Encyclopedia of Opinion
Question
Is Multi-Level Marketing a scam pyramid scheme?
Position1 of 2›

Yes, multi-level marketing is a scam pyramid scheme

The case that multi-level marketing is a pyramid scheme in substance, because its rewards flow from recruitment rather than from selling, and because a model built on an ever-widening base cannot deliver what it promises to most participants.

Supporting arguments · 2

  1. The rewards flow from recruitment rather than from selling, which is what defines a pyramid scheme
  2. A model that needs an ever-widening base cannot deliver what it promises most participants