Anonymous wrote:
Anonymous wrote:Ok I'm only on episode one and only know anything additional about the company from one of the episodes on The Dream. I kinda remember people selling things on Facebook, but not really. Not as much as people obsessed with Rodin + Fields and Beautycounter. Anyway, being from Utah I'm super wary of MLMs and find them both fascinating and so sad.
Based just on episode one, the founders seem like they started with good intentions. Seems like some logical regulation could solve the MLM problem. Like why are "downlines" legal? Shouldn't it be more like a franchise where say they could have X number of consultants per zone? I just don't see how a company where the profit model is a pyramid scheme should be legal. What's the argument FOR the MLM structure?
I get the "network marketing" and "direct sales" argument, even though I personally don't want to buy products from a friend unless they made them, but why the element of getting paid to recruit other consultants?
Because a casual buyer might buy $100 worth of stuff. But if people are "consultants" they are urged to keep "inventory" meaning they buy 5-10k worth of stuff. So the company doesn't need to broadly sell their stuff or sell it at actual businesses at wholesale. They inflate the prices to their consultants who then jack it up further.