From my basic knowledge of mlm, you are basically just recruiting more people to work in a particular company, right? Why are so many people against mlms if you’re just helping people get jobs?
Edit: Okay I understand now
In: 2
The income for the “job” is usually some form of commission on products sold, including your own purchases. A lot of them have certain purchase requirements as well. Those commissions vary but rarely generate enough income to cover the required purchases. This means you need to recruit people to be part of your team and once they’re linked to you, you get commissions on their sales too.
But now those people you recruited need to recruit others to make purchases to stay ahead of the purchase requirements. And then another level of people below them. The people at the lowest level are always putting in more money than they’re getting out.
The real problem is that in a given area, you will eventually run out of people willing to join at the bottom level. And then the people at the bottom level who are recruiting start to get disillusioned because they’re not making money so they quit. Which reduces the earnings of those above. And so on. And so on. Eventually, the whole pyramid collapses.
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