I initially spoke to a retired friend who said she joined a health and beauty direct selling company as a means of meeting new people. She had recently remarried and moved to a new location, so she combined the practice of meeting new people with making extra money.  After almost a decade in the business, she’s built a small niche business with family and friends despite switching to from one company to another competitor after three years.
For example, most successful people building a network marketing business do so in an organized method. They work a few dedicated hours each week, with each hour of effort serving as a building block for their long-term business growth. Then they sponsor other people and teach those people how to sell the company product and sponsor others who duplicate the process.
Walter J. Carl stated in a 2004 Western Journal of Communication article that "MLM organizations have been described by some as cults (Butterfield, 1985),[51] pyramid schemes (Fitzpatrick & Reynolds, 1997),[52] or organizations rife with misleading, deceptive, and unethical behavior (Carter, 1999),[53] such as the questionable use of evangelical discourse to promote the business (Höpfl & Maddrell, 1996),[54] and the exploitation of personal relationships for financial gain (Fitzpatrick & Reynolds, 1997)".[52][55] In China, volunteers working to rescue people from the schemes have been physically attacked.[56]
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Growing up, multimillion-dollar earner, internationally renowned motivational speaker, success strategist, author, and sales trainer, Gloria Mayfield Banks managed a learning disability to achieve not one, not two, but three college degrees - including a MBA from Harvard University. Gloria’s high-energy persona and inspirational teaching style ...…
The Federal Trade Commission warns "Not all multilevel marketing plans are legitimate. Some are pyramid schemes. It's best not to get involved in plans where the money you make is based primarily on the number of distributors you recruit and your sales to them, rather than on your sales to people outside the plan who intend to use the products."[21]
Other than that, great info, but I’d have to respectfully disagree with the logic behind not being a part of an MLM. It’s one business model. And whether you want to make it your full time job or just dabble, so long as you find a product and company you love, it can be a great way to diversify your income streams. $5000 a year (or $5) is more than most people make on their 401K, savings or any other conventional ways of investing. It’s an investment, and for those that chose to continue through the plateau, it results in residual income. Don’t like sales? Some of the companies are moving away from the door to door type sales models and putting a lot more emphasis on team building and adding value. And many companies are also discouraging distributors from spamming on social media- again- it comes down to the individual and their own business acumen. We can spend our lives blaming they systems or we can just own ourselves and be grateful for whatever we’ve learned from, and created out of each opportunity presented to us. It’s the choice of the individual at the end of the day but one thing I can say with certainty is that someone who blames MLM for their lack of success is lacking responsibility for themselves in other areas of their life too.
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The U.S. Federal Trade Commission (FTC) states: "Steer clear of multilevel marketing plans that pay commissions for recruiting new distributors. They're actually illegal pyramid schemes. Why is pyramiding dangerous? Because plans that pay commissions for recruiting new distributors inevitably collapse when no new distributors can be recruited. And when a plan collapses, most people—except perhaps those at the very top of the pyramid—end up empty-handed."[45]
If you remember those ads for P90X and Insanity, you are not alone because they were something to rave about at one point in time.  They have dropped off a tad, but nonetheless Beachbody is still a well-known name.  The company is so focused on their products, very few people know that they are a network marketing company.  Which can be seen as an advantage for the company’s survival, but they are questionable as a “hot offer” to advertise.
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They have the stay-at-home-mother meets women entrepreneur mixture working for them. What does that even mean? Means they have the practicality side of the company that is off the product and they have the sales, entrepreneur people them promoting it, too. Anyone who follows MLM knows its usually too “product practical” (see: Tupperware, Cutco) or too “opportunity-centric” (see: Herbalife).
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