Company Background Amway brand is well known for products such as nutrition and wellness, skin care, home

care and etc. Amway is an International brand trusted by their consumers more than 50 years. As one of the worlds largest direct selling companies, Amway now operating more than 80 countries. The Amway business has grown to provide opportunities for more than three million people worldwide, marketing 450 Amway products. Around the world, where you find Amway, you'll also discover people who share the entrepreneurial spirit and who want to excel. Amway is the global leader in the direct sales business sector, and the most experienced and supportive partner any aspiring entrepreneur can find. There is a reason why I chosen Amway as a trusted brand because Im one of the loyal consumer where I choose all my household products and supplements from Amway. Im using Amway products more than 4 years and I really satisfied the quality and services provided by the company.

Amway's Business Model

http://www.amway.com/en/about-amway/business-model The AMWAY business model is based on the AMWAY Business Owner Compensation Plan a low-risk, low-cost business opportunity that is open to everyone. An AMWAY business rewards you for selling products and for sponsoring others who do the same. As your business grows, so do your rewards. In this business you earn income from:

Retail profit* on product sales to customers. Monthly performance bonuses ranging from 3% to 25% of business volume, depending on your monthly productivity. Monthly and annual leadership bonuses and other cash awards and business incentives based on group performance.

As an international company operating in 80 markets, Amway adapts its business model to the cultural and economic needs and standards of the markets in which it operates; our business model varies slightly from market to market. Become an AMWAY business owner and have a business with unlimited potential of your own! For more information about starting your own AMWAY business, select your region and market within the Amway Family. The list includes all the markets where the AMWAY opportunity is available. Or, if you live in North America, click to find out how to get your Amway business started. *Retail margins on health, beauty, and home care products average about 29% when these products are sold at Suggested Retail price. You have the freedom to determine independently the prices at which you sell products to customers, so you decide your retail margins. Business Tools
We support your business, every step of the way. Amway provides you with the following world-class business tools:

Customer care: If you have a question about anything - like registration, renewal, business, or product information - our Customer Care Associates can help you. Business management: You can manage your business, check customer volume, order products, and renew your business, all at Amway.com. Order management: You sell the products, and we'll do the rest, like process the order, manage your customer accounts, and handle the shipping details.

PLUS: The IBO organization you may become involved in also provides training and motivation in the field. You may be offered Business Support Materials (BSMs) that are independent of Amway, including DVDs, CDs, books, websites, seminars and business conventions. Many IBOs find these BSMs useful as they build their businesses, but they are completely optional, so it's your decision. Just so you know, some IBOs earn income from the sale of these BSMs apart from their earnings through the Amway IBO Compensation Plan.

Mentoring
Your upline, the Independent Business Owner who sponsored you into the business, provides guidance, advice, support, and mentoring. An Amway Independent Business is all about people and connections. We support one another on our way to success. Amway also provides each Independent Business group their own Sales Advisor, who also supplies advice, training suggestions, and helpful business direction. You are never alone in the Amway Business.

Training
Every Amway Independent Business Owner has available to them world class, proven training resources offered by The Learning Center. The Learning Center offers free online training courses aimed at helping you sell product, build your business, and establish the confidence you need to achieve your goals.

Marketing
Amway makes unprecedented investments to raise public awareness of the business, the opportunity we support, and the products we offer. Amway supports each and every Independent Business with national and local advertising, sponsorships, and events.

History
[edit] Founding

Amway Japan Head Office.

Amway Vietnam (H Ch Minh since 2008).

Jay Van Andel and Richard DeVos, friends since school days, had been business partners in various endeavors including a hamburger stand, air charter service, and a sailing business. In 1949 they were introduced by Neil Maaskant (Van Andel's second cousin) to the Nutrilite Products Corporation. Nutrilite was a California-based direct sales company founded by Dr. Carl Rhenborg, developer of the first multivitamin marketed in the United States. In August 1949, after a night-long talk, DeVos and Van Andel signed up to become distributors for Nutrilite food

supplements.[14][page needed] They sold their first box the next day for $19.50, but lost interest for the next two weeks. Shortly thereafter, at the urging of Maaskant, who had become their sponsor, they traveled to Chicago to attend a Nutrilite seminar. The meeting was at a downtown hotel, with over a hundred people in attendance. After seeing promotional filmstrips and listening to talks by company representatives and successful distributors, they decided to pursue the Nutrilite business opportunity with enthusiasm. They sold their second box of supplements on their return trip to Michigan, and rapidly proceeded to develop their new business further.[14][page needed] In 1949, DeVos and Van Andel had formed Ja-Ri Corporation (abbreviated from their respective first names) for importing wooden goods from South American countries. After their trip to the Nutrilite seminar, they dropped[clarification needed] this business and Ja-Ri became their Nutrilite distributorship.[15] In addition to profits on each product sold, Nutrilite also offered commission on the sales of products by new distributors introduced to the company by existing distributorsa system today known as multi-level marketing or network marketing. By 1958, DeVos and Van Andel had built an organization of over 5,000 distributors. However, following concerns about the stability of Nutrilite, in April 1959 they and some of their top distributors formed The American Way Association to represent the distributors and look for additional products to market.[16] Their first product was called Frisk, a concentrated organic cleaner developed by a scientist in Ohio. DeVos and Van Andel bought the rights to manufacture and distribute Frisk, and later changed the name to LOC (Liquid Organic Concentrate).[17] They subsequently formed Amway Sales Corporation to procure and inventory products and to handle the sales and marketing plan, and Amway Services Corporation to handle insurance and other benefits for distributors (Amway being an abbreviation of "American Way").[18] In 1960 they purchased a 50% share in Atco Manufacturing Company in Detroit, the original manufacturers of LOC, and changed its name to Amway Manufacturing Corporation.[19] In 1964 the Amway Sales Corporation, Amway Services Corporation, and Amway Manufacturing Corporation merged to form a single entity, Amway Corporation[9] Amway bought control of Nutrilite in 1972 and full ownership in 1994.[20]
[edit] International expansion

Amway expanded overseas to Australia in 1971, to Europe in 1973, to parts of Asia in 1974, to Japan in 1979, to Latin America in 1985, to China in 1995, to Africa in 1997, to India and Scandinavia in 1998, to Russia in 2005, and to Vietnam in 2008.
[edit] Quixtar Main article: Amway Global

In 1999 the founders of the Amway corporation established a new holding company, named Alticor, and launched three new companies: a sister (and separate) Internet-focused company named Quixtar, Access Business Group, and Pyxis Innovations. Pyxis, later replaced by Fulton Innovation, pursued research and development and Access Business Group handled manufacturing and logistics for Amway, Quixtar, and third party clients.[21]

The main difference was that all "Independent Business Owners" (IBO) could order directly from Amway on the internet, rather than from their upline "direct distributor", and have products shipped directly to their home. The Amway name continued being used in the rest of the world. After virtually all Amway distributors in North America switched to Quixtar, Alticor elected to close Amway North America after 2001. In June 2007 it was announced that the Quixtar brand would be phased out over an 18 to 24 month period in favor of a unified Amway brand (Amway Global) worldwide. In 2006, Quixtar published The Quixtar Independent Business Owner Compensation Plan, in which the company reported that the average monthly gross income for "Active" IBOs was $115.[22]

[edit] Global markets

According to the Amway website, as of 2011 the company operates in over 80 countries and territories, organized into regional markets: the Americas, Europe, greater China, Japan and Korea, and SE Asia/Australia. In 2008, Alticor announced that two-thirds of the company's 58 markets reported sales increases, including strong growth in the China, Russia and India markets.[23]
[edit] Amway Australia

See Amway Australia Pty Ltd

[edit] Amway China

Amway grew quickly in China from its market launch in 1995. In 1998, after abuses of illegal pyramid schemes led to riots, the Chinese government enacted a ban on all direct selling companies, including Amway.[24] After negotiations, some companies like Amway, Avon, and Mary Kay continued to operate through a network of retail stores promoted by an independent sales force.[25] China introduced new direct selling laws in December 2005, and in December 2006 Amway was one of the first companies to receive a license to resume direct sales. However, the law forbids teachers, doctors, and civil servants from becoming direct sales agents for the company and, unlike in the U.S., salespeople in China are ineligible to receive commissions from sales made by the distributors they recruit. In 2006, Amway China had a reported 180,000 sales representatives, 140 stores, and $2 billion in annual sales.[26] In 2007 Amway Greater China and South-east Asia Chief Executive Eva Cheng was ranked No.88 by Forbes magazine in its list of the World's Most Powerful Women.[27] In 2008, China was Amway's largest market, reporting 28% growth and sales of 17 billion (US$2.5billion).[28] According to a report in Bloomberg Businessweek in April 2010, Amway had 237 retail shops in China, 160,000 direct sales agents, and US$3 billion in revenue.[29]

[edit] Brands
Amway's product line grew from LOC, with the laundry detergent SA8 added in 1960, and later the hair care product Satinique (1965) and the cosmetics line Artistry (1968). Today Amway manufactures over 450 products, with manufacturing facilities in China, India and the United States, as well as Nutrilite organic farms in Brazil, Mexico and the United States (California and Washington State).
[edit] Household cleaners

Amway is best known in North America for its original multi-purpose cleaning product LOC, SA8 laundry detergent, and Dish Drops dishwashing liquid. In the January 2007 issue of Consumer Reports, SA8 with Bioquest was rated the best-performing laundry detergent, scoring 99 out of a possible 100 points.[30] Consumer Reports did, however, criticise SA8's pricing, a situation which was disputed by Amway.[31] Consumer Reports conducted blind testing of detergents in 2010 and ranked versions of Amway's Legacy of Clean detergents 9th and 18th of 20 detergents tested. Consumer Reports program manager Pat Slaven recommended against buying the products because consumers can "go to the grocery store and get something that performs a whole lot better for a whole lot less money."[32][33]
[edit] Health and beauty

Amway's health and beauty brands include Artistry, Beautycycle, Time Defiance, Artistry Essentials, Pure White, Satinique, Tolsom, Body Series, Glister, Moiskin (South America),[34] Nutrilite, Nutriway (Scandinavia and Australia/New Zealand), eSpring, Atmosphere and iCook as well as XL and XS Energy drinks.
[edit] Artistry Main article: Artistry (cosmetics)

Amway's Artistry products include skin care, cosmetics, and anti-aging creams and serums.
[edit] Nutrilite Main article: Nutrilite

Amway's largest selling brand is the Nutrilite range of health supplements (marketed as Nutriway in some countries), and in 2008 Nutrilite sales exceeded US$3billion globally.[35] In 2001, five Nutrilite products were the first dietary supplements to be certified by NSF International.[36] Surveys by independent group Consumerlab.com since 2002 have rated Nutrilite as having the highest customer satisfaction rating (96% in 2006) in the direct selling/MLM brand category.[37][38] In 2006, 2007, 2008, and 2009 in the nutrient and health food category, Nutrilite won "Platinum" and "Gold" awards in Malaysia, China, Taiwan, Thailand, and Asia overall in the Reader's Digest "Trusted Brands of Asia" survey.[39] In 2008 Nutrilite scientists, in partnership with Alticor subsidiary Interleukin Genetics won the 12th John M. Kinney Award for Nutrition and Metabolism for their research into the interaction between nutrition and genetics.[40] In January 2009, Amway announced a voluntary recall of Nutrilite and

XS Energy Bars after learning that they had possibly been manufactured with Salmonellacontaminated ingredients from Peanut Corporation of America. The company indicated that it had not received any reports of illness in connection with the products.[41]
[edit] eSpring

Amway's eSpring water filter, introduced in 2000, was the first home water treatment system to incorporate a carbon block filter and Ultraviolet disinfection unit, becoming the first home system to achieve certification for ANSI/NSF Standards 42, 53 and 55.[42] The unit was also the first commercial product to include sister company Fulton Innovations eCoupled wireless power induction technology. Fulton Innovation introduced the technology in other consumer electronic products at the 2007 International Consumer Electronics Show. Companies licensing this technology include General Motors, Motorola and Visteon.[43][44] In 2006 eSpring was named Product of the Year by the Poland-based non-profit World Foundation of Health, Heart and Mind.[45] eSpring has won numerous Gold and Platinum awards in the Reader's Digest Most Trusted Brand Asia surveys.[46]
[edit] Atmosphere

In 2008 Amway's Atmosphere Air Purifier became the first air cleaner certified Asthma and Allergy Friendly by the Asthma and Allergy Foundation of America.[47 Amway Msia Beginning with just five employees, in a small office and warehouse facility in Jalan Ipoh in 1976, Amway Malaysia was one of the pioneers in the direct selling industry at that time. Today, Amway Malaysia is the leading direct selling company in Malaysia with a core distributor force of 208,000 from all corners of the nation and a sales turnover of RM663.9 million for the financial year ended 31 December 2009, making Amway a household name in Malaysia.