The concept of social justice is seldom linked with business, whether it's a small-scale enterprise or a large corporation. The common perception is that one either contributes to the betterment of society or focuses on personal financial growth. This article challenges this notion by suggesting that network marketing can serve as a platform for social justice.
When we talk about social justice, we often think about combating racism, advocating for equal pay for women, improving inner-city education, and fighting for the rights of marginalized communities. However, it recently occurred to me that network marketing could be a vehicle for social justice.
To understand this, let's dissect the structure of a conventional retail business using a hypothetical company for simplicity. Let's assume that a company named "Gizmo" produces a product called "Gadgets." These Gadgets are sold at stores named "The Gidget Emporium." Let's also assume that the owner/manager of one franchise store is named Jeff, who employs three people.
Gizmo manufactures the Gadgets, packages them, and sends them to a storage warehouse. Jeff buys the Gadgets from Gizmo at wholesale prices for his store, The Gidget Emporium. The Gadgets are then shipped from the warehouse to the Emporium, where they are marked up to retail price. Jeff sells the Gadgets at the store, where customers purchase them at retail price and take them home.
Jeff must sell his products at a high enough price to make a profit after covering his expenses, which include:
Additional costs include shipping from the warehouse to the Emporium, payroll company fees, licensing, property taxes, hiring and interviewing costs, and more.
This system is socially unjust for several reasons. Firstly, the three employees are likely not earning a living wage, with little opportunity for advancement or gaining management experience. Secondly, the shipping from the warehouse to the store, as well as the gas used by customers to drive these products home, contributes to environmental pollution.
Thirdly, and most importantly, the Gadgets are marked up to retail price to cover the costs listed above. This results in higher costs for necessary goods, increasing the cost of living for struggling families. Everyday household items cost more for consumers, while the profits are channeled to large corporations or organizations. The advertising Jeff does benefits media companies and advertising agencies. Trucking companies, payroll companies, and utility companies also profit from the raised prices. Employees of these large corporations are not likely to receive a share of the profits and are not guaranteed a living wage. There is also a higher likelihood of discrimination, sexism, or other prejudice in the hiring and promotion process of a large corporation. Most of the executives are upper-class white males, who can afford high retail costs of goods.
Now, let's consider how network marketing can foster more socially just systems. If Gizmo Corp. was a network marketing company, Jeff would market the products to people he knows and people in his community, who would purchase the products directly from the warehouse. In network marketing, advertising costs are reduced or eliminated, there is less transportation pollution, and Jeff has a more fulfilling job - talking to people about Gadgets instead of managing a store, inventory, and employees. Members can buy products at reduced rates, and instead of the mark-up benefiting big corporations, Jeff gets a share of the profits.
The most significant social justice principle at work in network marketing is the ability of anyone from any background to earn an unlimited salary with no formal education. All that Jeff needs is an entrepreneurial spirit, a willingness to take risks, determination, and some support/training from Gizmo Corp and his peers. He can set his own hours, choose a way of working that suits him best, and even work from home to raise his children.
Even as a part-time income, network marketing can provide just enough extra income to invest, save, or pursue further education, making upward mobility and financial stability possible.
This realization has given me another reason to introduce my business to others, knowing that I am helping people create financial freedom and providing better products at lower prices without the guilt.
Join the social justice movement and start your own network marketing business!
Best Wishes,
Colin J. Turner
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