MLM Merger System Reorganizing User Structures
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Solution Overview
Problem
Merging Multi-Level Marketing (MLM) companies with different commission structures poses challenges, as existing methods often result in disorientation and income disruption for members, and can only be seamlessly integrated into a multiline MLM structure, which may not be preferred by all parties.
Innovation Solution
A Multi-Level Marketing Merger System that reorganizes user connections and positions from Unilevel, Binary, or Matrix MLMs into a Multiline MLM, creating crossline connections and updating commission rules to maintain comparable earnings, using a system comprising a Multiline MLM User Database, Sales Database, Commission Module, and Merger Module to reconcile different commission structures.
Engineering Contradictions & Design Principles
Engineering Contradiction Analysis
1Stability of the object's composition
If different MLM commission structures are kept separate after merger, then each structure maintains its original commission rates and integrity, but members must continue building separate structures and the merger does not achieve true integration
Solution Approach 1:
The patent merges multiple MLM companies with different commission structures (unilevel, binary, matrix) into a single unified matrix MLM structure. The system automatically reorganizes user connections and positions from various source structures into the target matrix structure, achieving true integration while maintaining commission comparability through automated calculations and adjustments.
2Adaptability or versatility
If MLM companies with different commission structures are merged into a unified structure, then true integration is achieved, but members experience disorientation and income disruption due to changes in commission structures
Solution Approach 1:
The system changes the structural parameters of user connections and positions from various source MLM structures into the target matrix structure, while carefully adjusting commission rates and calculations to maintain comparability. The automated system calculates equivalent commission positions and makes necessary parameter adjustments to preserve member income stability during the transition.
Solution Approach 2:
The system incorporates feedback mechanisms to calculate and adjust commission rates, ensuring that members' earnings remain comparable after the merger. The automated calculations continuously monitor and adjust commission structures to maintain income stability while achieving structural integration.
3Adaptability or versatility
If MLM companies are merged into a multiline MLM structure, then integration is achieved, but the resulting structure may not be the preferred MLM structure for members or executives
Solution Approach 1:
The patent adopts a matrix MLM structure as the universal target structure that can accommodate and integrate users from various source structures (unilevel, binary, matrix). The matrix structure serves multiple functions by being able to receive and reorganize users from different commission structures while maintaining a single unified system that satisfies both integration requirements and user preferences.
Data Source
AI summary
Disclosed herein is a system and method to any two or more MLMs to be merged into a multiline MLM system despite having different commission structures. Each member of the original MLMs is able to maintain their existing downlines without any changes. Further the existing MLM members have full access to the multi-line MLM commission structure, for example, a member of a binary MLM may now add a 3rd, 4th, 5th, etc. line if they choose. The multiline commission plan will be different than the commission plans from any of the original MLMs but this change should not affect the income of a large portion of users, and users that are affected by the changeover can be compensated or made whole on an individual level. In addition to this multiline commission plan, the commission structure of the original MLMs has been broken into several separate ‘types’ which together form a MLM system. These ‘types’ include the income received from downline commission based on position and the income received based on enrolling a member in the MLM, also known as sponsorship. These commission structures may be maintained after the merger for each specific MLM that was merged. This way members of the multiline MLM have access to both their original downlines and commission plan while still being able to take advantage of the features and commission plan of the multiline MLM.