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

The better business bureau is a for profit business, they basically charge other businesses for good reviews. They don’t have the authority to make another business change anything. Under capitalism the people with the most money have the most power and in a pyramid scheme the people at the very top are the ones who have all the money. Pyramid scheme companies donate lots of money to politicians, one of the biggest donors behind Ronald Reagan was Amway 

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