The reason I sound like a broken record is because the ATS (Amway Tool Scam) run by the LCKs (Lying Cowardly “Kingpins”) has been ripping off IBOs using the same old techniques for several decades. The abuse hasn’t changed, why should the reporting of it change?

He has excellent credentials and it appears that you share the same goals of warning about the general unprofitability of MLM’s for those on the bottom of the pyramid. Where are you in disagreement? What is your goal? What is his goal, in your opinion? —-> He doesn’t know what he’s talking about, he is using his title to speak of which he doesn’t have a clue. I’ve BEEN an Amway IBO, I’ve SEEN what happens, so when others say similar things, I KNOW what they’re talking about. I don’t operate in Taylor’s world of theory and goal to make money off an opinion based entirely on an erroneous theory, not experience. You and Taylor have failed to separate the legitimate Amway product business from the ATS. Why should those “on the bottom of the pyramid” be making millions of dollars?

What do you think about his article “Despite the Amway Ruling, De Facto or Markiet Saturation is Very Real.” (I disagree strongly with his statement, i.e. In franchising, strict limits are placed on territories covered to protect against de factor saturation of the marketplace” because, of course, this is not true because churning and encroachment is encouraged under state and federal regulation and the adhesory franchise agreements.) —-> I didn’t read his article, he’s a waste of time. From the standpoint of Amway being saturated in the U.S., I agree, because it hasn’t grown in several years. However, this doesn’t mean new people aren’t being ripped off, because the ones who drop out after being ripped off by the ATS are replaced with new ones.

You indicate that you don’t agree with Dr. John Taylor who with his Consumer Awareness Instuitute seems to be trying to combat “white collar crime” and expose the MLM’s.

He has excellent credentials and it appears that you share the same goals of warning about the general unprofitability of MLM’s for those on the bottom of the pyramid. Where are you in disagreement? What is your goal? What is his goal, in your opinion?

What do you think about his article “Despite the Amway Ruling, De Facto or Markiet Saturation is Very Real.” (I disagree strongly with his statement, i.e. In franchising, strict limits are placed on territories covered to protect against de factor saturation of the marketplace” because, of course, this is not true because churning and encroachment is encouraged under state and federal regulation and the adhesory franchise agreements.)

Obviously, because everyone thinks that they will someday be upline and profit from tools —they see the carrot — and by the time they find out it is just an illusion, it is too late! — or something like that. Those on the top of the MLM’s know a lot about human nature and how to work it. —- Most IBOs don’t realize the upline makes most of their profit from the ATS, and most IBOs don’t realize they won’t operate at a net profit until they reach Platinum. If hey did, most would quit!

Just like franchising —-Once they are sucked in because there is no true disclosure required concerning performance of past and present participants in the MLM, it is to late. Been Had! So Sad! Courtesy of the FTC! —- I agree, and have contacted the FTC on several occasions to look at Amway again, and this time include the ATS, just like the UK did, and declared the ATS illegal. I believe there are 3 factors why the FTC hasn’t done this, in order of importance:

1. Incompetence
2. Bureaucracy
3. Political Influence

Almost everyone knows that upline profits from tools. —- Do they know HOW MUCH? Do they realize the profit and other practices will keep them from having a net profit until they reach Platinum? Do they realize once they reach Platinum, they will have 75-150 IBOs in their downline, most of whom are operating at a net loss? I doubt it, Paul. THAT’S why the UK outlawed the ATS, Paul. Get a clue, Paul.

How is it a scam if everyone knows about it and participates because they think they will benefit from it? —- See above, Paul.

Where Tex is wrong is that the tools are a scam because they do not produce results. —- Of course the tools don’t produce results, except for the upline LCKs. They get rich off the tool scam. The reason the tools don’t work for the downline is not because the tool content is poor, the high prices cause tremendous churn, or turnover, as IBOs go broke and drop out, only to be replaced by other IBOs, who continue the process.

If mostly everyone went diamond, then these folks wouldn;’t mind paying $5 for a cd or $100 for FED or whatever function is going on. —- It is impossible for “everyone” to go diamond, as hundreds of new IBOs are needed for every new diamond. You aren’t thinking the process through, the point is the business model, because of the ATS, produces 99% of IBOs operating at a net loss, and 1% double dipping with the Amway and ATS profit. If all existing IBOs went diamond, the same ratio is maintained. It really isn’t difficult, complex math.

Just like franchising —-Once they are sucked in because there is no true disclosure required concerning performance of past and present participants in the MLM, it is to late. Been Had! So Sad! Courtesy of the FTC!

Where Tex is wrong is that the tools are a scam because they do not produce results. If mostly everyone went diamond, then these folks wouldn;’t mind paying $5 for a cd or $100 for FED or whatever function is going on.