In Network Marketing, in addition to our customers and our members' customers, all the members of a Network will, because they believe in the product, be users or consumers of it. Sales occur constantly at all levels in the organization - and your example is a great motivator to others. As the network expands, so the volume of sales must increase. The ideal product for Network Marketing is one that is either consumable or renewable, ensuring continuity of sales into the future. You recruit people where you find them - it is always possible to make arrangements to take care of the practical details of recruitment on a localized basis.
Territorial protection is territorial restriction.
Newspapers will always pick up anything the least bit unsavory and enlarge it almost out of recognition. In Network Marketing, there have been examples of exaggerated claims for products, getting people to meetings by the use of dubious and misleading information and the publication of products or recruitment advertising of a doubtful nature. Fortunately companies and organizations, for the sake of their own reputations, are swift to jump on any reported malpractice and, generally, control is very good. Based on the fact that there has never yet been known to happen with any product, there is a strong case against saturation. There would never be sufficient networking operatives to cause saturation by either recruits or products.