What is the ruling on earning profit from network marketing in a company that sells a direct product for $2000, with an initial commission of $200 that multiplies up to $12,000?

It is not permissible to participate in marketing that requires the participant to purchase a product. The Permanent Committee for Scholarly Research and Ifta has issued a fatwa prohibiting it, because the product is merely a cover for taking fees and money from participants, out of a desire for profit.