Network marketing business (NM) as potential tool for social-economic development in Tanzania: the Case of Forever Living Products Company.
Date
2013
Authors
Journal Title
Journal ISSN
Volume Title
Publisher
Mzumbe University
Abstract
World over Network marketing business (NM), also called multi-level marketing has become a successful concept that empowers ordinary people to turn into successful entrepreneurs. This concept is about distributing products directly from the manufacturers to the end consumers, thereby doing away with the traditional channel of distributors, wholesalers and retailers, so that the consumers get the entire benefit of direct selling. The network marketing industry as a whole has grown over the years and the reasons for this among many others is that there are more people looking either to supplement or replace their incomes. There are also more opportunity seekers in any recessionary period due to the uncertainty of their present financial situation. This study aimed to find out the how NM business is a potential tool for socioeconomic development in Tanzania, to examine how NM distributors benefit from the business and to find out challenges they are facing in NM business as practiced by forever living products (FLP) Company. The population of interest was all the practicing distributors of FLP products based in Dar es salaam, Tanzania. A convenient sample size of 82 distributors was used in the study. Primary data was collected using a semi-structured questionnaire which was administered questionnaires designed. FLP is a classic example of how the NM concepts work in Tanzania Besides being a source of income for those involved. Ranking high was also the fact that NM acts as a social support network for those involved. It helps people to grow and develop not only their business skills but also personal life skills. The objectives of the of the study was to determine how NM business is a potential tool for socio-economic development in Tanzania, to examine how NM distributors benefit from the business and to find out challenges they are facing in NM business and FLP Company as a case study.
Description
A dissertation submitted in partial fulfillment of the requirements for the award of the degree of Master's of Business Administration in Corporate Management (MBA-CM) of Mzumbe University
Keywords
Network marketing business, Social exchange theory, Entrepreneurship theory and Creativity, Role theory, Theory of social change
Citation
APA