Multi level marketing scams are not a new thing even if it has become less and less common since new laws has put a stop to ponzi scheme and the classic pyramid scheme, but this hasn't stop much of the world still believing that MLM is a pyramid scheme

The biggest surprise for me is that one of the most honest and transparent companies over the last decade gets painted with the same brush.

So, to make it clear, doTERRA is not a pyramid scheme!

The multi level sales distribution concept has been around for many years in many forms, but apart from in China, multi level marketing is completely legal.

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How to define the difference between the multi level marketing scams AKA the pyramid scheme and multi level marketing?

I am not sure if I am wasting my time explaining the difference. However, when it gets to the stage of convincing a doTERRA skeptic that MLM is not a pyramid scheme in most case the time and effort is not worth it.

However, for those of you who are sitting on the fence, I will keep it simple and to the basic concepts.

What is multi level marketing?

As I have already mentioned, multi level marketing or MLM is completely legal apart from in China. I think that tells us something about Chinese culture and mindset more than anything else.

Nevertheless, MLM is simply a marketing and business strategy. It is generally used by direct sales companies all over the world. One of those companies is doTERRA. This business strategy uses individuals often called reps to sell their products directly to the customer.

The aspect of MLM that seems to be an issue is the network or the levels. A few people I have spoken to about MLM are uncomfortable with the idea that the people they join will earn something from their efforts. Even though every employee in the world is in the same situation.

So, finally, multi level marketing is a completely legal marketing strategy used in direct sale.

What is a pyramid scheme?

On the other hand, a pyramid scheme is illegal, full stop!!

Generally, if not always those individuals running a pyramid scheme are interested in one thing and that is how they are going to get your money. In the worst case scenario, you will be encouraged to invest a lot of money with the promise of big profits. Unfortunately, by the time you realize you have been fooled, it will be too late.

The signs that you have likely joined or are about to join a pyramid scheme are:

• A pyramid scheme has no real product or service
• You will be told that there is no product or service to sell
• You will be told that you will get paid to recruit people

The doTERRA pyramid scheme lie is exposed!

The fact is most of the newer multi level marketing companies have a very different philosophy from the ones from the past. doTERRA is a classic example of a company doing the right thing while supporting its reps. In addition, they are offering an outstanding product and one of the best business opportunities available online.

So, the next time someone asks, "Is the doTERRA pyramid scheme rumours true", you can say, "No, of course not, pyramid schemes are illegal".

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