U forgot one thing, benefits promote productivity, if
productivity ends with a reward
The compensation plan wouldnt appeal to people, if they are not
rewarded for their effort. Thats what MLM is supposedly to be,
giving people more returns for their effort, than the usual jobs in
corporate world, where the boss earn millions, and workers just get
pitiful increment for the millions they created for the boss.
If MLM cant do this, there is no need to differentiate MLM from
other careers path out there.
If an upline recruited a few people, and each downline garner more
personal sales than that single upline, and each downline train his
own network to be more productive that the upline entire single
network, relative comparing, it follows the downline should earn
more percentages of the sales worth as commissions, at a
progressive rate.
Besides, trying to cap downlines commission means two things -
capping their motivation as well as potential, as well as acting in
a pyramid like. Many of the grouses against MLM is that uplines
earn by lazing around and letting their downline do the hard work.
Potentially, networks will shift as soon as downlines realise their
folly. It will be pyramidlike really, as soon as uplines shift from
focusing on products, to just focusing on income earnings.
Besides, a upline shouldnt worry if a downline overtakes him. The
increment of money due to the downline will be realised or not,
depending on the compensation plan. In neither cases will the
increment, if disallowed, will go to the upline anyway. I will
raise an eyebrow if it did.
The upline should also be happier such increment motivates the
downlines, as increase in group sales, increase his monies, even if
percentage due is still the same. 10% of $10,000 worth of sales is
different from 10% of $1 million worth of sales.