 years ago.

B. Respondents General Information

Table 2.1 General Information
OLD
Avg. Age Employment Status: Employed Unemployed Students Avg. Num. of Months
Avg. Num. of Companies Joined

NEW
24

30

60.00% 20.00% 20.00% 14.9 1.8 1.3

26.19% 30.95% 40.48% 12.4 1.8 1.2

Avg. Number of Companies active

Business Orientation
100.00%

Recruiting Selling Recruiting & Selling

69.05% 59.52%

16.67%

18.33% 9.52%

Old

New

C. Preference in Technology
Categories
Old

Computerized Website is Secured Sends Update to Cellphone Uses Online Website Website is Updated

New

Sends Update to Email

Rank 6

Rank 5 Rank 4 Rank 3

Rank 2 Rank 1

D. Social and Economic Reasons For Joining

Old

Profit Potential

Products
Family & Friends Financial Crisis Benefits
New

Rank 5

Rank 4

Rank 3

Rank 2

Rank 1

D. Social and Economic Reasons For Joining

Table 4.1 Average Yearly Family Income

OLD

NEW

Under 40,000

24.14%

23.81%

41,000 59,000

6.90%

16.67%

60,000 99,000

31.03%

21.43%

100,000 249,000

37.93%

21.43%

250,000 and above

0.00%

16.67%

Table 5.1 Average Monthly Networking Income

OLD Under 3,000 3,000 5,999 6,000 9,999 10,000 14,999 15,000 19,999 20,000 29,999 t30,000 49,999 50,000 and above 31.03% 37.93% 20.69% 6.90% 3.45% 0.00% 0.00% 0.00%

NEW 26.19% 14.29% 21.43% 14.29% 11.90% 2.38% 4.17% 4.76%

E. Acceptability
Figure 6.1 Acceptability of Network Marketing as a Tool for Economic Success (Old Companies)
100% 90% 80% 70% 60% 50% 40% 30% no yes

Figure 6.2 Acceptability of Network Marketing as a Tool for Economic Success (New Companies)
100% 90% 80% 70%

60%
50% 40% 30% 20% 10% 0%

no yes

20%
10% 0% BoardWalk Natasha Avon

Royal

Empire

UNO

The overall health of Networking Companies in Tacloban City can therefore be summarized in the following premise: There is a significant difference between the business orientation of New and Old Networking Companies due to factors including demography and age of each respective company.

The user-friendliness technology greatly contributed to the thrive of Networking Companies.

The profit potential as well as the involvement of family & friends, shows as the major driving forces when joining networking companies as shown in Figure 3.1 Ranking: Reasons For Joining. The level acceptance of Networking in Tacloban City is high.