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FOR. THOSE OF YOU WT{g NfiJLY HQT SE

FAMltlAn UlltH frfiY pnEViClUS BStlKSu in

Rich Dad's CASHFLOW Quadrant, the second book in the

Rich Dad series of books, I go into why some people find $et-tinQ rich easier than others.

Rich Dad's CASHFLOW Quadrant is the most important

of my books for people who want to make chan$es in their

lives. Some of the terms used here will refer to the letters in

this dia$ram:

E - stands for emPloYee

S - stands for small-business person,self-employed or sPecialist

B - stands for big-business ownerssuch as Donald TrumP

I * stands for investor

Why Network Marketing?\7hen I first heard about network market-

ing, I was against it' But after opening my

mind, I began to see advantages that few

other business opportunities offer. Long-term

success in life is a reflection ofyour education,

iife experience and personal character. Many

network marketing companies provide per-

sonal-development lraining in those key areas'

Most schools train people for the E or S quadrants, and

that is great if those are the quadrants in which you want

to spend your life. Most MBA programs are tralnlng str'r-

dents for high-paying iobs in the corporate wodd as an E,

not a B.

Network Marketing! The Industry for

People Who Want to Ghange Their Lives

\fhat if you're in the E or S quadrants and you want

to change? \7hat if you want to be in the B quadrant?

\(here do you find the education that trains you for that

quadrant? I recommend a network marketing business' I

recommend the industry for people who want to change,

and get the necessaty skills and attitude training to be suc-

cessful in the B quadranr.

Being an entrePreneur and building a B-quadrant busi-

ness is one ofthe toughest challenges a person can take on'

The reason there are more people in the E and S quadrants

is simply because those quadrants are less-demanding

than the B quadrant. As they say, "Ifit were easy, everyone

would do it."

I had to learn how to overcome my self-doubt, shy-

ness and fear of rejection. And I had to learn how to pick

myself up and keep going after I failed. These are some of

the personal traits a person must develop if they are to be

successful in a B-quadrant business, whether it is a net-

work marketing business, a franchise or an entrepreneurial

staft-up,

An important personal skiil required for any B-quad-

rant business is leadership. Are you able to overcome your

fears and have others overcome their fears to get the job

Volume 3 lssue 4 SUCCESS FROM HOME 107

done? This is a skill tl're Marine Corps taught rne. As Marine Corpsofl lcers, i t was imperative thar we were able to lead others intobattle, even thor-rgh we were all terrified of dying.

I meet many people in the S quadrant, rhe special ists or small-business owners, who would like to expand, but tl-rey simply lackleadership skills. No one wants to follow them. The employees donot trust their leacler, or the leader does t-tot inspire the employeesto better themselves.

Forbes clef ined a big-business owner, a B-quadrant businessowner, as a person who controls a business with more than 100employees. This dehnition is why leadersl.rip skills are vital for theB cluadrant.

\ f lhere can yolr f ind a business that wi l l invest the t ime inyor-rr education, yol lr personal development and br-r i lding your

own business? The answer is most network marketing br-rsinesses.

Why Networfq Mlarketing?0nnald's Trurnp's Response

MarketinE is a powerful tooi, and network marketing canincrease thai pawel proviclecl you're self-motivated. ln a simplevisual, see a Brsduct and remove the advertising agsncy frornit. lt's up to you to dc the rnarketing and advertising.

That's a big job, but i t can be done if you'repa$si0nate enCIugh to get going 0n your Own, and i0keep the momentum and motiuati*n going at a highlevel. lt r€quire$ an entrepreneurial spirit, and thatmeans focus and perseverance. i don't recommendnetwork rnarketing tn peaple whCI are not highlyself-motivated.

Another impcrtant aspect 0f network marketing isthal it's inherently $ocial, s0 if you're not a social 0routgoing psfson, I'd think twice abnut going into it.Sociability is a requiremnnt.

Just like in advertising, there's n0 point in having a fantasticadvertising campaign if the product is unequally fantastic. Alsc,keep in mind that if you decide to become a distributor, yorl'll belegaily responsible fsr the claims you make about the product,the campany and the available opportunities. But above all,make sure the product is worth your energy and total devotion.0therwise, you could be energeti*ally spinning ]rour wheels.

Robert mentions the impcrtance of SCIing beynnd y0ur c0mfortzone wh6n it csmes to network marketing. He also mentions

ffietworlc Marketing !s a S.Suadrant EusinessBuilding a B-quadrant business is nor an easy task. So you need to

ask yourself, "Do I have what it takesi' Am I willing to go beyond mycomfort zonesi' Am I willing to be led and willing to learn to lead? Isthere a very rich person insicle me, ready to come or-rtl" If the answeris yes, start looking for a network marketing business that has a greartraining program. I r.vill fbcus less on the products or the compensationplans, and more on the eclucation and personal development programthe company offers.

A network marketing business is a B-quadrant business becauseit meets several cliteria I look lor in a br-rsiness or investment. Thosecriteria are:

.1" .l-everage; Can I rmin other people ro work firr rnel'2. Conu:ol: f)r: I have a prorecteci system rhat beiongs ro me?

l. (,reativity: lrX/ill t.]re itusiness alkrrv me lo be creative, and

giving your$elf enough time" These are g00d points t0 ccnsider.I agree that leadership qualities are eritical for success" Youdefinitely have to have a take-charge. can-do attitude.

As with any other undertaking, know everything you canabout what you're doing before you begin. Neiwork marketinghas Broven itself to be a viable and rewardinE s0urce 0f

income, and the chailenges cnuld be just rightfnr ynu. There have been some remarkableexampies 0f success, and thsse suecesses havebeen earned through diligence, enihusiasm andthe right product combined with timing. As withs0 many issues, there are tangibles and theintangibles lnvoived, but su*cess is not a totalmystery, and that applie$ to network marketing,as well.

Most people have heard 0f focus groups, aresearch tonl advertising agencies u$e. When they're testinga new pr0duct they go to different locations and simply askeveryday pe0pie what they l ike and don't l ike ab0ut newpfoducts. 1t's best if yuu can t<eep the focus group idea closeat hand when deciding about a product. Just be*ause youlike i t doesn't mean everyone else wil l . Finding a commondenominator in product appeai will matter.

My advice about netvt'ork marketing is to do your research,and put everything you've gut into your product. Genuineenthusiasm is hard to beat, and the odds will be with you"

108 SUCCESS FROM HOME Volume 3 lssue 4

j ; q- :w[

t lh '

h,$

clcvtlop nly ()w1l personirl styLe and talents!'

4. Ilxpunclability': Can my busincss grorv incleiirritelvi'

5. Predictrbil.itl,: Is nr-v itrcrime preclictalrie ii: I clo rvhtrt is

cxirecred ot'r-nc/ lf I rm sttccessfitl, nncl keep expandir"lg

my busincss, .,vill nry inclmc increarse rvitir my suc(rss rll(i

hartl lvori<l

Isn't Hetwork Marketing a Pyramid Scheme?I am often asked if network marketing is a pyramid scheme. My reply

is that corporations are really pyramid schemes. A corporation has only

one person at the top, generally the CEO, and everyone else beiow'

A true network marketing business is the exact opposite ofa tradi-

tiontrl business model. The network marketing business is designed to

bring yor-r to the top, not keep you at tl-re bottom. A tnre network n-rar-

keting business does not succeed unless it brings people to the top.

Additional Points Worth hllentioning1. Tax breaks increase. By starting a network marketing business

in your spare time and keeping your regular job, you begin to gain

the tax advantages of the rich. A person witl-r a part-time business can

take more tax deductions than employees can. For example, you may

be able to deduct car expenses, gasoline, some meals and entertain-

Volume 3 lssue 4 SUCCESS FROM HOME 109