I. Market Saturation
most products that is produce in a large scale faces this kind of problem, as the market stays the same and the production increases, just like Samsung Galaxy S6 faces this first half of 2015, there number of the produced phone is greater than what market wants.so, what is the case in a multi-level marketing, since the number of people who are targeted by the organization, if all market segment had already join, then there are no more people to be recruited, thus, make the company unable to sustain its initial growth.
an MLM is structured in a exponential binary system, where each recruit increases by 2 for every recruit, which in just short time will make the market saturated.
II. Recruitmen structure.
as said already, it was in a binary system, where the pyramidign scheme is used, and since the model suggest that you need to put one on the left and pair it on the right, and the way to earn more is by recruiting, thus you have to invite a lot of people to earn. if you dont have the quality to persuade other people, then you are in a losing side.and also, since we already said the market saturation, the people on the bottom of the pyramid is the losser, so the earlier your are in a MLM the better.
III. Ethics and conscience.
now, that you know that a company is invlove in a pyramiding scheme, and you dont know if it is a scam or not, or maybe you know already that it was one and you just want to earn back what you had invested, you will continue the promise of your recruiter to your downline, that's what make it unethical, where you are passing the the mistake to other to save your pocket.sometimes, other recruiter uses a false representation, and false proof of earnings, posting photos in a vehicle they did not even owned, showing cash claiming that those are their earning even if it was not caming from the MLM, and all other.
and even if that you know that everything in your MLM is fake you would still try to convince yourself and other that there is money in here.
IV. The Family, Friends and Collegues
Being part an MLM requires you to recruit to earn, and the first thing in your mind is to invite your family of up to 99degree, seriously, you have to get to know even you 99th degree cousin to earn, and of course you friend, co-workers, ex-clasmates, ex-workmate, and even your ex-GF/BF.
recruiting them is the easies way to find a downline, but when the time comes that they did not earn and losses, it will backfires on you, where they will you as a scammer, swindler, thief, etc.
can you even face those accusation? well it is up to you.
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