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Compliance

Compliance is a term in reference to policies used to protect network marketing businesses from bad actors within their organization. A compliance policy outlines rules and regulations which distributors are expected to uphold, and sets a standard for the corporation as a whole. The rules and regulations tend to involve the type and distribution of promotional materials, approved sales tactics, and the recommended content for advertisements, sales pitches, etc. A compliance policy will also forbid unethical marketing tactics, such as false claims or exaggerated figures. This protects the larger company from the consequences of a single bad actor. Ignoring the compliance policy can be grounds for revocation of distributor status.

See: Compliance Policy

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