Before we get into a detailed discussion on whether Amway is a Ponzi scheme or not, it is important to understand how Amway and other multi-level marketing(MLM) companies go about their business. An MLM company like Amway appoints independent distributors to sell its products. Amway sells products like diet supplements, toothpastes, shampoos, multi-purpose liquid cleaners, soaps, grooming products etc. These distributors are not employees of the company. They make money by selling Amway products.

I was invited by a gentlemen from eastern Suffolk area, NY and had told him I was busy in other things. What I didn't realize was how I had went to see this same presentation in someone's house about 20 years prior to 2015. So it was May 2015 and people want to return to the American dream and here comes these floating characters straight out of a horror video game. So they smiled their way and have their game plans down to a science. There's no way I'm going to sit through a presentation that makes me feel I am chained down in my seat 24/7.


The recently published book, No One Would Listen, by whistle blower, Harry Markopolos, dramatically describes how SEC regulators ignored his alerts and allowed the Bernard Madoff Ponzi scheme to grow to enormous proportions. Their failure to act caused harm to thousands more people, despite his written and detailed warnings, which he brought to the agency five separate times over an eight-year period of investigating the scam. Additionally, the news media such as the Wall Street Journal and Forbes magazine also failed to respond to his evidence which he offered them. Madoff was apparetnly treated as “too big to expose.”
Whereas The Plan is supposed to provide a simple means to a desirable end, for Josh, Jean, and Sherri the process of recovery had become an end in itself. Josh and Jean would constantly tell me how World Wide’s books and advice had enriched their marriage and helped them to communicate with each other (the bolstering of marriage and family is a major theme in Amway). The Amway lore is also full of distributors, perhaps abused as children, who “couldn’t even look people in the eye” when they joined, but who were now confidently showing The Plan to all and sundry.
Avoid Amway motivational organizations, including Worldwide Dream Builders. While Amway is the biggest network marketing company in the world, and therefore has a lot of support, some of that support isn't in your best interest. Amway motivational organizations are designed to keep you buying business support materials rather than actually building your business.
Because of this, the vast majority of IBOs who join Amway end up making very little (if any) money. For example: Taking a look at page 11 of the company’s online brochure, they claim that only 46% of IBOs were active during 2010, and of those, the average monthly income was only $202. Furthermore, out of 300,000 active IBOs during the 2010 calendar year, only 0.25% achieved Platinum status, 0.08% achieved Founders Emerald, and 0.02% achieved Founders Diamond or higher.
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.
The company has a lot of great products, shipping can take up to 5 days, but their guarantee is amazing. Compensation plan is second to none, but YOU NEED TO PUT IN WORK to make it actually work. If you are a go getter or ambitious, this is for you. If you aren't then probably not. Lot's of really great people and NEVER had a weird experience. Just business minded people who are looking to get ahead.
Group distribution. Amway will deliver bulk orders to where their Platinum level representatives are (or greater) completely free. This encourages all representatives to maintain relationships with their clients. At one factor clients were able to receive free shipping by getting on their own if they exceeded a certain dollar quantity, but this is no more the case as a result of policy changes.

A class action lawsuit was filed in 2007 against Quixtar and some of its top-level distributors in California, alleging fraud, racketeering, and that the products business and the tools business are pyramid schemes.[36] A similar case filed in California in August 2007 by TEAM affiliated IBOs whose contracts had been terminated was dismissed.[37] On November 3, 2010, Amway announced that it had agreed to pay $56 million to settle the class action, $34 million in cash and $22 million in products, and while denying any wrongdoing or liability, acknowledged that it had made changes to its business operations as a result of the lawsuit. The settlement is subject to approval by the court, which is expected in early 2011.[38] The total economic value of the settlement, including the changes to the business model, is $100 million.[39]
Amway offers several categories of products including Nutrition (supplements, Vitamins, weight management, energy drinks, sports nutrition), Bath and Body (body care, hair care, and oral care), Beauty (makeup, skincare, and more), Jewelry and Accessories (bracelets, necklaces, gift sets, and more), At Home (cookware, surface care, laundry, dish detergent, and more), B2B Products (commercial-size cleaning, agricultural, and laundry products), and Fragrances (many selections from Personal Accents). To sell Amway products, you are required to register as an Independent Business Owner (IBO) at first. In this way, you will get an opportunity to earn money through their Compensation Plan. Becoming a representative of the company, you will never be alone due to their support, world-class business resources, education, mentoring and training. If you are interested in an opportunity to make money, continue reading this review for more information.
This is not the man who brought my dad in but a man somewhere above him. He was what The Business calls a ‘phony Emerald.’ To meet the criteria for the pin level, he’d force the people in his organization to order extra product in order to grow his volume and push him across the finish line each month – not that he turned much of a profit doing so, as he had to pass it all on to his own upline. ‘Well, the Emerald pin doesn’t mean anything unless your organization is solid,’ said my dad. ‘So you got a pin – you’re not making the money.’ Eventually, my dad says, Vincent was stripped of the Emerald pin because he couldn’t maintain the sales by force alone.
[12]Amway gives some idea of real chances for success in its “Amway Business Review” pamphlet, which the FTC requires it provide to all prospects. The “Business Review” is an ingenious mixture of mandated honesty and obfuscatory spin: The average monthly gross income for “active” distributors, for instance, is revealed to be a meager $65 a month; but the “Review” leaves out the median income and the net profit, both of which would probably be negative. Likewise, it states that “2 percent of all ‘active’ distributors who sponsor others and approximately 1 percent of all ‘active’ distributors met Direct Distributor qualification requirements during the survey period.” From this, it derives the optimistic conclusion that “once again, the survey demonstrates a substantial increase in achievement for those who share the business with others.” Increase implies that there are some non-sharing distributors who succeed; an alternate reading of the statistics would be that all distributors try to share, none succeed without sharing, but only half are able to share. It’s also a measure of Amway’s PR savvy that every article I’ve seen (even the critical ones) that mentions the number of Directs uses the 2 percent, rather than the more accurate 1 percent, figure.
Amway is a good company and has helped a lot of people worldwide already which should be because they existed since 1959(?). There’s just one thing I did not like and that was when some top distributors introduced their own training seminars and made it a part of Amway. Then some uplines made it compulsory to attend these meetings which are not free but on one hand you’ll get trained. Some distributors just gets hyper-excited acting queer instead of thinking business-like. It’s up to you how you’ll behave. Their products are mostly good. Surely, you’ll not earn if you don’t work it out. Of course, prospecting is part of it just like any other business. Then the business presentation, then closing the deal or have the prospect sign up. It doesn’t end there. You have to guide your distributors until they can made it on their own. Just like any distribution business, you have to check how your dealers are performing. Have a business mindset and hardworking attitude and you cannot avoid earning.

Fittingly, my encounter with Amway began during a long-term temp assignment at Andersen Consulting’s ENTERPRISE 2020 project, an ongoing exhibit to which consultants would bring potential clients to scare them about the future. The main attraction was a battery of “industry experts” who produced customized nightmare scenarios to help manufacturing executives from across the globe see the Third Wave coming at them. The experts would discourse gravely about globalization, accelerating technology, managed chaos, self-organizing supply chains, flex-this, flex-that, and nano-everything, eventually arriving at the message of this elaborate sideshow: The future is not to be faced without an Andersen consultant on retainer.


This Lady is terribly misinformed… As a Amway IBO we give you plenty of chance to say no and ways out of this. People will always bad mouth things that they don’t understand you know why because its easier tosay something negative than to take the time out of your day to find out what your really talking about and here is just some food for thought. I started this business a few years back and just listened and did what they asked me too. Because of it i was Able to bring my wife home. Successful people will away do what unsuccessful people aren’t willing to do.
Of the Amway distributors who testified in the case, Rich says, ‘I have nothing against someone who tries Amway and concludes the business is not for them. But I wish they would take responsibility for their own actions instead of trying to blame the business.’ Likewise naysayers and disgruntled former Amway distributors simply do not understand how business works and are at fault for their own failures because they lack faith in their ability to succeed, and thus the necessary determination.
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