Everything you need to know to start and operate a Legal MLM in India. Learn to differentiate legitimate MLMs from illegal pyramid schemes. Facts & data. What is MLM (Multi-Level Marketing), or network marketing, is a business model in which members make money by direct selling products/services and by bringing new members into their network. It is based on a commission system, where members are paid bonuses from their sales and the sales of their recruits (downline). Multi-level marketing ( MLM ), also called network marketing[1] or pyramid selling, [2][3][4][5] is a controversial [5] and sometimes illegal marketing strategy for the sale of products or services in which the revenue of the MLM company is derived from a non-salaried workforce selling the company's products or services, while the earnings of the participants are derived from a pyramid-shaped or binary compensation commission system. [6][7] In multi-level marketing, the compensation plan ... What Is Multilevel Marketing ( MLM )? Multilevel marketing ( MLM ), or network marketing, is a marketing approach that depends on a non-salaried workforce selling the company's products and services (that represent the corporate identity and reputation), where the earnings of the participants come from a pyramid-shaped compensation system. It is affiliate marketing on multiple levels that companies use to encourage current members or distributors to hire new independent distributors to promote ...