But there is one thing that we need to understand here. Like in an MLM scheme which is a Ponzi scheme, the business that an Amway distributor does, depends on finding new distributors and then hoping that these new distributors sell Amway products and at the same time are able to appoint newer distributors. If a distributor is successful at this he makes more and more money. The trouble is that we go along it becomes more difficult to appoint new distributors. Lets try and understand this through an example. Lets say the first distributor that a genuine MLM company appoints, in turn appoints five distributors.
An old friend and her husband asked if they could catch up as we hadn’t seen each other for a while….well, they showed up with their Amway upliner and tried to rope us into joining…my husband, trying not to smile too much mentioned the pic they were showing us was actually a pyramid on it’s side! The upliner got antsy and said he was making 6 figures. I asked him if he was, why did he have holes in the soles of his shoes and drove a bomb to our house? Haven’t seen those old friends since, funny. I felt like I had brushed of leeches who wanted to suck any money I had into their “business”. Problem with Amway, it IS a pyramid scheme and the money is funneled straight to the top. Last I heard these people had purchased a caravan and were driving interstate to meet new people in the hopes of roping them in! They spend all their savings,tried to scam their friends and made nothing……
Worse than the girlfriend sabotage, Kyritsis burned a couple bridges with the one person on Earth most likely to put up with all this malarkey: his mother. Kyritsis got angry that she wouldn't buy any of the overpriced products and support his "success." When he started realizing everyone around him was done listening to his sales pitch, Kyritsis decided he needed to expand his market, which he did by inflicting himself on his parents' social circle, out of desperation.
“This is an extremely contentious, controversial business model,” business consultant and author Robert L. FitzPatrick told the Detroit Free Press in 2006. “If you go to work for Hewlett-Packard, you don’t walk in the door saying, ‘Hey, I wonder if this is a scam?’ But anybody who gets into multilevel marketing will have to deal with that question.”
Their vertically integrated supply chain is one of longest in the industry. In addition to running plants, they own organic farms. They have farms in Brazil, Mexico, and the state of Washington where they grow and harvest key botanical ingredients like echinacea, spinach, alfalfa, watercress, and cherries. They then take those products and manufacture intermediates. Cherries, for example, are processed for Vitamin C. These intermediates they both use in their own products and sell to other companies.