> Actually, when you think about it, many businesses are pyramids- grunt-level
> employees at the base then various smaller levels of management up to the
> owner/CEO who makes the most money...disregarding the stockholders in public
That so broadens the definition of a Pyramid scheme that it becomes
> The difference in so-called "Pyramid Schemes", to simplify the FTC
> definition of illegal vs. legal pyramids, is that the legal ones sell real
> products and/or services but pay no remuneration for recruiting. An illegal
> pyramid pays people to recruit new people (out of the new recruits' sign-up
> fees) with little or no attention to marketing legitimate products/services.
> There are many companies that sell "worthless" merchandise without bothering
> to go to the effort of setting up a MLM program. Every now and then I happen
> to catch one of those infomercials on TV and am astounded at the blatant
> rip-offs...ever see the one with the little bit of foil (for $19.95) that
> supposedly boosted your cell phone signal when you stuck it to the back of
> your phone?
Not knowing how the payments flow in your example it would seem to be a
pyramid gussied up to look like a MLM.
> I'd rather see the gov't stop wasting their (our) money with this futile
> "war on drugs" and put it toward stopping these rip-off artists with their
> phoney (pun intended) products who are stealing hundreds of millions from
> gullible consumers. Legalize recreational pharmaceuticals and tax them and
> reduce the taxes the rest of us have to pay on booze and cigarettes...yeah,
> like that's gonna happen.
> I don't care if my mechanic smokes a little dope on week-ends...as long as
> he isn't high when he's fixing my car.