One of the activities that appears to be universal throughout major IBO organisations is the concept of "buying from yourself," which is still prevalent. My understanding is that IBO leaders teach this since the majority of people are either incompetent or uncomfortable selling goods and services. This is not an uncommon occurrence. People, in general, do not enjoy selling, and the Amway presentation is usually careful to avoid giving the appearance that you are in desperate need of customers. Instead, you might hear phrases like "self consumption" or "prosumer" used to describe one's behaviour.
As a result, teaching others to purchase from you makes the business easier to market. In actuality, an Amway Independent Business Owner (IBO) is essentially a commission-based salesperson who receives no perks. However, presenting the chance in this manner is unlikely to produce results, and as a result, the habit of buying from yourself has become commonplace. It appears to be simple to just purchase your own things (or change your shopping habits) in order to reach 100 PV and qualify for a bonus. However, this is not the case. Then all you have to do is persuade others to do what you are doing. Isn't it simple?
Buying from yourself, on the other hand, makes you a customer rather than a business owner. Purchasing from yourself does not result in a profit for your firm. Would you open a car dealership in order to purchase a vehicle? Now, I'm not saying that supporting your own business is a bad idea; just the contrary. My point is that if you are the major or exclusive consumer of your Amway business, you aren't actually running a business, in my opinion. You are nothing more than a glorified client. And, technically speaking, if you don't make any sales, you don't qualify for a bonus.
In reality, what an IBO is doing is paying the bonuses of his upline. Amway overcharges their customers by more than 30% of the product's actual cost. They are required to do so in order to be able to make IBO incentive payments. Because the vast majority of IBOs have less than 100 PV, the vast majority of the bonuses gained are funnelled upline when a purchase is made. It is not an equal playing field, contrary to what some IBO leaders may believe. Even if you work really hard, you will never be able to outperform a tenured diamond, regardless of how hard you try. This is because the tenured diamond has a significant amount of control over your firm.
What exacerbates the matter and makes it worse is when an IBO pays for a standing order or attends functions where some of these IBO leaders may instruct others in this unethical business activity, which compounds the problem. You, as an IBO, already pay for products for which your upline receives the majority of the bonus; however, the situation is exacerbated by the fact that other IBOs pay to be given incorrect advise. As a member of the International Business Organization, I heard speakers talk about skipping rent or mortgage payments in order to attend more functions, or having your family forego a meal in order to purchase standing orders. Purchasing from oneself is another another example of faulty advice being passed down from upline to downline in the network marketing industry. What makes matters worse is that the uplines profit from delivering incorrect advice.
Purchase practically all of your goods and services from yourself? Can you think of a single truly successful firm where the owner is the primary or even the sole source of revenue? There aren't any that come to mind.
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