Everything You Ever Wanted To Know About Straight Line Compensation Structures
Straight line linear compensation plans in network marketing are fixed width structures inside of an multi-level marketing matrix. When you view this type of matrix from a structural point of view, the straight line comp plan is seen as a matrix which is fixed in width and is only one wide. Typically what happens inside of these kind of plans is the network distributors are stacked all on top of one another into a straight line. Straight line linear plans such as these became very popular and were widely used around the turn of the century.
If you were to actually visualize the straight line compensation plan you can kind of see it as a giant tube. The thing that happens when a sale comes into the network is that the new distributor is placed at the very bottom of the matrix which in turns pushes the top person out who would get a commission and a chance to enter the matrix again. After being pushed out of the top the distributor has the option to enter the matrix once again at the bottom starting the whole entire cycle again.
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- Published:
- 09.05.09 / 12am
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