Multilevel Marketing
/ˌmʌltɪˌlɛvəl ˈmɑrkətɪŋ/
Definitions
- (n.) A marketing strategy in which salespersons earn income from their own sales and from the sales of recruited subordinates, often subject to regulatory scrutiny for potential pyramid scheme features.
The company was investigated for operating an illegal multilevel marketing scheme disguised as a legitimate business.
Forms
- multilevel marketing
Related terms
See also
Commentary
Legal scrutiny often focuses on the structure's compliance with anti-pyramid scheme laws; precise contractual and income disclosure terms are critical to avoid legal pitfalls.
This glossary is for general informational and educational purposes only. Definitions are jurisdiction-agnostic but reflect terminology and concepts primarily drawn from English and American legal traditions. Nothing herein constitutes legal advice or creates a lawyer-client relationship. Users should consult qualified counsel for advice on specific matters or jurisdictions.