Amway is a direct-selling business that has been in business for more than 50 years, operates in more than 100 countries, and claims to have helped more than 3 million Independent Business Owners (IBOs) “forge their own path to success.” The company claims to accomplish this by offering a large, exclusive line of products, extensive training opportunities, complete customer support, and more.
My husband and I tried Amway, and here's the story: My husband's BEST friend and his wife started asking us to hang out a lot, which was cool because we enjoyed their company. I thought she was my best friend at the time, stupidly enough. It didn't take long for them to tell us about this "amazing" opportunity. We thought we would give it a try since we sincerely trusted our friends. We would go to their house for a "meeting" in their basement with a bunch of strangers and two guys in suits. The guys would talk about how nice it is to work from home, make tons of money and generally just talk about nothing to do with the actual business. After every meeting I would think, okay but what is the business all about!?!?!? So eventually they set us up as "business owners" and we purchased a ton of crap from Amway totaling over $1,000 because, "that is what you do." Eventually, we decided that we would not continue with the business. There was nothing wrong with it, but we knew it wasn't for us. We didn't want to approach complete strangers in coffee shops and present them with an "opportunity"; we didn't want to stay home on the weekends to attend meetings instead of spending them at the lake; we didn't want to choose Amway partners over friends and family like you are taught (yes, there is a "tier"); we didn't want to spend thousands of dollars on products and guilt-trip our friends and family if they didn't want to buy our products (yes, this was also taught). All in all there was nothing very wrong with it, it's not a scam, but it's definitely NOT for everyone. I am writing this not to bash anyone but to give anyone an insight if they are wanting to be part of Amway. Oh, and as for the "friends"... they now completely ignore us. And I mean, I'll see them in public and they'll turn away from me when I wave; they will talk to anyone BUT us. And this was my husband's long-time highschool friend; they were even in eachother's WEDDINGS. So to be quite frank I will talk everyone out of doing Amway and it's their fault. If that is how they will treat others for simply not continuing with the business then I will tell NO ONE to join.
I work in the car business. Most people in the US can't reasonably afford the vehicles they drive. People are getting more and more upside down in cars. Terms are getting longer, down payments smaller, most trades have negative equity and inflation is increasing the cost of cars while wages aren't rising proportionately. I have money but I avoid paying bills or interest. I could pay cash for a lot of new cars today but I drive a 2000 year model family sedan I payed $1900 for. I have good ac, comfortable seats, it's reliable, I have aftermarket Bluetooth, it's all power etc, good stereo and a very low cost of ownership. I pay less than $40/month for insurance.New cars just aren't the best investment. New cars are rapidly depreciating status symbols. I'm well off but don't care to advertise it. If you have so much money that you can afford it go for it but the truth is that most people can't afford what they have. I'm not just talking about poor people with new Sentras or Rios but mostly middle class people. If they make $24,000 they buy a $20,000 car, if they make $48,000 they buy a $40,000 car and if they make $80,000 they buy two $50,000 vehicles.
In making the correct make-versus-buy decisions on ingredients, as well as the decisions of where goods should be made, Dr. Calvert singled out his engineering group and trade groups for praise. “Analytics! One way we win is because of the strength of this function.” Their core engineering group does very detailed analyses with quick turnarounds surrounding these decisions.
Amway has a huge collection of 'success stories'. These are recordings by people who have made it big in Amway. They explain how Amway changed their lives and set them on the path to financial freedom. I was briefly a member of Amway and my sponsor's upline became very upset when I refused to pay for a regular motivational CDs. (While I was being recruited, my sponsor loaned me some of his CDs so I got to listen to them). As expected, the motivational material is a big profit maker for those who are making money in the system.
This year’s report examined how age, gender and education levels impact attitudes towards entrepreneurship. It also examined various aspects that either hinder or help entrepreneurs – internal factors (such as commitment, willingness to take risks, knowledge of how to earn money) and external factors (such as their country’s operating environment, technology availability and entrepreneurially forward education system).
Amway has been around for 50+ years which has actually resulted in market saturation in most of North America. Throughout this duration it obtained a negative reputation that lasted the lion's share of 2 decades. This resulted in the need to rebrand Amway as Quixtar (throughout the 90s). The baby boomer generation is very familiar with this and several will be fast to discourage their more youthful relative from doing Amway. If you are considering signing up with Amway as well as think this could be imprecise, simply ask an individual in your household in their 50s, 60s, or 70s whether or not they think you will certainly generate cash with Amway, and also why.
Amway's largest selling brand is the Nutrilite range of health supplements (marketed as Nutriway in some countries), and in 2008 Nutrilite sales exceeded $3 billion globally. In 2001, five Nutrilite products were the first dietary supplements to be certified by NSF International. In 2006, 2007, 2008, and 2009 in the nutrient and health food category, Nutrilite won "Platinum" and "Gold" awards in Malaysia, China, Taiwan, Thailand, and Asia overall in the Reader's Digest "Trusted Brands of Asia" survey. In 2008 Nutrilite scientists, in partnership with Alticor subsidiary Interleukin Genetics won the 12th John M. Kinney Award for Nutrition and Metabolism for their research into the interaction between nutrition and genetics.
The compensation plan is called a “stairstep breakaway,” which requires the business rep to effectively rebuild a leg once it has reached what’s called Platinum status (7500 points). Basically, legs break off once they qualify and the commissions turn into 4% royalties instead of commissioned payouts of ~30%. I asked a former Amway emerald once what it was like having his first leg break-off and his reply was: “it’s awful, you really know how to ask painful questions don’t you.” He went on to explain his commissions dropped by at least 80% when they turned into “royalties.” It should be noted that the royalties technically disappear if the volume in the leg drops below 7500 points, so it’s not really a “permanent” royalty unless you maintain your volume. It is in essence a “punishing” compensation plan that forces you to rebuild a leg once it reaches this trigger volume, effectively causing you to “not” want others to pass you up.
There are two ways you can quickly judge Amway. The first is by taking a community college Economics 101 class. MLM relies on obtaining wealth directly from those below you. You’ll hear a lot of Amway people making faulty comparisons to how other companies work – but the fact of the matter is that the growth of employees of, say, McDonalds is due to the outside demand of the wider public while the growth of “Members” of Amway is due to the internal need of Amway to become self-sustaining. There’s a reason why Amway focuses all its energy on its “networks” rather than the products it actually sells. It should be noted, however, that most of what Amway does is COMPLETELY LEGAL. It’s the equivalent of asking your friends to give you a quarter for every dollar they spend and then encourage them to make the same deal with their friends (with you taking an uptop percentage.) This is why Amway does indeed “partner” with large businesses…such large businesses realize the simplicity of Amway and are more than happy to take a portion of that profit! The issue, however, is whether there is an actual career in Amway – and the simple answer is not unless you either got in early or have lots and lots of family, friends, and poor souls you can get to agree to be below you in your “network.”
On a more personal note, Rich DeVos was close friends with Gerald Ford. They met when Ford was still a US congressman, and he regularly attended product launches when the company was still doing them out of DeVos’s basement. As far as US presidents go, DeVos was also partial to Ronald Reagan – who appointed DeVos as finance chairman of the Republican National Committee and to the AIDS commission, about which DeVos has said:
There’s a lot of red tape in reporting on MLMs, and as Marie says in the debut episode, “The subjects of our investigation are highly litigious.” But after months of reporting and signing up for one MLM, which sells makeup, Marie remains passionate in her belief that virtually all MLMs—including Amway, source of the DeVos family fortune—are . . . well, let’s not call them scams, exactly. “I don’t want to say that everyone involved is a scammer or a con man or whatever, but I would say that the business model is unsustainable in the regular marketplace,” Marie said. “Legitimate companies don’t work this way for a reason.”
At the heart of Amway is the love of ‘free enterprise’ – an equal-opportunity system in which determination alone is the path to achievement. If you have a dream, Amway says, and you try hard enough to achieve that dream and let nothing stand in your way, then success is guaranteed. That is the promise of what Rich DeVos calls ‘Compassionate Capitalism’ – helping people help themselves.
A thought to ponder: what if you invested tens of thousands into a dream, either from your pocket or loan, spend 4-6 years building your dream, only to realize you can't make a decent income from it or even make money at all. Would you still invest into that dream? Well, that is the exact scenario for thousands of college students,nowadays. The difference between college and most MLMs is that you don't have to drop thousands into an MLM to become successful, and if you gave it everything you got for 4-6 years and you build it right, chances are you'll have at decent income. But you got to do it right.
Ten years after she watched her husband give a concession speech, Betsy DeVos was unveiled as President-elect Donald Trump’s pick for secretary of education. Across the country, public-school advocates and teachers’ unions expressed almost unanimous horror: One of the most effective advocates for breaking down the rules and protections for public schools and teachers would soon be the nation’s most powerful education policymaker.
One day, Sherri asked me to attend a meeting at which a “millionaire from the West Coast” was to talk about “business trends of the nineties.” I was not entirely caught by surprise—Sherri had dropped hints about starting her own “distribution business” at about the time that Amway Dish Drops appeared in the E2020 kitchen—and although she didn’t tell me the millionaire was from Amway, it wasn’t difficult to guess which version of the gospel of wealth he’d be preaching. I jumped at the chance to meet this mysterious man of money, although from totally insincere motives—the old anthro major in me was hankering for a bona fide subculture to gawk at.
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I absolutely agree with this post! I was recently approached by a friend to attend a “business meeting” regarding a “great business opportunity on the Internet” but he did not wanted to say anything until the meeting happened with him and his friend, who supposedly was the owner of this business venture. When I arrived to the “meeting” Suprise! I saw other friends there and about 300+ other unknown people. Immediately warning bells started ringing and I knew it was a pyramid scam anyhow, I stayed for the meeting and indeed by the end my suspicions were confirmed and it became quite obvious that the my friend’s friend was the recruiter. A few days later I heard back from a very close friend of mine who had also been approached and attended a separate meeting, she questioned me about it because the recruiter told her that I was “very excited at joining this venture” which of course was an absolute LIE and an obvious attempt to manipulate and pressure her to join! After two weeks, the recruiter contacted me ACCUSING ME of stealing a USED lip gloss from his wife the day of the so called meeting and then proceeded to ask me why hasn’t he heard back from me?!?! Could you imagine? The freaking nerve of these people!!!! Of course I put him in his place and hope that he never, ever dares to contact me again because if he does I will file a complaint for harassment!!
The size of the settlement astonished some observers and the news is spreading fast. It was reported on the front page of the USATodayAmway11.05.10. About $55 million of the total is in actual cash and products as restitution for victims and legal fees. Other elements of the settlement include substantial price reductions to make retail sales feasible, and major changes in the infamous “tools” business that will require Amway to take greater responsibility. These schemes are run by some of Amway’s top recruiters and have been allowed to function as arm’s length, rogue operations, though highly beneficial to Amway.
Amway is a multibillion dollar company that uses “multilevel marketing techniques” to sell cosmetics and household products. They have really aggressive recruitment techniques and cult-like practices. They’re super shady and sued on a pretty regular basis, but still manage to trick new people into the fold! You can read more about the company here. If you want to hear more creepy personal stories about other people, like my friend’s roommate, who has been tricked into Amway, there are some good ones here and you can always Google “Amway is a cult”.
Outside the Capitol, state police donned riot gear while officers on horseback pushed protesters away from the building. Loudspeakers blared Tom Petty’s “I Won’t Back Down,” and as the wind picked up, four 20-foot-tall inflatable rat balloons skittered from side to side. Each rat represented one of the key players protesters blamed for right-to-work’s hasty adoption: the governor, the House speaker, the Senate majority leader, and—the only unelected member of the rat pack—Dick DeVos.
At the time, it seemed like a dead end for a neophyte political candidate. In reality, it was the opening of a new avenue the DeVoses followed to far greater political influence, reshaping Michigan politics and the national Republican scene. “I think that loss really solidified the idea in the DeVoses’ minds that the real way to get what you want is to be behind the scenes,” says Susan Demas, publisher of Inside Michigan Politics.
"Amway differed in several ways from pyramid schemes that the Commission had challenged. It did not charge an up-front "head hunting" or large investment fee from new recruits, nor did it promote "inventory loading" by requiring distributors to buy large volumes of nonreturnable inventory," said Debra A Valentine, a general counsel for the FTC, in a seminar organised by the International Monetary Fund in May 1998.
With its affiliates around the world, Amway Global is a leader in the $80 billion global direct-selling industry. Established in 1959 as a seller of household cleaners, the company expanded and diversified over the years and today is a leader in Health and Beauty through its NUTRILITE brand of nutritional supplements and the ARTISTRY brand of skin care and cosmetics.