On the face of it, network marketing should be very effective. You buy a product, recommend it to all your friends and earn a commission on what they buy. This 'word-of-mouth' advertising is what the big TV advertisers most fear: your product endorsement to your friends actually carries much more clout than an expensive tele-ad.

So, you earn a few pennies or bucks on each sale. But the big money comes (or is supposed to) when you recruit your friend to do as you have done - to recommend the product to all their friends - and recruit them into the network, too. And you get a few bucks on their sales, and as your network grows exponentially, so does your income. So why doesn't it work? Why do 97% of network marketers fail?

There are two main answers. First, the compensation plan. To earn anything at all you have to shift product. Suppose that you get $1 on average for each order that flows through your downline. That means that you and your team have to make 100 sales to make you $100. That's not much. To live the life you dreamed of, to give up your day-job, to spend more time with your family, to pay off your mortgage and car loan and credit-card debts, you're probably going to need $500,000 (at least!) At $1 a pop it's going to take you a long, long time.

Which is where the 'recruitment' part of the business comes in. If only you could recruit enough people into your team you could shift all that product and get rich. But you've run out of friends, and anyway, most of them don't want to know or are lousy at networking. So this is the second reason why network marketers fail. To expand your downline you have to go out and recruit strangers. And most people hate doing this. It's difficult, demoralizing and exhausting. So 97 networkers out of 100 give up and fail. The dream withers and dies.

So what's the answer?

Making a fortune $1 at a time is not the way to go. And cold-calling strangers is about as much fun as pulling your own teeth.

Just forget about the traditional network marketing model: instead look at it from a tycoon's point of view. You'll make more money for less effort if you sell a big ticket item. Instead of making $1 profit per sale, why not make $500? And if selling to strangers gives you a pain in the head, why not delegate? Pass the job over to the experts and let them do all the schmoozing, selling and closing. This is what I do and you could do the same.

You can operate this system from anywhere in the world from behind your computer screen. This is not a pyramid, neither is it MLM. And you can do it even if you are a complete and out-and-out introvert.