There's a concept in the social sciences that runs along this line. Basically the idea that we hold 3 types of capital, social, cultural, and economic. We can exchange those capitals for other other types of capital and pyramid schemes prey on the people who are willing to exchange their social capital (reputation with friends) for supposed economic capital (money).
Amway is unethical way of making money. Their representative lure you to this smartly designed plan. Amway’s representatives misguide and misinform like any other business or a product’s sale representatives. which is attractive to listen for the first time with the ‘Entrepreneur” motto. But it is another way of making money leaving you frustrated in the end. I advise every one not to join this unethical product promotion. Parent company is becoming richer,leaving you as ”partner” (as it’s trained representatives claim) in total despair in the end. It is your hard earned money,think smartly before lending it to someone’s hand.
In 2012, the Center for Science in the Public Interest (CSPI), accused Amway of making unsubstantiated and illegal claims about Nutrilite Fruits & Vegetables 2GO Twist Tubes and threatened to launch a class action lawsuit against the company unless it took remedial action.[49][50] Amway responded that the claims made about the products were properly substantiated and that they did not plan to change the product's labeling but nevertheless would review the statements that CSPI has questioned.[51] CSPI later reported that Amway had agreed to changing product labels by the end of 2014.[52]
Some Amway distributors distributed an urban legend that the (old) Procter & Gamble service mark was in fact a Satanic symbol or that the CEO of P&G is himself a practicing Satanist. (In some variants of the story, it is also claimed that the CEO of Procter & Gamble donated "satanic tithes" to the Church of Satan.)[166] Procter & Gamble alleged that several Amway distributors were behind a resurgence of the story in the 1990s and sued several independent Amway distributors and the company for defamation and slander.[167] The distributors had used Amway's Amvox voice messaging service to send the rumor to their downline distributors in April 1995.[citation needed] After more than a decade of lawsuits in multiple states, by 2003 all allegations against Amway and Amway distributors had been dismissed. In October 2005 a Utah appeals court reversed part of the decision dismissing the case against the four Amway distributors, and remanded it to the lower court for further proceedings.[168] On March 20, 2007, Procter & Gamble was awarded $19.25 million by a U.S. District Court jury in Salt Lake City, in the lawsuit against the four former Amway distributors.[169][170] On November 24, 2008, the case was officially settled.[171]
Amway’s original product, Liquid Organic Cleaner (L.O.C.™), was one of the first concentrated, biodegradable and environmentally sensitive cleaning products on the market. Since then, with a similarly pioneering and purposeful spirit, Amway has gone from selling simply home products to become a global leader in health and beauty, too. For decades, the company has focused on environmentally sensitive and biodegradable products.
The Amwayers who had brought me to Dream Night were flying high on the drive home, whooping occasionally just to vent their exhilaration. I felt as though I had just sat through a year’s worth of infomercials, with some high school pep rallies and a few Tony Robbins lectures thrown in. But to see all this as an exercise in mass hypnosis, according to Amway’s literature, would be to “misunderstand” what is, simply, “the best business opportunity in the world”—an assessment, strangely enough, with which the rest of world is starting to agree.
I personally feel that Amway is a good vehicle to becoming successful. Its only when you know who you are, where you are going, and only when you've found a vehicle or vehicles to take you there, do you actually have a chance of getting there. People's lack of understanding of how the world really works gave way to ultimately disastrous results. Some people are so negative, the negative stuff drains you to the point when there are not sufficient brain cells left to focus on the good stuff. Positive and negative thought cannot reside in the same room at the same time.
Although they are separate companies, Network Twentyone was founded by Amway distributors and, obviously, helps to drive Amway sales via its own borderline cultish system, which have included things like torchlight parades and advising distributors to threaten to hit customers on the head with Amway tapes, forcing them to take the tape to defend themselves. Obviously, Amway is quite aware of companies like Network Twentyone and is completely fine with them, as long as they drive business and never mention Amway's name. This is where things turn distinctly more Fight Club: Sellers are instructed to never say the word "Amway" while pushing their products.
Such a model can be represented as a binary tree with each node representing a person and the 2 children nodes under it representing the referred friends. It is also called “Pyramid scheme”. As you would have realized or the organizers might have suggested, in order to just recover the money that you have spent for membership, you need to have atleast 3-4 levels under you and only the levels beyond that will start fetching you some passive income as and when new members join. Just recollect the formula for number of nodes at the “n”th level of a binary tree. It is 2^n (2 power n). We shall use this formula in the following analysis.

Ackman says Herbalife is a pyramid scheme because the only way people can make any money is by recruiting others, not by selling the company’s protein shakes. Herbalife says its business model is on the up and up because it is selling a real product to consumers who sign up more to get product discounts than to become part of a recruiting network. Parloff, after months of investigation, came down more on Herbalife’s side than Ackman’s, though in truth, that’s just his best guess. The F.T.C. wouldn’t talk to him, either.
Once Amway has their claws in, they get their new recruit to switch everything over so they essentially become their own customer. By ordering household and beauty products through their own online store, they pay a premium for everyday items and get a small kickback which they try to sell as this amazing perk, but I don’t see why you wouldn’t just choose something else.
THIS IS ALL CRAP, EVERYTHING THIS GUY/GIRL IS SAYING IS ALL FAKE ESPECIALLY BECAUSE I AM A CROWN IN THE BUSINESS AND BECAUSE HE IS SAYING THAT IT IS NOT A PYRAMID SCHEME. ESPECIALLY, BECAUSE I HAVE AN UPLINE THAT IS IN THE LEVEL EMERALD AND I AM IN CROWN, EVEN THOUGH HE INVITED ME I PASSED HIM, SO THIS IS ALL CRAP IF ANYONE ONE IS INTERESTED IN THIS WONDERFUL OPERTUNITY CONTACT ME.
Listen to Rosemarie and Otto Steiner-Lang, who joined Amway in the hope of funding their own construction company and now run their Amway business full-time: ‘We have found in Amway the independence we were looking for. This business is a doable and affordable solution for the problems in the labor market today. Amway, which represents free enterprise perfectly, postulates and promotes the initiative of the individual, reducing the burden on the public social system.’
Touch base with your potential leads, downline, and other marketing resources as often as possible. Keeping your relationships alive can not only get you new sign-ups, but also open you up to resources that your colleagues will find as they run their business. If you're willing to share with them, they'll usually return the favor. This will help others to realize the truth that the Amway Pyramid Scheme is a myth.
Enter Jay Van Andel, Amway’s other cofounder. Jay had a 1929 Model A, which Rich had noticed both driving down his street and also parked outside his high school. ‘I thought a ride in this car would surely beat the bus, a streetcar, or walking,’ says Rich. The rest is as saccharine as you would expect: good American boys working hard to make their dreams come true – an adventure full of family values and sturdy bootstraps with which one can pull himself up. It begins with the heartwarming story of their first joint business venture, running a pilot school, then segues into a comedy-of-errors trip on a sailboat – a typical masculine coming-of-age experience rooted in good old-fashioned American values like cooperation, perseverance, and leadership.
We also were in business in Amway and we DID make money.  We worked hard and earned it.  BUT, as with any business, especially a direct marketing, we had uplines (the people above us) who were cheats and liars and only wanted money for themselves, not others.  They in effect, stopped us at a certain level from making anymore money.  We changed to a different group, but by then our dynamic was gone and we couldn't do much.  As with any business, NOT just Amway, you have to deal with people.  And THAT is the problem.  My husband got tired of fighting and not getting anywhere and he quit.  I am still in it because, let's face it, the products ARE the BEST.  We started sometime around 1986.  We met some fantastic people, we had the time of our lives, and it WAS our life.  I missed it terribly, and I still miss alot of those people.  But through it, we came away with MANY many good things learned, and still do have some very close friends from it.  My upline now is my VERY best friend in the world, more like a sister.  We are older now and have plenty of money for ourselves, so our interest is not in making money at this point, but simply living our wonderful lives now.  If you are out to make money, you CAN do it in Amway.  But the right way is the way to do it.  Don't cheat, be good to your people, and really believe in what you have and what you can do.
I love Amway. It's been around for along time. The products are good quality and they have great customer service. The products are guaranteed, if you have any problems you send them back and they will get you another one. No questions asked. However, I've had problems a few times getting a hold of someone in their customer service but they have a wonderful selection of products from home to beauty to bath and nutrition. I've bought just about everything and haven't ever had any issues with any of their things.
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.
Josh felt that duplication worked in the other direction as well. If he emulated the multi-multi-millionaires (“multi-multi’s” for short) above him—and did exactly what they said they had done—he would succeed as they had. In his mind, his interests were already merged with theirs. He would boast of their accomplishments, tell me how their bonuses just kept “getting better and better all the time!” For him, of course, bigger bonuses for uplines simply meant a more powerful drain on his income. But that kind of self-defeating “stinking thinking” missed the point, as far as Josh was concerned. By “visualizing” great wealth, by worshiping great wealth, and by imitating the consuming habits of the great and wealthy, he would somehow obtain great wealth.
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