Today, the FTC announced a settlement with Fortune Hi-Tech Marketing (FHTM), a company that operated an illegal pyramid scheme disguised as a multilevel marketing program. Over 350,000 people were scammed out of a total of at least $169 million. The settlement bans FHTM from the multilevel marketing business and from deceiving consumers. FHTM will fork over at least $7.7 million, which will be returned to consumers.
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.”

These functions, all of which were sponsored by World Wide Dreambuilders, were rhetoric-fests where Amway’s self-help message was pushed to its logical addiction-recovery extreme—although with the roles curiously reversed. “J-O-B people,” meaning those who were not Amway-style entrepreneurs, were portrayed as the helpless addicts, hooked on the “immediate gratification” of a weekly paycheck. It was they who were in denial, telling themselves that they didn’t have a problem, that they were happy working all day for practically nothing. In contrast, the “delayed life” was a healthy process of withdrawal, of gradually replacing the “negatives” in your life (including non-Amway products) with “positives.” Most importantly, you learned to “dream” again, reconnecting with the inner child who, before the 9-to-5 beat it down, had fantasized about big houses and fast cars.[13]


I would rather attend training that are proven success from people that I know are reputable. I have attended a meeting with a “mentor” and then the first house meeting. Not for me. I can build big business elsewhere not through this pyramid. First of all I have no problem buy the products from my own store, but they do tell you to get a whole new group of like minded people, which gurus do, that are not on your same agenda.
[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.
From time to time the absurdities and contradictions of The Business would surface in Josh’s conversation. In one of his many unguarded moments, he voiced a preference for Amway Scrub Rite because it ran out more quickly than the “superconcentrated” Amway cleaners, enabling him to buy it more often. Catching himself, he quickly added, “Of course, it still lasts a long time.” This puzzled me. Why was Josh so eager to shovel money at Amway? The rational thing would be to minimize his own purchases while strong-arming his downlines into buying as much as possible. But, of course, if everyone did that, the whole business would evaporate. This is Amway’s central dilemma.

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.[42] In 2001, five Nutrilite products were the first dietary supplements to be certified by NSF International.[43] 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.[44] 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.[45]


Even so, among the DeVoses’ skeptics, there are those who strike a hopeful, if cautious, tone. “I think Mrs. DeVos could potentially be a really good secretary of education if she allowed parents and school districts to make policy at the local level,” says Daniel Quinn, executive director of the Great Lakes Center for Education Research and Practice, a nonprofit that receives a portion of its funding from the National Education Association. “But at the same time, I’m concerned.”
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