How to Recognize a Pyramid Scheme vs. MLM

agustif wrote: post #3

Isn't the only difference the nomenclature though? You're getting screwed either way if someone is selling you any of this shit anyways... Run! Oh yes.. in the US MLM is somewhat legal I think.. Herbalife and such shit...

Yeah - more or less - but a pyramid scheme thrives on recruitment of new members. In case of MLM it's more of a bonus.

Re: How to Recognize a Pyramid Scheme vs. MLM

#5

Post by 2Gkashmiri » Mon, Nov 16, 2020, 4:43 PM UTC

amway all the way /s

Re: How to Recognize a Pyramid Scheme vs. MLM

#6

Post by encorekt » Mon, Nov 16, 2020, 4:43 PM UTC

jhardy54 wrote: post #2

Why do you need to know the difference? Just avoid them both.

Well, one is legal and one technically is not, so knowing the difference let's you know what, if any, legal options you have should you get super screwed by one.

Re: How to Recognize a Pyramid Scheme vs. MLM

#7

Post by qppo » Mon, Nov 16, 2020, 7:23 PM UTC

That diagram is the living embodiment of the "corporate has asked you to identify the difference between these pictures" meme

Re: How to Recognize a Pyramid Scheme vs. MLM

#8

Post by jhardy54 » Tue, Nov 17, 2020, 1:20 AM UTC

encorekt wrote: post #6

jhardy54 wrote: post #2

Why do you need to know the difference? Just avoid them both.

Well, one is legal and one technically is not, so knowing the difference let's you know what, if any, legal options you have should you get super screwed by one.

That's a good reason, thanks!