eli5 How do multi-million dollar pyramid schemes stay around for so long?

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The company’s that everyone knows are MLM trash (HerbaLife, JuicePlus, ect). When I was looking for a job I naively joined a seminar discussing CutCo Knives. Come to find out these dud muffin companies have been around since my mom was growing up, and are somehow still operational? Wouldn’t the BBB or whatever business bureau operates in the US (FTC?) have these scams shut down by now? I understand that new ones are popping up all the time but im referring to the ones that have been around forever now.

In: Economics

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Anonymous 0 Comments

I work in ad agencies, last year I was part of a project that is basically the biggest event to introduce new selling strategies and new products in Mary Kay.

Mary Kay is almost like a cult. The event is ginormous and MK have the money and yet they still demanded women to pay a hefty price to get in, which is essentially just a MK big ad. And people paid.

There’s even a big ceremony to celebrate the biggest sellers, with a throne, scepter, crown for the queens and princesses and what not.

While I was making all the layout to be put on the wall, I have to read to make sure there wasn’t any big grammatical mistakes and mah gawd, if you want to be a MK seller, as a starter, you have to buy at least 20 MK prime base. All MK’s goals are so fucking farfetched if you try doing it alone, it’s crazy.

They do give a lot of small gifts to keep the person going though. And stupid badges. If you sell X products you literally earn a star (pink one).

The big ceremony with the winners is cringey, VERY pink and gaudy. All the women eat it up because it’s very “fairy tale”-esque style. Most winners are actually rather rich women who have employees to sell MK stuff. However, MK marketing team specifically choose ONE woman with “humble origins but rose to the top” story to sell the dream “you can be that woman if you make a lot of effort!”

The biggest prizes is an all-inclusive trip, some cute necklace, a pink car.

I’m still gobsmacked that you have to pay to be part of the event.

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