MLM refers to the behavior that organizers and developers illegally acquire wealth through developers or require the developed personnel to obtain the qualification to join on the condition of paying a certain fee. The essence of pyramid selling is "Ponzi scheme", that is, the money of the latecomers is distributed to the income of the pioneers.
New pyramid scheme: no restrictions on personal freedom, no ID cards and mobile phones, no group classes. But under the banner of capital operation, attracting people to cheat money, using luxury cars, wearing gold and silver, etc. Use money to attract your relatives and friends, and finally make you lose everything.
On April 2 1, 65438,998, pyramid selling was completely banned. On August 20 17, the Ministry of education and the Ministry of public security issued a notice, demanding that pyramid schemes be severely cracked down and banned according to law. The notice emphasizes that fraud is carried out in the name of "recruitment" and "job introduction" under the guise of "entrepreneurship and employment"
Banned according to law. The court made the latest judgment on May 2, 20 18. The amount involved in 65 kinds of "MLM coins" is10 billion yuan, and10 million people buy them.
Development and formation:
MLM originated in the United States in the late World War II, formed in postwar Japan and developed in China. In foreign countries, MLM and direct selling have the same meaning, that is to say, there is only one concept abroad.
The main idea of foreign MLM is: driven by the word-of-mouth generated by customers' use of products, let customers help distributors promote products and share some profits, that is, customers spread sales. This is two concepts with domestic pyramid schemes.
Chinese MLM: It's a fake company, a fictional product, and everything is empty. Just let you pull people's heads, or control personal freedom, confiscate property, so that you can't contact with the outside world and learn those MLM training materials every day. The essence of pyramid selling is "Ponzi scheme", that is, the money of the latecomers is distributed to the income of the pioneers.