+1OrangeDragon wrote:does it disclose how it's an actual impossibly model? no matter what, once it reaches a critical mass it will be impossible for anyone on the downline to reach enough of a customer base... but while they struggle to do so those above them will continue to profit on their backs.HotRecruiter wrote: If all is disclosed, it can't be called a scam. Most people I imagine consume their product anyways, or give it away to other health nuts like themselves, so I dont think they lose too much, if they can't sell.
Say 1 guy starts it in Cambodia, then he gets 20 people under him, and they get 20 people each under them. Now you're at 420 sales reps for the same product in Cambodia. (potheads rejoyce). Each of the bottom 400 get 5 people under them... now you have another 100. Each of those 100 get 5 people under THEM, suddenly it's jumped to 500 more sales reps! Over 1000 people trying to sell the same product in the same small poor country. each of them gets 3 people under them... see where this is going? exponential jumps that are impossible to sustain.
mostly it's just bleeding those under the top 430 of their income as they "try to make it work". that "don't lose too much" is a lofty statement from someone who's not getting by on $150 a month and trying to earn more money this way to feed their family because they can't understand the mathematics of it. that's what makes it exploitation and a scam... even if you disclose all, if you're doing it to a people who can't comprehend the long game and are spinning it to be a good thing, you're scamming them.
I overheard a suspicious conversation between some of my uncles and my father in law yesterday about banks/accounts/products. I stepped in and asked if this had something something to do about herbalife. I was right on the money and told them this was big bullshit. Even though I am not sure that will change an uncle mind if one of them had any interest in it.
These companies also scam people as they push their sales rep to sale/recruit within their inner circle/family members thus jeopardizing finances of entire families/communities.