| My parents were involved in a MLM company for years. They spent far more than they ever made but were brainwashed into thinking that was their fault for not working hard enough or whatever. It ruined their finances and their retirement has been a nightmare. They are good people who are optimistic and trusting. It breaks my heart that they were exploited this way. Anyway, I won’t touch any MLM product with a ten foot pole. |
I agree with everyone else's points, but especially this one. Certain MLM companies (i.e., Herbalife) specifically target lower income minorities who have little recourse to recoup any losses if/ when the company goes bust. |
A very few are. Some are making a little, or breaking even, which is fine with many people b/c they like the products themselves. But, for the most part, the MLM is structured so that sellers see the $300 commission check, but don't really remember the $1200 they spent on products themselves to stock their inventory. So, they think they've "made" $300, but they've lost $900. At some point, most people figure out that they're putting in waaaay more money than is coming back to them. |
That wasn’t the question I was answering. |
| I won’t support victims of a pyramid scheme by enabling them. It is like giving alcohol to an alcoholic. |
| I have no dog in this, but it is interesting that people are keenly anti-exploitation when it comes to MLM, but don’t boycott big businesses that underpay their workers. MLM sellers often have better work options, where your local Walmart or McD worker does not. |
Huh? Please explain those better work options. |
| Not all MLMs require sellers to buy and stock inventory. |
| MLMS are a cult. |
They all require them to make a certain amount of sales to stay active or to get the discounts. Sellers often end up buying the stuff themselves to meet those goals. Same thing. As for the question about quality ... you're paying $20 for a lipstick that should cost $7. It's not even the same quality as, say, Clinique. Listen to The Dream. The companies get their profit from the sellers, not from you, the consumer. They don't charge sellers wholesale. They charge them slightly discounted retail, and the additional up-charge you pay nets the seller a couple of dollars. |
You'd be wrong. I know a woman who has lost money on every single MLM she's done - lots of money - but she keeps joining up with them, convinced each time this will be the one that sends her into her mansion with granite pillars. Same goes for those who stay with the same MLM despite never making money. They believe the next event, the next coaching call, the next podcast (all at a cost BTW) will be the thing that gives them the missing piece to success. |
Name them. |
Apples and oranges. I don't use these companies because of their low-wages and low concern about their workers, but they also don't require employees to spend thousands of dollars on product before joining. There are no McDonald's employees heavily in credit card debt and storing 6 months of hamburgers in their garage because the company required them to show a certain amount of hamburger sales or they'd be fired. MLMs are predatory, full stop. I advise everyone to listen to The Dream podcast. |
| Younique does not require the purchase of inventory. |
| It’s not about the products. It is about the insincere language of the marketing. Like do they think we can’t see through it? Also the idea of making your friends and family your customers. That is not how business works. |