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The Danger of Pyramids

The Danger of Pyramids

Ponzi Schemes, pyramid schemes, network marketing, multi-level marketing: The phrases keep changing to make the deal sound more respectable. But when you’re simply selling memberships and products are ancillary, and when by the eighth round of new “agents” or “dealers” or “distributors,” you’d need the population of Philadelphia in order to make money, and by that time the originators of that particular pyramid have bled it dry and left to create a new scam, well, that’s not exactly contributing value to the environment, is it? The deal is that you’re “creating wealth” for others, but that wealth is on the backs of still others who will never recoup their investment.

“The U.S. Federal Trade Commission (FTC) states: ‘Steer clear of multilevel marketing plans that pay commissions for recruiting new distributors. They’re actually illegal pyramid schemes.” This is what you get when you Google it.
Bernie Madoff got away with this for quite some time. But you can’t ask him about it. He died in federal prison.
Get a real job.
Written by

Alan Weiss is a consultant, speaker, and author of over 60 books. His consulting firm, Summit Consulting Group, Inc., has attracted clients from over 500 leading organizations around the world.

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