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Friday, August 13, 2021

Doomed From The Start?

 So many people join Amway with tremendous expectations and desires in their hearts. It's understandable given the way the recruitment meetings are conducted. Delusions of untold wealth and early retirement at the age of 29 abound in the minds of the young. They are shown displays of wealth from the jewels, who are believed to enjoy a jet set lifestyle with money just pouring into their bank accounts every day.

I believe that taking a realistic look at reality would be detrimental to recruiting new people into Amway, as they would be shown glimpses of the wealth that the diamonds are said to have accumulated through their Amway enterprises. However, if you look at Amway's own disclosures, you'll notice that diamonds may generate a respectable income of about $100,000 to $200,000 per year, but that is gross income. When it comes to taxes, medical coverage, and business expenses, diamonds are likely to be in debt, similar to the majority of Americans, or living in a middle-class lifestyle in the very best of times.

Make your own calculations, and it's difficult to come up with any other conclusion. Consider the following scenario: a family of four with a gross income of $200,000. The fact that they are not purchasing houses with cash payments becomes apparent after accounting for taxes, medical coverage, and company expenses. They are most likely not even purchasing a high-end automobile with cash. While some tenured long-time double diamonds may enjoy a comfortable existence, these individuals are the exception rather than the rule.

Is this true, and if so, why is my former diamond (Harimoti) still solely a diamond more than two decades after I left Amway? Apparently he even went back to his original colour, which raises issues about the long-term viability of his decision.

The reality is that the vast majority of IBOS are doomed from the start. These individuals sell mediocre things at inflated prices. Furthermore, they have a negative cash flow as a result of the ineffective training system. This does not change the reality that more than 99 percent of all IBOS make nothing or lose money from the beginning, because they are doomed from the beginning.

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