Let's begin to wind this down.
Herbalife is under investigation by various agencies to examine whether it is a pyramid or Ponzi scheme. If it is found to be such a scheme(s), the entire operation could be shut down, civil and/or criminal charges can be brought against officials of the company and the thousands of people who are Herbalife affiliates can lose their jobs. The ramifications are not small. Herbalife is a multi-million dollar company.
In addition, if Herbalife is found to be a pyramid or Ponzi scheme, the entire concept of Multi-Level Marketing on which the entire Herbalife concept is based can be in for greater scrutiny and other MLM operations could find themselves under the same investigative lens as Herbalife. This may lead to other MLM operations simply going out of business because the risk to stay with the same business model is too great.
As can be seen, it is not easy to answer the question on which this entire thread is based: is Herbalife a pyramid or Ponzi scheme? Part of the reason for the inability to give a definite yes or no answer is because we would have to review the financials of Herbalife, which is beyond the scope of this thread. But, there are other reasons as well.
Herbalife is under investigation by various agencies to examine whether it is a pyramid or Ponzi scheme. If it is found to be such a scheme(s), the entire operation could be shut down, civil and/or criminal charges can be brought against officials of the company and the thousands of people who are Herbalife affiliates can lose their jobs. The ramifications are not small. Herbalife is a multi-million dollar company.
In addition, if Herbalife is found to be a pyramid or Ponzi scheme, the entire concept of Multi-Level Marketing on which the entire Herbalife concept is based can be in for greater scrutiny and other MLM operations could find themselves under the same investigative lens as Herbalife. This may lead to other MLM operations simply going out of business because the risk to stay with the same business model is too great.
As can be seen, it is not easy to answer the question on which this entire thread is based: is Herbalife a pyramid or Ponzi scheme? Part of the reason for the inability to give a definite yes or no answer is because we would have to review the financials of Herbalife, which is beyond the scope of this thread. But, there are other reasons as well.
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tausk
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