Strategies for Sustainability in Multilevel Marketing Organizations

Strategies for Sustainability in Multilevel Marketing Organizations by Nicole Renea Cordell MBA, Keller Graduate School of Management, 2012 BA, North Carolina Central University, 2009 Doctoral Study Submitted in Partial Fulfillment of the Requirements for the Degree of Doctor of Business Administration Walden University December 2018 Abstract The number of entrepreneurs in the direct sales industry has steadily increased since 2010; however, the annual turnover rate is 56%. The purpose of this multiple case study was to explore multilevel marketing (MLM) entrepreneurial leadership strategies implemented to help ensure sustainability of entrepreneurial MLM businesses for longer than 5 years. Purposive sampling was used to recruit 10 entrepreneurs who maintained an MLM business more than 5 years and used a hierarchical status that required a team. The transformational leadership theory constituted the conceptual framework for researching leadership as a concept of entrepreneurship and sustainability in MLM. Data were collected from semistructured interviews and reflective journaling. Member checking was used to increase the validity of findings. The data organization technique included Yin’s 5 steps and the classic method of data analysis to categorize concepts. Themes derived from data analysis include self-efficacy, the behavioral approach to leadership, the psychological perspective of transformational leadership, the resource theory of social exchange, and achievement goals. The implications of this study for social change might include decreasing the community unemployment rate through entrepreneurial opportunities and encouraging the development of leadership skills to promote community responsibility.The number of entrepreneurs in the direct sales industry has steadily increased since 2010; however, the annual turnover rate is 56%. The purpose of this multiple case study was to explore multilevel marketing (MLM) entrepreneurial leadership strategies implemented to help ensure sustainability of entrepreneurial MLM businesses for longer than 5 years. Purposive sampling was used to recruit 10 entrepreneurs who maintained an MLM business more than 5 years and used a hierarchical status that required a team. The transformational leadership theory constituted the conceptual framework for researching leadership as a concept of entrepreneurship and sustainability in MLM. Data were collected from semistructured interviews and reflective journaling. Member checking was used to increase the validity of findings. The data organization technique included Yin’s 5 steps and the classic method of data analysis to categorize concepts. Themes derived from data analysis include self-efficacy, the behavioral approach to leadership, the psychological perspective of transformational leadership, the resource theory of social exchange, and achievement goals. The implications of this study for social change might include decreasing the community unemployment rate through entrepreneurial opportunities and encouraging the development of leadership skills to promote community responsibility. Strategies for Sustainability in Multilevel Marketing Organizations by Nicole Renea Cordell MBA, Keller Graduate School of Management, 2012 BA, North Carolina Central University, 2009 Doctoral Study Submitted in Partial Fulfillment of the Requirements for the Degree of Doctor of Business Administration Walden University December 2018 Dedication I want to dedicate my work to my son, Jace Landon Henderson. He is an answered prayer, my brightest smile, and my greatest accomplishment. He is the motivation I needed to finish my degree and push harder to reach my dreams. It may be cliché to say a child should have what his parents were unable to have or even that a child is not supposed to want for anything. I believe that, but I’ll add that I want my child to learn and experience a life full of opportunities, knowledge, and power. It is not the world’s responsibility to provide the foundation my child needs to grow and flourish as a prosperous man. It is mine. I am the one who will instill the importance of unwavering dedication and the strength to continue searching for his passion no matter how often the world attempts to change his outlook on life. Therefore, I dedicate this dissertation to my son so he will continue to strive knowing that his parents will be close behind him every step of the way. Acknowledgments I want to thank God first for all he has done for me throughout this journey. I want to acknowledge my Dissertation Chair Dr. Erica Gamble for her encouraging words and understanding temperament. I want to thank my Second Committee Member Dr. Irene Williams and the Program Director Dr. Susan Davis for their assistance during the dissertation process. In addition, I want to acknowledge Rene Batts for her thoughtful assistance during my participant search; I appreciate the experience shared with your entrepreneurial family and everyone setting aside time to share their perspectives of entrepreneurship. I want to thank my support system starting with my life coach, Esha Davis, for the years constant support and encouragement. I want to thank my best friend, Jessica Odom, for disagreeing each time I wanted to quit. I want to thank my best friend, Dr. Jessica Allen, for keeping me accountable. Reaching my destination would not have been possible without you insisting my degree is obtainable despite the timeline. I would also like to offer my warmest thanks for your editing services. I want to thank my family; no matter how many times I amended my goals, you all continued to be my rock. I am the product of two brilliant parents, Janice and Tim, from a background of educational success. They also created my endearing sister, Brandi, who shows her brilliance every day. To all my family, thank you for the continuous support. Thank you, Diane, Shirley, Sophia, and Cedric for encouraging me to finish one goal and move on to the next.