There are a lot of advertisements both within the opportunity magazine world and the Internet promising to provide you with great selling products at extreme discounts for you to resell for profit. These advertisements claim to offer "hot-selling" products at deep discounts for the eager entrepreneurs to buy and resell. It sounds easy - just buy the products for wholesale, mark them up a few bucks, and sell them online. So why isn't everyone doing it? What's the catch?

Well let's take a look at how it works...

An eager entrepreneur sees an advertisement that says something to the likes of:

Make Money on the Internet... Distributors Needed for Our Unique Products!
We Provide You with the Hottest-Selling Products at Rock Bottom Wholesale Prices!

The entrepreneur then clicks on the ad for more information. Usually the information consists of a lengthy advertisement describing the huge sums of money that can be made by reselling the company's wholesale products. The wholesale company will further entice the entrepreneur by providing a showcase of their products (books, computer programs, knick-knacks, etc.) that claim to all be hot sellers. Alongside each product the entrepreneur will usually find a suggested retail price and a "wholesale" price.

Sounds good, huh? Well, before we answer that, let's follow the process through. Let's say the entrepreneur takes the company up on their offer (and many do). The entrepreneur will likely be required to purchase a bulk order of the product(s) and/or a membership fee to be paid before products can be purchased at the discount level.

Now, let me say this, everything that we covered up to this point can be legitimate. However, the problem is, many of the companies advertising wholesale products are NOT legitimate wholesale companies. In fact, they’re far from it. I’ve found that most of all the wholesale promotions you see kicked around the Internet fall into one of the following three scenarios:

A) The discounts (wholesale prices) offered on the products are not low enough for you to make a profit, and the products are either outdated or have very little demand

B) The discounts (wholesale prices) offered on the products are low, but the products are either outdated or have very little demand

C) The products are actually in demand, but the discounts (wholesale prices) are by no means low enough for you to make a profit

Again, this is my opinion, but I found that the above three scenarios just about sums up 99% of every wholesale product purchasing program you can find throughout the opportunity magazines and Internet marketplaces. Let us examine each one of the above scenarios individually...

In Scenario A:

You are given an insignificant discount on products with little to no demand. Unfortunately, this is the most common scenario. In just about every instance, the company which is offering the products markets itself as a wholesale provider for the product, but in fact they are just a middleman in the middleman-chain handling the transaction between you and the product source (or another middleman). As a result the discount will not be significant, probably in the 20% range, which is simply not enough of a discount even if the products had a high demand.

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