A reader calling himself Bob H. posted this comment under a post about Quixtar/Amway. I thought it was good enough to merit a post of its own.
What we have here is an illegal business that have bought protection from Republican Kingpins who happen to oversee the FTC. Times they are a changing though. Seems that Amway has taken setbacks of late in Great Britain, India and China and the stench of the tool and function scandal will not drift away easily. These pyramid scheme businesses seem to succeed as long as recruitment continues to expand, but the industry has been contracting in a downward spiral. Now there is a titanic struggle going on at the top of the Quixtar pyramid over control of the tool and function business which Alticor wants to retain by firing former IBO Kingpins who have operated their own pyramid inside the pyramid for years. To be fair, the fired IBOs have raised the issue of Quitar prices being so high that retail sales become impossible. This so called “IBO rebelion” has put a big crack in humpty dumpty’s shell. In a stare down contest, Alticor has blinked, is now scraping the Quixtar name and is probably going to retool the Amway North American Business Model entirely.
For all those brain washed people still involved in this scandal ridden business, I have a few questions: How are you (in good conscience) going recruit new prospects(marks) into this business by saying “that this isn’t Amway” knowing full well that it is and soon will be Amway? Are you going to tell them that the future legality of their business is being challenged as a pyramid scheme in the federal courts? Are you going to tell them that changes to the business model by Alticor may actually require them to sell Amway products to real world customers, and will you still encourage them to be the real consumer of their own wares?
Independent Business Owners have been their own best customers and, therefore, is it any surprise that over 99% of these sham businesses loose money every year. As a tax write off, the IRS has determined that many of these businesses are run in such a way that they will never show a profit and therefore are being denied the traditional business expense write offs allowed legit business.
The lost opportunity people in the MLM business incur is incredible. Consider the social stress on family, friends and community these “dream merchants” cause! It shouldn’t be difficult to feel, the sooner these pyramid schemes collapse, the better! Amway, Quixtar, Amway: Three Card Monte–Ponzi!!!