|
For many, the procedures practiced by Amway have given rise to the term Amway Scam. Because distributors are expected to sell the products to people they know; friends and family, there is no clear distinction between Amway and a typical pyramid scheme. A situation where distributors are expected, in the process of selling someone a product, to also attempt to recruit that person into the distributor ranks. This in turn increases the initial distributor's profits when the new recruit begins to do the same, or sell to those people he or she knows and recruit them as well.
This cycle of recruiting is what has earned the Amway scam such public perusal. Amway sustains that they are not running a scam, that their products are quality and fairly priced, and that by the very virtue of the fact that they do in fact sell hundreds of products, they cannot be termed a pyramid scheme or a scam. Amway has been referred to as running a legal pyramid scheme however by critics in the past. |
