Add Opportunity  Add Real Story  Ask Entrepreneur
Pyramid schemes are increasingly treated as legitimate enterprises

MLM articles

MLM Articles

Potential Questions and Objections
Don’t automatically assume your prospect is going to have a negative perception of MLM and that you have to defend network marketing. It is best to ask questions in response to their questions so you learn, figure out, where they are coming from.
questions,mlm,negative,network marketing,learn

Multi-level Marketing
In very simple terms, Multi-level Marketing (MLM) is spending more time on making your customers SELL for you rather than BUY from you! It is the art of turning your customers into your trusted brand ambassadors, i.e. your sellers.
multi-level,marketing,MLM

How To Write A Well-Themed MLM Article
How To Write A Well-Themed MLM Article

Needed: A More Proactive Approach to Enforcement of Laws Against Pyramid Schemes as Applied to MLM’s
One of the insidious features of many MLM’s is that promoters often aggressively harvest the rewards from building their pyramids and disappear before enforcement agencies can catch up with them.
law,pyramid,schemes,mlm

Types of MLM Compensation Systems
A frequent argument of MLM promoters is that while they may agree that there are problems in the MLM industry, each will claim they have solved the problems with their new brand of MLM compensation system, which is supposedly more fair, honest, generous, etc., than all the others.
mlm,compensation

Naked Pyramid Scheme vs. Product-Based Pyramid Scheme
To distinguish between typical pyramid schemes and those masking as MLM’s, I will introduce two terms that should help clear up the confusion between the two, along with some features which they have in common.
pyramid,scheme,mlm,product

Challenge to the Industry: "Prove Me Wrong"
As feedback began coming in, I began to see patterns displayed by MLM’s that were eerily similar to illegal pyramid schemes.
industry,mlm,companies,network marketing

I decided to investigate MLM for myself
As a long-time critic of MLM programs, I was curious to know why so many otherwise intelligent and capable persons were involved.
pyramid,scheme,industry,mlm,recruit

Destructive Effects on the Lives of MLM Paticipants
The effects on the lives of participants is well described by Robert Fitzpatrick in excerpts from the web site of Pyramid Scheme Alert:
mlm,pyramid,schemes,network marketing,multi-level

The History of Pyramid Schemes and Multi-Level (or Network) Marketing (MLM)
The history of pyramid schemes in this country is fascinating, but I will include merely a brief sketch here.
pyramid,scheme,multi-level,network marketing,MLM,Ponzi,money



Home › MLM articles › Pyramid schemes are increasingly treated as legitimate enterprises

Print

Pyramid schemes are increasingly treated as legitimate enterprises

pyramid,schemes,legitimate,enterprises pyramid,schemes,legitimate,enterprises pyramid,schemes,legitimate,enterprises

Investigative journalists frequently ask why the participants cannot see the inherent fraud, the mathematical implausibility and preposterous promises.

Regulators too are discouraged by the silence of victims and the celebrity of perpetuators. Ringleaders seldom admit wrongdoings in court settlements.

The founder of Equinox International was allowed to keep $8 million in cash. After regulators shut down International Heritage, Inc., the top-line distributors organized a similar new MLM in a more lenient state. And, as of this writing, Ohio-based Purchase Plus Buyers Club is still in business, offering nutrition supplements and trips to Mexico.

A student of pyramid schemes cannot escape the conclusion that lawmakers and regulators are not providing adequate protection. But, poor regulation alone does not account for the massive consumer-toconsumer fraud that pyramid schemes facilitate.

Greed, the most frequently cited cause, is the least of the motivators. Purchase Plus members are not the more avaricious residents of Columbus, Ohio. Rather, like many others, they probably hold that wealth and happiness are nearly synonymous and that poverty is akin to sin. In an easy-credit society, they are likely to believe that the good life should be theirs. In a booming economy, they have certainly been led to expect that wealth can be achieved quickly and easily, based on “positioning,” not labor or knowledge.

These beliefs and values do not make them unethical, only typical. But they also render them prime candidates for pyramid schemes. They become easy prey to promoters who play upon values of freedom and independence, while also manipulating hopes, insecurities and quiet desperation.

Pyramid schemes are increasingly treated as legitimate enterprises. Participation in the fraud is seen by many as free market “risk.” Tricking people into enrolling is viewed as “sales.” Legal defense funds, political contributions and public relations programs barricade the MLM industry against regulation. And the damages suffered by millions are mostly endured silently and shamefully, the victims not fully grasping how they were duped or aware that they conned their own friends and family.

LYF Next Big MLM

SPONSOR ID: 1 (1.lyf.com)

Real Story

Excellent opportunity to create a successful home business
My name is Jeffrey Taylor. I am a 14 year internet marketer, small business consultant, and Network Marketing coach, working full-time from home.
comments: 0

Drop Shippers and eBay
I paid for a report on eBay that promised to make me rich by drop shipping.
comments: 2

Envelope Stuffing
After realizing that I wasn’t cut out for MLM, I soon fell victim to the old envelope-stuffing scam.
comments: 2

My Unique Background And Experience With Network Marketing (MLM)
Anyone reading this report might see this as a rather brash expose against an established industry and relevant regulators.
comments: 1

Pyramid schemes are increasingly treated as legitimate enterprises
LYF MLM Company - MLM LYF

©2010 Mlm Prof Com