Illegal Pyramids vs. Legal Multilevel Marketing MLM Companies

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Part 1 – Most business writers don’t really know the difference. Even most Network Marketing participants don’t know. But one is a beautiful concept. The other … not so much! Part 2 is at:
http://www.mlm-thewholetruth.com/network-marketing-success/illegal-pyramid-scheme-or-legal-mlm-part-ii/

See also this new video “MLM: Some says it’s…”
http://youtu.be/5XT35o230Ow
And leave a comment

Comments

Bengia Apo says:

I was about to pop in.

Luna Sea says:

MLMs ruin lives & relationships! People do not have a bad opinion of them because of jealousy or a conspiracy. It is because they are so awful. If you promote MLMs, then you're either a victim who believes the lie of your upline, or you are a scammer who knows you're recruiting people into a LIE where they WILL LOSE MONEY! You are either an idiot or a scammer. If you are considering joining an MLM please do research objectively. There is a reason why they have bad reviews & horror stories. Those are real. Look up the income disclosure before joining.

Luna Sea says:

The income disclosures for these SCAMS are usually online. Literally around 98% of EVERY person who joins ANY MLM WILL LOSE MONEY! This a proven, easily verifiable FACT! The type of person who can ignore something like that is the type of person who is the perfect victim for MLMs. Logical people would never join something where they have less than a 2% of even earning a livable income. If you have to pay to join & recruit to succeed, then you're in a pyramid scheme with an irrelevant product added for legality. Most MLMs have terrible quality products also.

Greg Ruddell says:

Complete BS,

The so called "customers" are incentivized by moving up to become distributors that will benefit from the recruitment of more "incentivized" so called customers. This incentive usually involves agreeing to purchase products from a higher level in the distribution chain. This isn't a clean sale of transaction that doesn't involve this incentive factor. So why it may not be a straight up pyramid scheme, the end result eventually occurs. That being the fact that the folks at the very bottom levels end up with nothing other than having purchased products that they normally would not have purchased had their not been the allure of moving up the ranks to make profit from "dupes". These things always end the same way as the base becomes saturated. Lou can put lipstick on a pig, but it's still the same pig.

Kasavan Madurai Nair says:

Im sorry,I 100% disagree with You. Both are illegal Pyramid Scheme. Customers are exploited,mostly designed to grow the masses toward the poorest,whilst those with the know HOW,are the richest at the top.

John Brennan says:

What a hack. Go to real University and get a Business Degree, what TOTAL NONSENSE. Anyone can publish anything these days, and as long as they pay their tax to the Government they will not get shut down….

Lukas V says:

This guy sounds like someone from South Park

ben crawford says:

Depends on your level of work and the structure involved. I'm very sceptical of mlm companies but still have an open mind to them and to be honest,the entire world revolves around advertising and sales. If you think your job doesn't involves sales or commerce in some capacity,you're missing the point. T.V,radio, social media pretty much everything in our lives revolves around companies wanting us to be a consumer…it's just up to you whether you are comfortable to profit share in this inevitable movement or sit on the sidelines…both options are perfectly fine,you just have to be happy in yourself with your actions and not complain if you miss out on the action.

Chris says:

MLM Companies=They have a legitimate product, but way too many distributers to sell it. They know this, but keep signing up people to be distributers because they make money off of the distributers, not the product. They sell membership, books, audio, conferences. Distributers make more money signing people up than they do selling product. They get away with it because there is a product that some people make a small amount of money on. It is legal, but misleading, unethical, should be illegal and is illegal in some countries.

Judeen Celorico says:

For interested to be a distributor click the link.http://aimr2me.com/aimGlobal/judeencelorico

Julian Campbell says:

nomatter where u work in life NO MATTER where u go… your company is ONLY going stand as strong as your personal ethics and integrity. even if u have legal distribution and u lie, cheat, or just want to use ur job as a cover front…. then, it dosent matter if u work MLM or McDonald's… corruption is corruption. if u can work without sex and having kids… then we will be believers.

Asmus Aner storm says:

Dont fall for this guys

Seth Hackley says:

* Cough * WFG/Trans america/Aegon

Jim Rustles says:

So what you're describing is a pyramid scheme

Brian Paulsen says:

You are full of shit!

Amina Ahmet says:

The more levels, the lesser the salery or not?

Ryan hayman says:

There’s an ad for a pyramid scheme on the video

Bruce Peters says:

Typical MLMer. This is what is wrong with this entire industry. You guys have to tell subtle LIES to get people to buy into this stuff. There is NO VALUE flowing from one level to another. There is only MONEY flowing. Yes. Customers at the bottom are happy, they are getting real value. And the manufacturer is getting value. But there isn't any VALUE flowing down between the people in the middle. What you say might be legally true, but it isn't practically true.

Steve Rants says:

I heard that Amway was started by the mafia.

Mike Breit says:

Almost ALL Companies are Multi Level…Employees work for them and are limited in their ability to make Higher Income…the Top people make the most and will never allow the Employee to rise above them. You want to have your life and income controlled by someone else, go ahead . Other platforms allow and encourage its people to rise above as far as they want, creating unlimited income opportunity for themselves as Independent Contractors, AKA Business Owners. I’m in a Network Market organization that has a lot of Customers. We do the marketing and sales for a host of companies in the Financial Sector, And there’s zero limitations on Income earning…Its called Commissions…you perform, you get paid…simple and honest..Every company recruits people…we do to..it’s called Hiring. Truth is I make more money than an Employee ever will…That gives me and my family choice and freedom, and I help others do the same…our Products and Services DO help people .we’re regulated by the State and Federal governments and adhere to all laws. This is NOT for lazy middle class people who want things handed to them…You have to work hard but its really not all that difficult if your focused and have goals set. It’s NOT for people who need to be told what to do and get paid hourly or Salary…It’s For motivated people who want to separate themselves from the masses of Broke people who don’t really understand how the work/Money game works. It’s a positive working environment with Mentors who help you along the way to freedom. If your trying to get ahead Financially in life, but keep doing the same thing over and over (insanity) then you need to look at what wealthy people do, listen to wealthy people, copy what they do , THINK like they do, Etc
WFG is fantastic to be in Business with and have the vehicle to make your life FREE …Your own belief system will either keep you broke and at the mercy of a BOSS, or it can set you free financially. It’s all LEGAL and profitable for everyone involved….and it’s Network Marketing!!!

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