Principle of Leveraging

Archimedes once said, “Give me a lever long enough and I could move the world.”

The concept of Leverage is important when it comes to money, business and wealth. The principle of leverage is a powerful tool we can use to get ahead financially in life.

In technical view or in primary school science,leverage is to do with seesaws, fulcrums and pivots.A lever allows you to use less force to lift or move objects and this concept is applied in a lot of the everyday products we use such as scissors,doors etc

With respect to money, we can likewise use the principle of leverage to accelerate our financial ambitions. When studied properly and intelligently applied, leveraging will allow us to earn more with less work comparatively.

We should learn to invest in ourselves. Read books, attend seminars, join communities and expand knowledg in whatever way possiblee. The more we practice or read etc,the more we get skilled and talented

When it comes to financial leverage.it means using other people’s money (and work) and making it work for us. The value, utility and purpose of this type of leverage is probably the fountainhead of wealth.

When we simply rely on our own capability to save money alone, then it will take some time before we can invest and accumulate wealth. But by utilizing our resources and assets to acquire good debt (an investment debt that creates value), then we can expect exponential growth on our money.

Resource leveraging,it refer to it as the power of collaboration. In businesses,especially for beginner entrepreneurs,there is a huge possibility that they fall into the trap of self-employment. It’s common to see intelligent, eager and optimistic persons who started a business which eventually closed after less than a year just because the person got tired of running it on his own.

Place controls in your business and learn to employ other people to work for you. Investigate partnerships for your business and always consider using the aid of other individuals and experts to help you plan your actions and accomplish your tasks.

The best part is that applying the concept of leverage is very simple in Amway business compared with other businesses,mainly due to the reason that in other businesses one need to find persons who are trustworthy to be made as a partner since financial risks are involved,while in Amway,the opportunities are equal and all the ABOs have the same responsibilities.

Entrepreneurship

Entrepreneurship has become an obsession throughout the World nowadays.More & more people want to be in control of their own financial destiny.

There are only two Achievement Factors for MOST of the businesses: TIME and MONEY
Ways of Generating Income depends upon Ways of Thinking.





Robert Toru Kiyosaki,an American investor, businessman, self-help author and motivational speaker described a quadrant known as the cashflow quadrant.
To which quadrant do you belong to ?

1.Employees
Advantages:
•No tension regarding profit or loss etc of the company.
•Gets payment/income in time.
•Safe job if employed in a MNC. Provided there is no target or competition.
Disadvantages:
Always exists a minor tension whether the job will be available always.
Lacks leadership qualities.
Have to show up at a particular time every day to make money.
Starts over every day at Rs 0.00.
Trade hours for his income and someone else own the business.

2.Self-Employed
Advantages:
•Time is flexible but exists a tension
•Always a fluctuation, income depends upon the market of the products sold or reputation of the person.
Disadvantages:
Have to show up at a particular time (though flexible) to make money.
Start over every day at Rs.0.00.
You own the job & trade more hours for Rs.

3.Entrepreneurs(or Business Owners)
Advantages:
•Flexible timings
•A Entrepreneur is a leader
•Your money works for you, rather than you working for your money.
Disadvantages:
No disadvantage. (Any challenge is converted into an opportunity.)

4.Investors
Advantages
•Out of the above 3, the best quadrant.
Disadvantage:
An investor is usually a big entrepreneur, so No disadvantages. (Any challenge is converted into an opportunity.)
Need up-front capital.(a lot of money to invest)


So the Left Quadrant (Employees and the Self-Employed) are always having disadvantages more than their advantages compared with the Right Quadrant (Entrepreneurs and Investors)

The Bad news for the Left Quadrant people is that they are the 99% of the world population but they only get 1% of the income, while the right quadrant people are only 1% of the world population and they get the remaining 99% of the income. So this is the reason that the entrepreneurs are always wealthy and having a great lifestyle while the employees are never satisfied with what they get. This is one of the sad secrets.

The Good news for the Left Quadrant people is that they can get into the right quadrant by just applying a secret, a secret that is applied by the right quadrant people, which is called as “the principle of leveraging”.If you could participate in a similar business model using the principle of leveraging, then you can get into the right quadrant. All one has to do is “To-do the work to build a business system (today), in order to reap the benefits (tomorrow)!

Indian Direct Selling Association (IDSA)

There is no minimum age, qualification or any other bar to start this business. The only pre-requisite is to have passion to sell.
People who want to take up an alternative to traditional employment or to earn extra flexible income, based on their work performance, join DS.
People whose circumstances do not allow for regular employment can take up direct selling, in many cases DS opportunities develop into a fulfilling Career.

IDSA is a self-regulatory and promising body for the DS industry in India. It is the Indian counterpart of a world body, World Federation of Direct Selling Associations (WFDSA), based in the USA, WFDSA regulates and strengthens DS in over 58 countries.IDSA scrutinizes direct selling companies based on their business practices and policies.
The DSA stamp today is recognized as a doorway to success. It is also considered a Field of security and safety for you-who may be a direct seller or a consumer It gives you an assurance that you are dealing with a company that take care of your interests


IDSA is a guiding light for direct selling industry and formulate dos and don’ts for direct sellers, customers and companies.IDSA has appointed an ombudsman to settle grievances and complaints. It works with consumer groups and decision makers to promote and create awareness about legitimate direct selling.IDSA undertake research and surveys to highlight the trends and bring out any issues related to the industry. Through the media, IDSA educate the common man about the direct selling.

Objectives of IDSA:
To protect the character and state of direct selling
To protect the customers and the direct sellers by adopting the best practices and code of ethics as described by WFDSA.
To protect the direct selling industry.

Companies in direct selling
There are now a lot of companies (fake ones too) in direct marketing these days.One need to acquire enough knowldge to identify which one is genuine and which is not.

A few names in legitimate direct selling which are approved by IDSA in India are:
Amway India Enterprise
Tupperware
Shriram DTH
Altos Enterprises
Oriflame India
Herbalife International India
Max New York Life
Hindustan Unilever Network
There are still many more companies which have established and there are a lot of companies which are going to start their business in India.

Direct Selling Industry

Amway was the first company to start direct selling in the world.
To know what Amway business is all about and how you can develop Amway business, it’s necessary to understand the basics of direct selling and multilevel marketing.
Across the globe, the range of products sold through direct selling (DS) is growing manifold. And the list is multiplying even as you read this information.DS in its different forms is followed in 165 countries, with a global turnover of Rs.4343bn and 62 million sales people as of 2010. In India DS is still in a nascent stage, with turnover of Rs.311Bn and 1.5million sales people involved in it.

Country DS___________ Turnover(US$)
USA_________________30.8 billion
Brazil_________________9.1 billion
Korea_________________9 billion
India__________________691 million

Direct Selling is a distribution channel and a business opportunity in which products are sold to the customers face-to-face. The sale is often combined with demonstration and testimonials, at a location and a time convenient to the customer, away from fixed retail shops.

Popularity of Direct Selling

Flexible work timings
Extra Income (Passive)
Rewards in direct proportionate to effort
Time for family and friends
Personal and professional growth
Customers get personal service and high quality products
Independence

Kinds of products sold by DS
World class products in categories such as:

Homecare
Personal care
Cosmetics
Kitchenware
Gift items
Jewellery
Garments
Nutrition and Health
Food items

…are today being offered through DS in India. This list is not exhaustive.

The Wellness Revolution

Believe it or Not! Wellness revolution is the next big revolution.
This revolution goes in accordance with the legendary proverb “prevention is better than cure!”
Few years ago Nobel Prize Nominee Paul Zane Pilzer, a world-renowned economist, a highly successful social entrepreneur, an adjunct professor, author of several top books and dozens of scholarly publications,told about an emerging $200 billion industry he called "wellness" and the next big revolution “wellness revolution” after the “computer revolution”.

Today, that industry has grown to $500 billion, and it's just getting started, offering even greater entrepreneurial opportunities.

The Wellness Revolution was the "shot heard round the world" for the wellness industry. It defined wellness as an industry—linking tens of thousands of disparate service and product suppliers with a single cause. It showed scientists, fitness providers, businesspeople, food manufacturers, doctors, and others focused on disease prevention and anti-aging that they were part of a worldwide revolution

Wellness Revolution includes more guidance and business advice for individual wellness entrepreneurs, health product distributors, physicians, and other wellness professionals. The Wellness Revolution features new action items in every chapter and covers major new trends, particularly the phenomenon of "sickness/illness industry" food companies such as McDonald's and Wal-Mart making huge investments in fresh and organic foods.

Wellness Revolution shows that even though millions of people have embraced wellness, the need for wellness has actually expanded due to declining health trends, particularly the rising cardio problems and obesity rate.

Medical costs now exceed profits for most large employers, and corporations are beginning to recognize that wellness and disease prevention are the only viable solutions to rising health-care costs that threaten their very existence.

Wellness Revolution and Products & services aimed at are:

Preventing diseases to happen
Providing the general well-being
Reversing the process of diseases
Anti-aging
Protecting environment

There’s still time to get in on the ground floor to associate and make fortunes in the wellness industry. It is predicted that the wellness industry will be the first type of industry to go beyond trillion dollars. And it is going to happen in the near future and is going to produce trillionaires around the globe.

Nutrition

To live one must eat. But, we not only eat to live, what we eat also affects our ability to keep healthy, do work, to be happy and to live well. Knowledge of what to eat and in what quantities is a prerequisite to the healthy and happy life.
Nutrition is the science that deals with all the various factors of which food is composed and the way in which proper nourishment is brought about. The average nutritional requirements of groups of people are fixed and depend on such measurable characteristics such as age, sex, height, weight, degree of activity and rate of growth.

Food is anything solid or liquid that has a chemical composition which enables it, when swallowed to do one or more of the following
1.Provide the body with the material from which it can produce heat, or any form of energy.
2.Provide material to allow growth, maintenance, repair or reproduction to proceed.
3.Supply substances, which normally regulate the production of energy or the process of growth, repair or reproduction.

Good nutrition requires a satisfactory diet, which is capable of supporting the individual consuming it, in a state of good health by providing the desired nutrients in required amounts. It must provide the right amount of fuel to execute normal physical activity. If the total amount of nutrients provided in the diet is insufficient, a state of under nutrition will develop.

The council on Food and Nutrition of the American Medical Association defines nutrition as “The science of foods, the nutrients and the substances therein, their action, interaction and balance in relation to health and diseases. Nutrition science is the area of knowledge regarding the role of food in the maintenance of good health. Thus nutrition is the study of food at work in our body.

Health is defined by the World Health Organization of the United Nations as the “State of complete physical, mental and social well- being and not merely the absence of disease and infirmity (or ill- health/illness)”

Nutrition is one key to developing and maintaining a state of health that is optimal for you. In addition, a poor diet coupled with a sedentary lifestyle is known to be risk factors for life- threatening chronic diseases and death: Heart disease, Stroke, Hypertension, Diabetes and some forms of Cancer. Together these diseases account for two- thirds of all deaths in the United States. The major health problems in the United States are largely caused by excessive energy intake and not enough physical activity.

Most of the population in the urban areas all over the world faces the threat of malnutrition. With the trend of eating quick, tasty and junk food, the possibility of getting proper nutrition is diminishing. No junk or deep fried food contains nutrition. Nutrition in otherwise can be synonymous with a balanced diet, which means consuming enough amount of carbohydrates, proteins, vitamins, minerals and clean water. In the day-to-day lives people are consuming more fats and carbohydrates than required and less proteins, vitamins and minerals, this type of eating habit combined with sedentary lifestyle will obviously lead to cardiovascular problems, obesity and other degenerative diseases.

Even though only a very few amount of Proteins, vitamins and minerals are required by the human body, it’s an irony that we don’t receive the required daily.

It is also shocking to hear that even if we would like to consume all the essential nutrients daily, there is no provision to get them from food, forexample, in order to consume the actual per day requirement of vitamin C, we should eat at least 10-12 oranges per day, which is impractical.

A broader outlook at disorders will prove that, almost all the new types of disorders are all caused due to the deficiency of one or the other type of nutrient.
Cancer, Cardiac problems,Alzheimer’s, Parkinson’s disorder etc. are all caused due to the deficiency of nutrients in our body. In the old days when people used to get sick because of a virus or bacteria, it could be cured by providing the appropriate antibiotic or medicine, the reasons for diseases like Malaria; Cholera etc are due to unhygienic conditions and other external sources such as microorganisms.

But nowadays disorders like diabetes, hypertension, cancer etc are difficult to cure mainly because of the reason that the factor causing such illness is internal, i.e. because of the deficiency of proper nutrients, pollutedfood, fast lifestyle,oxidation etc

Since getting proper nutrition is difficult or rather impossible only from food, it is highly recommended that we intake such nutrients from supplementation. With adequate intake of supplements we can prevent such disorders and also upto a stage cure some chronic degenerative disorders.

Products from Amway

There are 5 categories of products in India.

1. Personal Care
2. Home Care
3. Cosmetics /Beauty Care
4. Nutrition and Wellness
5. Life Insurance

1.Personal Care
Some of the popular products under personal care are:

G&H Lotion
Persona Toothbrush
Satinique Hair Masque
G&H Body Shampoo
Persona Talc
Nature Shower
Hand Soap
Persona Bar Soap
Glister Toothpaste
Dynamite Shaving Cream
Glister Mouthwash
Dynamite Aftershave
Body Sponge
Satinique Shampoo

2.Home Care
Some of the popular products under home care are:

Dish Drops
Leather&Vinyl Cleaner
See Spray
Pursue Disinfectant
Zoom
APSA-80
SA8
L.O.C.
Car Wash
Silicon Gaze

3.Beauty Care
Some of the popular products under Cosmetics are:

Under the Brand of Artistry:

Replenishing Eye Cream
Pure White Essence
Body Definer Gel
Skin Refinishing Lotion
Moisture Vitalizing Cleaner
Creamy Massage
Time Defiance Day Cream
Moisture Refreshing Toner
Intensive Serum
Time Defiance Day Lotion
Clarifying Cleanser
Alpha Hydroxy Serum Plus
Time Defiance Night Cream
Foundation
Time Defiance Night Lotion
Loose Powder

Under the Brand of Attitude:

Lipstick
Moisturizer
Nail Enamel
Sunscreen Lotion
Eye Liner
Hand&Body Cream
Face Wash
Foot Cream
Cleanser
Face Masque
Toner

4.Nutrition and Wellness
Some of the popular products under Nutrilite

Glucosamine HCL
Iron Folic
Bio-C
Bone Health
Siberian Ginseng
Kids Drink
Salmon Omega
Tripleguard Echinacea
Garlic Heartcare
Daily
Parslenium E
Positrim
Kids Chewable
Cal-Mag D
Concentrated Fruits and Vegetables
Protein Powder
Natural B

5.AmSure Life Insurance

AmSure is an IRDA approved insurance product which is 50-50 joint venture between Hollard Insurance from South Africa & Amway India Enterprises, AmSure Insurance Agency Ltd. is functional as a corporate agent of Max New York Life Insurance Co. Limited. Presently they are responsible for distributing innovative Max New York Life products.

Max New York Life
Max New York Life is a joint venture between Max India Limited and New York Life of the United States. Max India is a multi-business Indian Corporation, while New York Life is a Fortune 500 company with a heritage of over 160 years as a life insurance specialist. Max New York Life has established itself as one of India's leading private life insurance companies and is the first life insurance company to obtain the ISO9001:2000 quality certification. Max New York Life is renowned for its efficient underwriting and claims process, along with superior customer service standards.

Hollard
Hollard is South Africa's largest independent insurance company, and the only company to offer both life and general insurance products across all classes in the South African market. Although firmly rooted in South Africa, the Group has expanded internationally to Australia, India etc.

AmSure central office is currently based in Noida, with regional representation in Mumbai, Bangalore, Chennai, Kolkata, and Delhi and in locations where Amway has branch infrastructure.

Misconceptions about Amway

There are many ,including educated people (like lecturers in entrepreneurship, Nutrionists, Doctors, Engineers etc) in India and abroad who believe that and are absolutely convinced that multi-level marketing and Amway are all scams.
The Key Reasons for such type of misunderstandings are mainly due to:


(1)Lack of awareness about Multi Level Marketing companies

The first is essentially ignorance or misconceptions. MLM suffers greatly by the fact that virtually all illegal pyramid scams claim to be MLMs. When they inevitably fail or are closed down by the government, the meme that “MLM=FRAUD/SCAM/MONEYCHAIN” is reinforced. In reality this is poor logic. The very reason the scams are claiming to be MLMs is because MLMs are legal, legitimate businesses. Nevertheless, the effect on public perceptions is a daunting problem for the legitimate companies.

Associated with this are many misconceptions about how legitimate MLMs operates. Many folk believe thatABOs make money by recruiting others, and “smart” people know that means the model will inevitably “saturate” and you can’t make any money since there’s no longer anyone left to recruit. Of course, this isn’t MLM, it’s an illegal pyramid.

ABOs don’t make money by recruiting; they make money through sales volume. MLM isn’t really a business model – it’s a marketing strategy with the aim of increasing sales volume. Indeed, in general for any given level of sales, the more people you recruit to achieve it, the less you make on it. It’s no different to owning say a traditional retail store selling clothes. You could sell them all yourself, and keep the whole profit, or could employ some other sales staff. They’ll cost you money, but you hope that the increase in sales will offset the increase in costs.

These types of misconceptions abound, with people concerned about the legitimate problems inherent in illegal pyramids, and believing they exist in multi-level marketing.

(2)Uninterested, Unethical,Wicked and Crooked MLM Distributors

The second area that seems to influence people is their own personal experiences, or those of people they know, or, increasingly, experiences of others they read on the internet etc. The interesting thing is when you delve into the problems with those experiences, they very rarely have anything to do with Amway or multi-level marketing person, and they have to do with how some people operate their multi-level marketing businesses.

You can be scammed in any business. A car salesman can knowingly sell you an unsuccessful or a failed car. A doctor can overcharge you for a simple procedure. A teacher can “force” you to purchase a substandard text book they’d written and printed themselves.
Similarly an ABO”X” could sell you a product "Y” by telling you that it cures you for your illness, or you can be a millionaire with little work in little time. This example shows that the ABO “X” has scammed you. But such an incident doesn’t mean that Amway and all the other ABOs are scams and scammers. The problem with ABO”X” is that he either doesn’t know about the product and business plan or he is an unscrupulous person.

In each case you’ve been scammed, but the scam had nothing to do with the car industry, or the medical profession, or teaching, or Amway. It had to do with those individuals (and perhaps some of their associates) and the way they were behaving.
The multi-level marketing strategy, and Amway as its largest representative, is a brilliant way of doing business which allows anyone to start and own their own business, of which ever size they desire, with little financial risk, and without having to pursue it full-time. Just like in any other industry however, you can be scammed, and if you’re so inclined, you can scam people, but like any other industry, the scammers rarely last long.

Additional to the above reasons, MLM companies which also circulate negative rumors about their competitive companies and negative critics are also a cause for the issues faced by Amway and other MLMs.

WHAT IS AMWAY ?

What is Amway? Many people have heard about Amway,but most of the people just doesn't know what exactly Amway is. So I thought maybe I can help these people get to know what exactly Amway is,not entirely but to my maximum knowledge.

Amway Global
Amway is one of the global leaders in direct selling of FMCG. The name Amway is derived from the words "American Way”. Amway was established in 1959 by Jay Van Andel and Richard Devos. Amway now have a presence in over 90countries with more than 3.6 million business owners, more than750 world class products, and has more than $6.5 Billion turnover.

Amway is a 100 % direct marketing company. That means the consumers will not get any Amway products from shops/retail outlets etc. Products can be bought through Amway Business Owners (ABO). Hence the sales are driven by the efforts of ABOs. Since the company does not advertise its brands, the only communication channel is through ABOs who visits households and make presentations.