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Multi-level marketing... always a scam?

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LuckyTheDog Donating Member (1000+ posts) Send PM | Profile | Ignore Fri Nov-07-08 11:42 AM
Original message
Multi-level marketing... always a scam?
Ever since I lost my job on Oct. 3, I have been approached by people wanting me to get into multi-level marketing "opportunities."

Am I right to assume that these are almost all scams that I should stay away from?
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mainegreen Donating Member (1000+ posts) Send PM | Profile | Ignore Fri Nov-07-08 11:44 AM
Response to Original message
1. Always a scam. If they could actually sell directly, they would.
More money for them doing that.

There are almost no exceptions. Avon maybe.
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siligut Donating Member (1000+ posts) Send PM | Profile | Ignore Fri Nov-07-08 12:30 PM
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2. They are playing on your desire to work.
http://en.wikipedia.org/wiki/Pyramid_scheme
If something were so good, why would they want to share the pie? The old adage, If it sounds too good to be true, it probably is, applies here, they are playing the numbers. Don’t fall for it unless you are a conman yourself and can beat them at their own game. http://en.wikipedia.org/wiki/Confidence_trick
Sorry.
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av8rdave Donating Member (1000+ posts) Send PM | Profile | Ignore Fri Nov-07-08 12:33 PM
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3. If you're one of the few lucky ones and....
Get in at the very beginning and it happens to be one that really takes off, you'll make some money for a while until it burns out (they all do eventually).

If you're anywhere else in the pyramid or with the vast majority of products/services that don't do well, it will be a waste of your time and money.
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curse of greyface Donating Member (594 posts) Send PM | Profile | Ignore Fri Nov-07-08 01:10 PM
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4. Yes. nt
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pitohui Donating Member (1000+ posts) Send PM | Profile | Ignore Fri Nov-07-08 02:11 PM
Response to Original message
5. yes it is a euphemism for pyramid scheme (illegal)
Edited on Fri Nov-07-08 02:12 PM by pitohui
one guy i know did make money, a lot of money, but he also spent a lot of years afterward hiding from federal prosecutors -- the originator of the scheme was caught and jailed

the others were little fish and not only didn't make money, they LOST money and friendships

mlm relies on you hassling family and friends to buy overpriced crap they don't want or need -- if you need money and want an excuse to hit up family/friends, it's more honest to beg for a handout than to get involved in mlm and end up giving half the money or maybe all the profit to somebody higher upstream

you have to buy and move a certain amt of product ea. month and you have to recruit people downstream and if you're an honest person you can't do either one, because you have to cheat and trick others to keep the scheme going
-- the price of the product is just way out of line compared to what a person pays for the same type of products in the store


even major ones like amway have faced fines and prosecution at times, honestly, i don't know why amway has not been shut down long ago, it preys on old people who no longer have the strength to resist the pressure, total EVIL rip-off that takes $$$ from those who don't have it to lose -- and i've never known ANYONE to make rather than lose $$$ from amway
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