Multi Level Marketing
Created | Updated Jan 28, 2002
<p><b><i>Yeaaaargh!!!</i></b>
<p>That's the sound of the last person who was duped by a Multi Level Marketing (MLM) scam. As a general rule, MLM is nothing more than a way for one person to get rich quick at the expense of others.
<p>It works like this: The mastermind recruits 10 people to see a product. They each buy stocks of the product, and each find 10 other people who are willing to sell it on. They find 10 other people who are willing to sell it on, and so on. At each level, a commission is passed back to the previous level.
<p>If you work it out, most of the blurb for these schemes entails YOU - yes, YOU - becoming a millionaire within a year. But look closer. Normally the total figure that's quoted for 'overall sales at all levels' is larger than the GNP of the United States, or Indonesia's national debt. In reality, you will shell out a lot of money into someone else's pocket, and get nothing in return.
<p>Like most get-rich-quick schemes, multi level marketing is nothing but a con.
<p>That's the sound of the last person who was duped by a Multi Level Marketing (MLM) scam. As a general rule, MLM is nothing more than a way for one person to get rich quick at the expense of others.
<p>It works like this: The mastermind recruits 10 people to see a product. They each buy stocks of the product, and each find 10 other people who are willing to sell it on. They find 10 other people who are willing to sell it on, and so on. At each level, a commission is passed back to the previous level.
<p>If you work it out, most of the blurb for these schemes entails YOU - yes, YOU - becoming a millionaire within a year. But look closer. Normally the total figure that's quoted for 'overall sales at all levels' is larger than the GNP of the United States, or Indonesia's national debt. In reality, you will shell out a lot of money into someone else's pocket, and get nothing in return.
<p>Like most get-rich-quick schemes, multi level marketing is nothing but a con.
