Thursday 22 February 2007

Rant 023 / A Mung Bean Plant Hellbent On World Domination Is Not A Good Idea For A Movie.

I have always found it ironic that ppl would, after an argument, type "I DON'T CARE!" about the whole reason the spamming contest started. I mean, if u don't care, y did u start? "Don't care", aka "don't give a damn" means if u see it, u would ignore it. Once you give in to the impulse to say do something about it, you no longer "don't care". When you still insist that you "don't care" after the argument, you are effectively trying to tell everyone present that "I lost the stupid fight and I'm trying very hard not to cry here. So pls don't make me cry or I'll tell my mommy!" or something to this effect. Well, if you ever get into a situation that would make you want to say anything like that, the best thing you can do is NOT to say something like this. I will not state the best way to escape this, cos i don't want to lose the sadistic satisfaction of making ppl cry when they lose an argument with me. There are other ways to get the satisfaction from an argument but I won't go any further lest I reveal what I was refusing to say.


MLM can be seen a legal form of a pyramid scheme. In both plans, people sell stuff together and are paid according to their sales. In both plans, ppl can "hire", in some way, other ppl to help them sell stuff. In both plans, ppl sell stuff that are usually sold by companies in their "organizations". But MLM is distinctively different from a pyramid scheme due to the fact that in a pyramid scheme, the "hiring" provides a much better income than the sales. How MLM companies aren't getting sued for being pyramid schemes is a question only lawyers and anyone else who have studied law can answer.

An interesting article on MLM can be found here.
This article doesn't deal with the legality of MLM companies but discusses the basic flaws of the MLM concept.

Basically few ppl, if not none at all, who are not part of MLM companies actually believe that MLM is profitable for everyone involved. To hire ppl to sell the same stuff as you is foolishness, basically. The market is finite, you are not. If you get more ppl to sell the same stuff to the same number of ppl, what you would get is a reduction of sales. That is illogical. And here, the reason of "helping people start their businesses" comes in. It practically solves this problem of being illogical and reverses itself to being beneficial for all. But no matter what it is saying, the result is undoubtedly the same. Salespeople sell products. Salespeople hire more salespeople to sell the same products. GL HF. This is a very basic flaw in MLM. Yes I know some salespeople involved in MLM do not do much to hire more people, and try to sell stuff by themselves. They, at least, see some sense. Yet they do not see the much greater senselessness of this MLM company.

These days, MLM companies have phrased their words so beautifully people have been tricked into believing they have nothing to do with MLM. Some call it "personal distributor network", and some have moved the focus of their organization to the distributing companies, calling themselves a "corporate alliance"(even though the salespeople are still there below). I am surprised when someone told me a certain company isn't anything like MLM when it certainly is. I checked the website of the company but i cannot say what made me suspicious or i will reveal too much. But what made me confirmed my suspicion is the terms and conditions of signing up as salesperson.

"I will become a (company name) Distributor upon acceptance of this Application Form by (company name), and I will at that time have the right to sell (company name) products in accordance with the (company name) Marketing Plan..."

"Without prior approval from (company name) Management, I / distributors shall refrain from:
a)Recruiting new distributor through media or
b)Promoting (company name)¡¯s products and/or (company name) activities through any form of the advertisement."

"...and the Company shall not bear any responsibility for any financial loss to me resulting as a result of any failure to perform this undertaking. "

"I understand that no purchase is necessary for me to become an (name for some kind of post) other than to pay a Registration Fee of USD25, which does not contain any commissionable product."

"I understand that I am responsible for training and supporting my affiliates I sponsor under the Marketing Plan. I will perform a bona fide supervisory, soliciting distributive and/or selling function in connection with the sale of (company name) products to the ultimate. I also agree to train any affiliates that I may sponsor in the performance of these functions."



there were also many other conditions to make sure no responsibility falls on the organization if anything goes wrong, like "As (company name) Independent (name for some kind of post) I am an independent affiliate and not an employee, partner, agent, franchisee or legal representative of (company name). I agree that I solely responsible for my compliance with any and all laws and regulations related to my business in any jurisdiction exercising authority over me, including but not limited to the duty to license my business and pay self- employment income taxes and to comply with all other regulations. I will obey any and all Federal or local laws, statutes and regulations applicable to my business and me. "



basically the first condition already says it is a MLM company. I am surprised my friend actually told me it isn't. if it is as good as he makes it sound ( making money without going for work; helping others make money etc) it should have been on tv. Many times. This is fantastic! I can just sit at home, talk and help ppl make money! All these happening while money rolls into my bank account! Fuck! Who needs a job anymore? Just advertise this company on TV and the whole damn world can just sit at home and watch the money appear!

The first thing that got me suspicious of the first MLM i heard of was that its founder wanted to help others make money. Its founder was supposed to be an international corporation, listed on NASDAQ. now the problem with this seemingly amazing wave of good luck lies in the fact that corporations need to keep growing to stay healthy. And to keep growing, it needs fewer competition, or a growing market. Since it cannot enlarge a market by hiring salespeople or forming a network of companies, therefore it must decrease competition! To help others form successful businesses, it is increasing its competition whenever that company sells anything the founder sells. Even if it doesn't sell what the new companies sell, it must watch out for fact that they need to diversify to continue its growth in the future. Therefore encouraging companies to appear is not an obvious way to keep the original corporation going. The part about salespeople is fine for the corporation, because in the end, all salespeople are its customers. They buy products from them to sell! And to found a successful corporation, especially one listed in NASDAQ, its founder needs to care very much for it. The fact the the founder is willing to risk the well-being of the corporation to do good is illogical. Usually, to do good, they just donate to charity or create charity funds, like Bill Gates. Therefore i do not trust MLM. Any other reasons to mistrust MLM is good, though i do not need more.



I have always thought of myself as gullible. I guess even straight-As students can be more gullible than I am. I just hope those guys ruling my country aren't this bad.

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