According to the survey of Multilevel Marketing (MLM) organizations report in the year 2009 conducted by Fair Trade Commission Executive Yuan, there were 4,442,000 people participated in the MLMs in Taiwan. Based on the data published by the Ministry of Interior, the population of Taiwan in the year of 2009 was 23,119,000; therefore, on average the participation rate in Multilevel Marketing Organizations in Taiwan is about 19.21%. Due to current economic uncertainty, Multilevel Marketing Organizations are especially attractive to people of all backgrounds. This is mainly because MLMs have low start-up costs, and require only basic entry level know-how to start. Although the participation rate of MLMs in Taiwan is 19.21%, the actual active number of IBOs (independent business owners) who run direct selling business is far less than the number shown on the statistics. This research is a qualitative study using the Behavioral Events Interview method to explore the managerial competency model of leaders in Multilevel Marketing organizations which further defines and includes managerial competencies clusters, managerial competencies, and managerial competencies indicators. There are six major managerial competencies clusters and sixteen sub-competencies included in this managerial competency model. The six managerial competencies clusters are ¡§Goal and Action cluster,¡¨ ¡§Cognitive cluster,¡¨ ¡§Organization Development cluster,¡¨ ¡§Leadership cluster,¡¨ ¡§Knowledge & Skill cluster,¡¨ and ¡§Personal Traits cluster.¡¨ As for the sub-competencies, they are ¡§Achievement,¡¨ ¡§Initiative,¡¨ ¡§Action,¡¨ ¡§Analytical Thinking,¡¨ ¡§Conceptual Thinking,¡¨ ¡§Information Seeking,¡¨ ¡§Organization Awareness,¡¨ ¡§Organization Development,¡¨ ¡§Developing Others,¡¨ ¡§Team and Cooperation,¡¨ ¡§Team Leadership,¡¨ ¡§Confidence,¡¨ ¡§Communication,¡¨ ¡§ Knowledge and Skill,¡¨ ¡§Dissemination of Knowledge,¡¨ and ¡§Personal Traits.¡¨ Among these, what distinguishes the managerial competency model of the leaders in MLMs from the general managerial competency model is the ¡§Organization Development cluster.¡¨ This cluster includes four competencies, which are ¡§Organization Awareness,¡¨ ¡§Organization Development,¡¨ ¡§Developing Others,¡¨ and ¡§Team and Cooperation.¡¨ In addition ¡§Action¡¨ and ¡§Dissemination of Knowledge¡¨ are also the core competencies/characteristics that leaders in MLMs possess. This managerial competencies model for leaders in Multilevel Marketing organizations can benefit three types of people. For IBOs who just join the MLMs, this model can be an educational reference for developing their managerial competencies. For leaders in MLMs, this model can be a checklist for their work performance. For people who are from the Multilevel Marketing organizations, this model can be a source for annual training programs or a reference for publications in MLM organizations.

According to the survey of Fair Trade Commission Executive Yuan, some people participate two or more than MLM organization. Excluding the number of participants, there were 4,570,000 people in the year of 2010 compared to 4,442,000 people in the year of 2008 which increased 128,000. Based on the data published by the Ministry of Interior, the population of Taiwan in the year of 2010 was 23,162,000; therefore, on average the participation rate in Multilevel Marketing Organizations in Taiwan is about 19.73% compared to the year of 2009 is about 19.21% which increased 0.52%. Then, MLM system has been many years, therefore, it to be considered that MLM system can provide service and selling successfully and effectively to consumers, and it helps salesmen or distributors can get profit. This research questionnaire is based on¡uThe Study of Managerial Competencies of Leaders in Multilevel Marketing Organizations¡vand through statistics analysis to find out the new managerial competencies. After research result, there are six major managerial competencies aspects and fifteen items included this managerial competency model. The six managerial competencies aspects are ¡§Goal and Action aspect,¡¨ ¡§Cognitive aspects,¡¨ ¡§Organization Development aspect,¡¨ ¡§Leadership aspect,¡¨ ¡§Knowledge & Skill aspect,¡¨ and ¡§Personal Traits aspect.¡¨ As for the sub-competencies items, they are ¡§Action,¡¨ ¡§Goal Setting,¡¨ ¡§Conceptual Thinking,¡¨ ¡§Information Seeking,¡¨ ¡§Team and Cooperation,¡¨ ¡§Organization Development,¡¨ ¡§Organization Communication,¡¨ ¡§Organization Awareness,¡¨ ¡§Team Leadership,¡¨ ¡§ Knowledge and Skill,¡¨ ¡§Dissemination of Knowledge,¡¨ ¡§Industries Knowledge,¡¨ and ¡§Personal Traits.¡¨ Through the statistics analysis, it can find out what kinds of the managerial competencies that the leaders should have. And the leaders can lead team members who come from other industries.