Case:
Market America is a product brokerage and Internet marketing company that specializes in One-to-One Marketing. With more than three million customers and over 160,000 distributors worldwide (with international operations in the United States, Canada, Taiwan, Hong Kong, and Australia), Market America has generated more than $2.4 billion in accumulated retail sales. It markets a wide variety of high-quality products and services (including anti-aging, health, nutrition, personal care, and many other types of products). J. R. Ridinger founded Market America in April of 1992 using the business model to sell directly to consumers through distributor business owners. Market America places the dream of starting your own distributor business to achieve financial independence and freedom of time within the reach of anyone. It offers the benefits of franchising (a proven business plan, management and marketing tools, and training) without the risk and high cost (franchise fees, monthly royalties, territorial restrictions) of a traditional franchise. There are minimal startup expenses, and people often start part time (8 to 12 hours per week). Existing businesses can also become partners--distributors. Market America will build, or improve, a Web site and take a distributor into the world of e- commerce. Through its revolutionary One-to-One Marketing concept, Market America combines the Internet with the power of people to ensure the most efficient and friendliest customer experience. Thus, Market America is fast becoming the World Wide Web's ultimate online destination.
Opening Case Questions:
1. Which Ohio State University and Leadership Grid leadership style is emphasized at Market America?
2. What does Market America do to motivate its distributors, and how does it affect performance?
3. (a-c). How does Market America meet its distributors' content motivation needs?
4. (a-c). How does Market America meet its distributors' process motivation needs?
5. How does Market America use reinforcement theory to motivate its distributors?