FTC vs Amway

 FTC_vs_Amway

Two Michigan corporations engaged in door­to­door marketing of various household products, as well as two corporate officers, are required to cease allocating customers among their distributors, fixing wholesale and retail prices for their products, retaliating against recalcitrants, and disseminating price­listing data that does not indicate that price adherence is required. 

Respondents are also barred from making false or misleading statements to prospective distributors about their earnings and other pertinent information.

Appearances

• Commissioners Joseph S. Brownman, D. Stuart Cameron, Mary Lou Steptoe, B. Milele Archibald, and Michael Goldenberg were appointed by the President.
• Respondents' attorneys: Lee Loevinger, Philip C. Larson, Robert J. Kenney, Jr., and Robert J. Kenney, Jr. of Hogan & Hartson in Washington, D.C.; John E. Stephen of Ada, Mich.

COMPLAINT

The Federal Trade Commission, acting pursuant to the provisions of the Federal Trade Commission Act (15 United States Code 41 et seq.) and in exercise of the authority vested in it by said Act, having reason to believe that the parties listed in the caption hereof, and more particularly described and referred to hereinafter as respondents, have violated the provisions of Section 5 of the Federal Trade Commission Act, a complaint has been filed with the Federal Trade Commission.

• THE FIRST PARAGRAPH CONTAINS THE RESPONDENT Incorporated on or about September 6, 1949, under the name Ja­Ri Corporation, Inc., Amway Corporation, Inc. 
• is a for-profit corporation based in the United States.
•  In November 1963, the company's name was officially changed to Amway Corporation.
•  It is believed that Amway Corporation, Inc.
•  was formed on or around January 1, 1964, when the Amway Sales Corporation, Amway Services Corporation, and Amway Manufacturing Corporation, all of which were Michigan corporations, united to form Amway Corporation, Inc.
•  Its headquarters and major place of business are located at 7575 East Fulton Road in Ada, Michigan, according to the respondent corporation. [2]
• Respondent (paragraph two) ADM (Amway Distributors Association of the United States) is an association of Amway distributors and dealers based in Ada, Michigan, with its headquarters and major place of business at 7575 East Fulton Road.
•  In addition to making recommendations to respondent corporation regarding the standing, termination, or suspension of individual distributors or dealers, the Amway distributors Association is also responsible for recommending changes or other action on various restrictions imposed on distributors or dealers by respondent corporation.
• Respondent (paragraph three) In addition to being a founding member of the respondent corporation, Jay Van Andel serves as its Chairman of the Board of Directors.
•  With others, respondent Van Andel established the Amway marketing plan and distribution policies.
•  Respondent Van Andel has been and continues to be responsible for establishing, supervising, directing, and controlling the business activities and practises of corporate respondent for more than three decades.
•  The address of Mr. Van Andel's office is the same as the address of the respondent corporation.
• Respondent (paragraph 4) Richard M. DeVos serves as President of the responding corporation and was a founding member of the organisation.
•  Respondent DeVos, in collaboration with others, established the Amway marketing plan and distribution policies.
•  She has been and continues to be responsible for establishing, supervising, directing, and controlling the business activities and practises of the corporate respondent, which includes establishing, supervising, directing, and controlling the Amway marketing plan and distribution policies. The address of Mr.
•  DeVos' office is the same as the address of the respondent corporation.

Part 5:

 Respondent corporation is engaged in the manufacture, distribution, offering for sale, and selling of more than 150 different types of homecare, automotive, and personal care items (as well as vitamins and food supplements) to distributors and dealers throughout the United States.

 Aside from that, the respondent firm offers more than 300 products that are manufactured by and labelled with the names and labels of other companies.

 Clothing, home appliances, furniture, tools, luggage, watches, cameras, and other items are among the many different types of products available on the market. Retail sales of the respondent corporation's products total more than $150 million, and more than 200,000 people are actively engaged in the resale of Amway products throughout the United States, according to the complaint. [3]

In the course and conduct of its business of manufacturing and distributing its products, respondent corporation ships or causes the shipment of such products from the state in which they are manufactured and warehoused to distributors or dealers located in various other states throughout the United States, as evidenced by the following paragraph:

 These distributors, in turn, resell to other distributors, dealers, or members of the general public, depending on the product.

 As defined by the Federal Trade Commission Act, there is currently and has been for several years past a steady, considerable, and increasing flow of such products into or influencing 'commerce.'

The respondent corporation's distributors and dealers are engaged in substantial actual competition or potential competition in the course and conduct of their business of distributing, offering for sale, and selling their products in commerce, except to the extent that such competition has been lessened, hampered, restricted, and restrained as a result of the practises hereinafter alleged by the respondent corporation.

A distribution system has been developed by respondents and has been published in a variety of manuals, bulletins, booklets, and other literature and materials. For the purpose of putting these policies into effect and carrying them out, corporate respondent has entered into contracts, agreements, combinations, or common understandings with its distributors and dealers;

 and has adopted, implemented, enforced, and carried out, by various methods and means, said distribution system, which hinders, frustrates, restrains, suppresses, and eliminates competition.

9. Distributors and dealers employed by the respondent corporation are independent contractors who sell or attempt to sell at retail to members of the general public and at wholesale to other distributors and dealers who have been recruited and/or sponsored into their respective sales organisations by the respondent corporation.

•  In most cases, with the exception of 'Direct Distributors,
• ' distributors or dealers obtain their product requirements straight from their sponsors. [4]
  

There are roughly fifteen hundred (1500) Direct Distributors around the United States who purchase directly from the respondent firm, and they are characterised by the term "Direct Distributors." Other distributors or dealers may purchase directly from Amway Corporation if they satisfy specific criteria and meet the requirements of the company.

respondents, working in concert and collaboration with their extensive network of distributors and dealers, police, enforce, and implement a wide range of rules, regulations, and policies, including those alleged to be unfair methods of competition and unfair or deceptive acts or practises in the following sections.

COUNT I Paragraphs One through Nine are included by reference into this document as if they were fully set forth verbatim in their entirety.

10th paragraph:

 The acts, practises, and methods of competition engaged in, followed, pursued, or adopted by respondents, and the combination, conspiracy, agreement, or common understanding entered into or reached between and among them, as well as between and among respondents, respondent corporation's distributors and dealers, and others who are not parties to this action, have the tendency and do tend to fix, maintain, control, or tamper with the prices at which resale goods are offered for sale.

As an example,

 distributors and dealers have entered into agreements, combinations or understandings with respondents, or they have been and continue to be required and coerced by respondents to sell to other distributors or dealers who are at other wholesale levels of distribution at the same prices that they purchased their products from other distributors or dealers or from respondent Amwa. For wholesale profits, distributors or dealers must therefore rely on the implementation and adherence to the respondents' buy volume refund plan, which must be followed exactly.

Purchase volume refunds are paid by respondent Amway Corporation to its direct-buying 'Direct Distributors' on a monthly basis at a rate of 25% of the monthly dollar volume of purchases computed at the retail price, according to the terms of this plan. All wholesale levels of distribution are covered by the rebates paid by these sponsoring distributors to their wholesale customers, which range from zero to twenty-five percent in value based on their own monthly dollar volume of purchases, and so on. [5]

In addition, distributors and dealers have committed to sell to religious, service, civic or charitable selling organisations at specified prices and to request that these organisations stick to the same retail prices when selling to the final consumer. Following that, the distributor or dealer will pay the selling organisation a quantity of money, which will be credited to the selling organization's gross income from the aforementioned sales.

According to the intent and meaning of Section 5 of the Federal Trade Commission Act, as amended, the foregoing acts, practises, and methods of competition, as well as the adverse competitive effects that result from them, constitute unreasonable restraints of trade and unfair methods of competition in commerce, as defined by the FTC.

COUNT NO. II

• The first through ninth paragraphs of this document are incorporated by reference as though they were fully set forth verbatim.

PARAGRAPH 13. 

The acts, practises, and methods of competition engaged in, followed, pursued, or adopted by respondents, as well as the combination, conspiracy, agreements, or common understandings entered into or reached between and among the respondents, respondent corporation's distributors or dealers, or others not parties hereto, tend to, and do, restrict the customers to whom respondent corporation's distributors or dealers sell their products, as well as the combination, conspiracy, agreements, or common understandings entered into or reached between and among

The respondents have entered into agreements, mergers, or other forms of collaboration with distributors and dealers, and they have been and continue to be required and coerced to adhere to practises whereby, absent prior approval to the contrary, purchases of product needs must be made either directly from the respondent corporation or from the distributor or dealer who recruited and/or hired the respondent corporation.

 Distributors and dealers are not permitted to resell their products at wholesale to anyone other than other distributors or dealers who they have recruited and/or sponsored and who have been identified as such by respondents as such. In the event that distributors or dealers withdraw from the programme, they are replaced in the distribution chain by other distributors or dealers to whom the former had previously sold their products.

Paragraph 15:

 Distributors and dealers have also entered into contracts, agreements, combinations, or understandings with respondents, or have been and continue to be required and coerced by respondents to refrain from selling from or through any business office, retail store, military store, ship's store, service station, barber shop, beauty salon, show booth, fair, or the like, and to refrain from selling to or through any other person or entity other than respondents.

Moreover, distributors and dealers have entered into contracts, agreements, combinations, or understandings with respondents, or have been required and coerced by respondents to refrain from soliciting the business of retail customers and commercial accounts from other distributors or dealers (paragraph 16).

According to the intent and meaning of Section 5 of the Federal Trade Commission Act, as amended, the foregoing acts, practises, and methods of competition, as well as the adverse competitive effects that result from them, constitute unreasonable restraints of trade and unfair methods of competition in commerce, as defined by the FTC.

Haugen, Randy & Valorie Amway

Haugen, Randy & Valorie Amway

•  Terminated during the TEAM dispute.

Downline Diamonds

• Haugen, Randy & Valorie, Double Diamond, United States, Legacy Business Group/TEAM, Terminated
• Bybee, Steve & Caroll, Diamond, United States, InterNET
• Pipkin, Kerry & Annette, Diamond, United States, InterNET
• Anderson, Bruce & Wendy, Diamond, United States, InterNET
• Cowart, Wade & April, Diamond, United States, InterNET
• Law, Jim & Kelly, Diamond, United States, InterNET
• Terrell, Rob & Stephanie, Diamond, United States, InterNET
• Sims, John & Barbara, Founders Diamond, United States, TEAM, Terminated
• Wallentine, Glen & Linda, Diamond, United States, InterNET
• Ence, Russ & Lisa, Diamond, United States, InterNET
• Wulfenstein, Steve & Cathy, Diamond, United States, InterNET
• Lambson, Sherrill & Kathy, Diamond, United States, InterNET
• Robbins, Kelly & Connie, Diamond, United States, InterNET
• Walker, Randy & Susan, Diamond, United States, InterNET
• Bergfeld, Bill & Lisa, Diamond, United States, InterNET
• Hughes, Mark & Martha, Diamond, United States, InterNET
• Aldredge, Hank & Martha, Diamond, United States, InterNET
• Smith, Lance & Tracey, Diamond, United States, InterNET & TEAM, Terminated
• Emery, Jerrel & Leslie, Diamond, United States, InterNET
• Masacarnas, Saul, Diamond, United States, InterNET & Vision Global
• Ortiz, Salvador & Lupita, Diamond, United States, InterNET & Vision Global
• Chávez, Luis & Lulú, Diamond, United States & Mexico, InterNET & Vision Global
• Bazan, Francisco, and Geovana, Executive Diamond, United States and Mexico, InterNET, and Vision Global are some of the names that come to mind.
• United States & Mexico Executive Diamond: Alfredo Medina & Silvia Executive Diamond: InterNET & Vision Global
• Adan & Francisca, Diamond, United States, InterNET & Vision Global, Ledezma, Adan & Francisca
• The Alvarez family (Ignacio and Dora), Diamond, the United States and Mexico, InterNET, and Vision Global are all represented.
• InterNET and Vision Global are working with Rafael Navarro and Alma Diaz to develop a diamond mining project in Mexico.

The Amway Function Cycle?

 Covid 19 has been in operation for nearly a year at this point. The various states each had their own set of restrictions and ridiculous rules for dealing with covid, and they were all different from one another. Beaches, parks, golf courses, and a number of small businesses in my home state of Hawaii were shut down by our mayor after it was determined that Fourth of July celebrations were likely to be a contributing factor to the increase in cases. Despite this, the mayor's office was found to be responsible for a cluster of violent crimes that appeared to be connected to an apparent retirement party, according to the police.

That being said, we are rapidly approaching the season for a formal event known as Dream Night, which used to include a sit-down dinner, rousing speeches by diamonds, and slide shows of luxurious and cool toys, including jet skis and yachts, among other things. There is no way to tell whether the diamonds actually owned these items or whether they simply implied that they did. No one knows for certain. From time to time, I've heard rumours about diamonds renting out props for events.

According to my understanding, the cost of Dream Night was approximately $75, and I have been told that it will be the same for Dream Night 2, with the exception that you will not receive a sit-down dinner and that the function will most likely be virtual, resulting in more profit for the diamonds who organise it. You should consider how far you have progressed since your last attendance at Dream Night, especially if you were there the previous year and plan to attend this year. Is there any profit, and if there is, is it a net profit? Is there any profit, and if there is, is it a net profit? The likelihood is that this is not the case. Did your upline provide you with any concrete advice that helped you increase the profitability of your business, or did they simply tell you not to give up and to keep attending functions?

As I mentioned earlier, the diamonds will be advising you to attend another large function, possibly called spring conference, where new and emerging leaders will be giving speeches shortly after Dream night. If you don't see any new leaders emerging, this should be taken as a warning. It's also a red flag if you haven't made any progress in the last year, which should be taken into consideration.

Every quarter, a new critical function will be identified, and diamonds will work to advance that function to the next level. The night of dreams marks the beginning of the year's cycle of functions, which begins on January 1st. Although there may be legends about diamond hoards in other parts of the world, if you've been around for a while, you're likely to notice the same old diamonds, but you're not likely to notice a slew of new diamonds, regardless of your experience level.

To be successful in Amway business, it is essential that you are completely honest with yourself about your progress (or complete lack thereof). After all, if you aren't making any progress, what exactly are you hoping to accomplish? For one thing, staying in one place for an extended period of time increases the likelihood that your losses will accumulate. Be honest with yourself and carry out a self-evaluation exercise. Allowing your business to fail because of financial difficulties does not rule out the possibility of achieving your goals and dreams; you simply need a more efficient means of getting there. Is it possible that Amway isn't the best option?

Sucked Into Amway?

 Amway attracts a large number of people who are not aware of it. Many uplines instruct their followers to respond to a question with another question, such as "What does sucked in mean?" It simply means that they pique a prospect's interest and then use a sales pitch to close the deal. They assert that they have discovered the key to early retirement and untold wealth.

It is absolutely essential for many young people or people who are still working and far from retirement, to believe that there is a magic shortcut to retirement and financial freedom available. Upline leaders, on the other hand, are wise to point out that Amway is not a get-rich-quick scheme. Some even claim that Amway is a "get rich slowly" company. That is done in order to deceive the general public and dispel the notion that it is too good to be true. It has a pleasant ring to it.

Some diamonds, on the other hand, believe that it is best to build it right the first time in 2-5 years. It appears to be straightforward and straightforward. Just look for the number six, as the saying goes. And then they claim to have the secret, which you can gain access to if you just subscribe to their standing orders and show up at all of their meetings. Isn't it simple?

No, not at all. This is the point at which they entice you in. There is a strong desire in you to believe that someone possesses the key to retiring in 2-5 years with enough money to last the rest of your life. What IBOs and prospects aren't seeing are tough questions that force the diamonds to back up their claims with evidence. Diamonds appear to never retire, despite the fact that they claim to be doing so in essence.

Why haven't I been able to identify a single person who was responsible for creating Amway and walking away with untold wealth for life? Why are IBOs unable to identify anyone who has committed this crime? Surely someone will have realised their ambition and desired to retire in peace and quiet with a substantial sum of money? However, IBOs and diamonds are unable to identify any of these diamonds, most likely due to the fact that they do not exist. Please feel free to disprove my assertions.

E-commerce?

 Around 20 years ago, Amway attempted to rebrand themselves as an e-commerce company, which resulted in the company's name being changed to Quixtar in the process. Innovative recruiting strategies centred on the buzzword "e-commerce" were developed by independent business owners (IBOs). There were times when it was amusing to watch independent business owners (IBOs) deny that Quixtar was in any way affiliated with Amway, and this became a running joke.

Funny, because Quixtar Independent Business Owners (IBOs) entered into a partnership agreement with Amway, sold Amway products, participated in the Amway compensation plan, and received bonuses from the Amway corporation in exchange for their efforts on behalf of the Quixtar corporation. Those who were paying close attention to Amway with a critical eye found it pure entertainment to watch IBOs deny the existence of the relationship.

In light of Amazon's success, one would expect Quixtar to be even more successful than it has been thus far. Drop shippers are companies that allow you to shop online and have the items delivered to your door. While this concept was extremely successful during the days of covid 19, one would expect it to be even more successful during the days of covid 20. Right? The convenience of shopping without having to lift a finger and having it delivered to your door As a result, takeout pizza and food delivery services were in high demand during Covid 19, which was taking place at the same time.

Is it possible that Quixtar, which was later renamed Amway, missed out on the boom in e-commerce and online shopping because they were too small? As a result of a lack of demand for Amway products outside of the self-consumption demand of independent business owners, this, in my opinion, has occurred (IBOs). There are no formal studies that I am aware of, but it appears that Amway products are primarily used by independent business owners (IBOs) and their sympathising friends and family members who are not IBOs themselves.

Despite the fact that Amway products are generic in nature, they are sold at a premium price, which is not conducive to good sales when I can easily purchase similar or better products at a lower price on Amazon or even Walmart.com, to name a few locations. However, despite Amway's independent business owners (IBOs) denials, it appears that the company took a successful business model — online shopping — and turned it into a mediocre product. What if independent business owners (IBOs) decided to stop buying from themselves and instead concentrated solely on attempting to sell their products to other people? I'm guessing that Amway sales would suffer as a result of these circumstances?

Defending Amway?

 It was in the early 2000s that I became involved in the Amway debates for the first time. Even though it used to be a bit heated at times, it has remained civil for the most part over time. It was the pro-Amway group, not the other way around, that began making veiled threats about revealing people's identities outside of an Internet forum. Additionally, it was the pro-Amway crowd that used to have temper tantrums on the forum.

It was clear that Amway was a topic that elicited strong feelings from those who discussed it. Among the more amusing aspects of the situation was how various facts and pieces of information obtained from Amway itself resulted in a flurry of debates. Amway, for example, reported that the average diamond earned approximately $150k per year on average. Amway is now reporting the average income of a Q12 diamond, which is a new twist on the old formula. A Q12 diamond, on the other hand, is a rare exception rather than the rule.

There were numerous debates about the average income of IBOs, which was approximately $100 per month, according to the participants. Amway now refers to them as “active” independent business owners. The average monthly income earned by active IBOs is approximately $200. Because inactive IBOs account for approximately half of all IBOs, the average monthly income of all IBOs is approximately $100. It all depends on how you look at the numbers. The big shot diamonds and upper management are included in that average income; however, bonuses, which can be substantial, are excluded from the calculation.

There aren't as many Amway-related forums and bolds around anymore, which has resulted in the debates being scaled back. However, the majority of the sites that are still up and running appear to be exposing the truth and personal experiences about Amway, which does not appear to be helping Amway's cause. There are also some pro-Amway websites, with the vast majority of them being run by the company itself.

However, due to the widespread use of the internet and the availability of readily available information, Amway diamonds are no longer able to conceal the obvious. That a significant portion of one's income comes from the sale of tools and functions, and that being a diamond may not be the luxurious lifestyle that one is led to believe. I continue to share my experiences in order to help prospects and information seekers avoid the pitfalls of Amway that I myself experienced as an Independent Business Owner (IBO) at one point in my life. I've been away from Amway for more than two decades, and those years have been the most prosperous of my life.

Be Teachable?

 One of the things that upline taught and emphasised was the importance of being teachable by others. Teachability referred to the ability to be open-minded, willing to learn, and willing to accept advice from wise and experienced upline and higher-up diamonds, among other things. This is ironic, because the same upline leaders and diamonds are quick to point the finger at the IBO when their businesses ultimately falter.

They will claim that the IBO didn't try hard enough or that they simply didn't do things in the manner in which they should have been done. In other words, you are taught to be teachable, but even if you are, it is still your responsibility if you fail. It's as if your upline is flipping a coin and saying, "Heads, I win, tails, you lose."

Although I am certain that many people who joined Amway gave it their all and made significant efforts to follow the company's recommendations, they were unable to generate a net profit in the company. I had a large group of people who produced 4000 PV in a given time period. In addition, I had the correct parameters based on the WWDB eagle program's recommendations. However, despite all of this, my company was unable to generate a net profit.

At the end of the day, if you think about it objectively, your Amway business is not intended to generate income. Its purpose is to transfer money to your upline diamonds in a systematic manner, as described above. Even if you do manage to make a small amount of money (which is highly unlikely), your upline will almost certainly advise you to put it into the tools system as soon as possible. Moreover, being teachable implies that you are more likely to do so.

Every aspect of the business, including the 100 PV defacto quota for IBOs, is designed to ensure that your uplines can continue to qualify for their higher-level positions in the company. When that occurs, you receive 3 percent of the nearly 30% in bonuses that Amway distributes, with the remaining bonuses going to layers of upline above you. Who says you have to work in order to be compensated?

Be Accountable?

 One of the things that upline stressed as being critical to the Amway business was the importance of being accountable. Alternatively, if you say something, you should follow through on it. In some ways, it makes sense for people to be held accountable in the workplace. Maintain the integrity of your word. It seems to me to be a common sense aspect of doing business.

Except for the unwritten rule that upline diamonds follow, which is "rules for thee, but not for me." Has any diamond accepted responsibility for the boards of directors of people who join Amway, invest their time and money, and make an honest effort, only to lose money and fail as a result of their actions? Upline always has an explanation for why the IBO failed, such as the fact that they didn't work hard enough or that they didn't follow the upline's advice exactly as it was intended.

It appears that upline always has a convenient excuse for down line failures that excludes the possibility of blaming the bad advice they provided to down line members. It's not as if everyone who joined was a slacker or didn't follow the instructions. Many people follow their upline's instructions to the letter, but they find themselves losing money month after month because their system is flawed. Our regular success has never been churned out by the system. Success is more of an anomaly than it is something that can be counted on one hand.

Of course, whenever there is any success to speak of, upline is quick to credit themselves and the system as the source of it. It's almost comical in its absurdity. However, when you consider how much money is made at these events, the amount of success is insignificant in comparison. You would have just as good a chance of winning the lottery if you purchased a lottery ticket, but purchasing a lottery ticket requires no effort on your part. Certainly, the Amway business model is not a game of chance, but what does it say about an organisation when its results appear to be similar to those of a game of chance?

BERR vs Amway UK

 Plaintiffs

• A defendant in this case is the Secretary of State for Business Enterprise and Regulatory Reform (United Kingdom).
• Amway (UK) Limited is a company based in the United Kingdom.

Summary

• An investigation into the operations of Amway UK, Britt World Wide (BWW), and Network TwentyOne was launched on January 9, 2006, by the Secretary of State for Trade and Industry (then known as the DTI - Department of Trade and Industry, later changed to BERR - Department for Business Enterprise and Regulatory Reform).
•  On April 11, 2007, the Secretary of State filed a petition with the United Kingdom Company Court seeking the dissolution of all three corporations.
•  Following negotiations, BWW decided to discontinue operations in the United Kingdom, and the matter was dismissed.
•  Network 21 was also dismissed from the inquiry into Amway as a result of their agreement to abide by the conclusions of the investigation.
• Following the filing of the petition, Amway immediately instituted a moratorium on all new sponsorship and a ban on the distribution of any Business Support Materials that were not developed by Amway. Amway made a number of important adjustments to its business model in the United Kingdom and the Republic of Ireland shortly after that.
• Hearings in the case against Amway were place on the 26th to the 30th of November 2007 and on the 3rd to the 7th of December 2007.
•  In its claims against Amway, BERR asserted that the company was -
• unacceptable in and of themselves; and/or
• unconstitutional lottery, as defined in Section 1 of the Lotteries and Amusements Act 1976, or both; and/or
• a fraudulent trading strategy in violation of Section 120 of the Fair Trading Act of 1973.
• Amway UK agreed to a number of undertakings, which included the following, and Justice Norris delivered his findings in the case on May 14, 2008, dismissing all allegations against the company.
• The current prohibition on the creation, sale, or marketing of BSM that is not authorised and distributed by Amway should be maintained.
• (b) to refrain from imposing a registration charge or a renewal fee; and
• In addition, the company has agreed not to hire new ABOs until it has reported profits data in compliance with a specified income disclosure policy (which requires annual disclosure for 12 month periods of the average earnings and the highest and lowest earnings of each category of ABO together with the minimum income levels for qualification for higher rewards and the number of persons qualified at each level ).
• BERR filed two appeals in the case, both of which claimed procedural flaws on the part of the court. While the appeals were underway, Justice Norris denied BERR's request to prevent Amway from resuming sponsorship activities while the appeals were pending.
•  On July 21, 2008, Amway UK provided figures on the earnings of distributors, and sponsoring was once again available. The appeals were denied on January 29, 2009, according to the decision.

Documents from the courtroom

• BERR vs Amway UK - Final Decision
• Final Decision in the BERR versus Amway UK Case
• BERR vs. Amway UK - Reconsideration
• BERR versus Amway UK - Decision on the Appeal

Amway And Taxes?

 Tax breaks are a selling point for some Amway representatives, who assert that the company's tools and functions are profitable because of tax breaks. Both of these claims are complete and utter nonsense. If you are familiar with the subject of taxes, you will recognise that what I have said is correct.

Only if you lose money in Amway will you be able to benefit tax-wise, because if you make money, you would be required to pay more in taxes overall. Tax-wise, functions do not pay for themselves because $1000 worth of functions will only offset a percentage of the tax bracket you are currently in, not the entire bracket. Consider the following example: if you are in the 10% tax bracket, your $1000 in function expenses will only result in a $100 tax credit. In other words, you still suffered a financial loss.

If you take the time to research Amway Independent Business Owners and taxes, you will discover that the IRS routinely takes Amway IBOs to task. And this is due to the fact that Amway cannot be used solely as a tax shelter. You must be actively involved in the operation of a business and the pursuit of profit. A grill that is used in a restaurant, for example, is a legitimate tax deduction allowed by the Internal Revenue Service because it will assist you in making your business more profitable.

Who can say for certain that standing orders and functions provide any tangible benefit. Tools and functions do not increase sales or sponsorship of down line for the vast majority of independent business owners (IBOs), in part because these tools and functions, in my opinion, are just a scam by the diamonds to make their dreams come true. Because the system is in place, you will not witness an endless stream of new diamonds.

I challenge anyone to provide an explanation as to why I am incorrect. I've also outlasted every single one of Amway's zealous defenders because I'm a non-quitter as well. Where have all of the Amway defenders gone to writhe in agony? They have all given up while Joecool is still going strong.

Amway 2021?

 Happy New Year to all of the readers of this blog, as well as to all of the Amway prospects and Independent Business Owners. There's no denying that 2020 was a difficult year for many, including the diamond industry. Nobody could have predicted the extent of the damage caused by covid 19. It undoubtedly altered the way you conducted your personal and professional life as well as your Amway business.

According to what I've read, Amway Independent Business Owners (IBOs) struggled to deal with the pandemic, and business was severely impacted. I would have predicted that Amway would have achieved great success. I'm referring to businesses such as Amazon, Walmart, and Target, which experienced record sales and saw their stock prices rise significantly as a result of being deemed necessary and remaining open during a time when many other types of businesses were forced to close due to government regulations.

Cleaning products and toilet paper, for example, were in high demand, so Amway should have seen a brisk increase in business. After the summer months, I found it difficult to re-order these products in my area. According to my observations, Amway products should have been just as in demand as they were previously, but this did not appear to be the case.

What if Amway failed to prosper because they are more concerned with the recruitment of more and more independent business owners (IBOs) than they are with product movement? I received messages stating that diamonds were frantically putting together virtual functions, which made little sense given the fact that people were unable to get out and about due to the city restrictions. After all, why would you have to pay full price for a function if you can't even afford to go out to eat in your hometown?

Why weren't independent business owners (IBOs) inundated with orders for commodities such as toilet paper and hand sanitizer? Exactly what was it that the diamonds were teaching us? Are you recruiting through social media? However, I am well aware that we are currently living in strange times. Despite the fact that people require things in a covid 19 world, it appears that Amway goods and the Amway business do not appear to be high on the list of priorities for many people. I'm curious as to why.

2-5 Years To Riches?

 The Amway diamonds are careful not to imply that Amway is a get-rich-quick scheme in their advertisements. I've heard it said that Amway is a "get rich slowly" company. The diamond industry, I assume, does not want prospects to believe that the deal is too good to be true. But, on a more practical level, isn't 2-5 years to early retirement and a lifetime income a get rich quick scheme in disguise?

Several very important points must be made in order for information seekers and Amway prospects to be aware of them: According to Amway, the majority of independent business owners (IBOs) quit in less than a year, the majority of IBOs never sponsor anyone, and less than half of IBOs ever lift a finger to do anything. So, based on this information, how can anyone build a financial empire that will pay them for the rest of their lives? I believe the answer is fairly self-evident.

Some groups have made changes to their plans in order to make them appear more achievable or reasonable, but the outcomes have remained the same. Amway Independent Business Owners (IBOs) fail and drop out of the company like flies, but upline still wants you to believe that you can build a residual income empire with a majority of your down line who can't sponsor anyone and is likely to quit before they do anything.

The only thing I can imagine is that upline has been suffering as a result of covid and is doing everything they can to suck every penny out of down line. Amway's financial results for the previous year should be released next month. Sales on the internet have soared to unprecedented heights. Was Amway's sales soaring, or did they remain stagnant as they have been for a number of years? I have my suspicions, but I'll hold off on making any statements until I see the numbers.

Selling?

 It was one of the most difficult aspects of my time working for Amway that I still remember today. It was rare that you heard of someone who was praised for making a large number of sales. My own experience was primarily with friends and family, with some sympathy purchases thrown in for good measure. Help out a crazy friend who is involved with Amway. LOL.

But, seriously, has anyone ever gone on stage dressed as a ruby because they sold 15,000 PV worth of Amway merchandise? A fellow IBO who purchased 1000 PV worth of merchandise in a month because the diamond advertised a picnic that he would attend but only for those who had reached 1000 PV or higher was the most extreme case I witnessed. It goes without saying that IBO later lost his home due to foreclosure.

That is why diamonds advised us to inquire as to whether prospects enjoyed the process of selling. Regardless of whether you answered yes or no, our response would be, "great, then this business is a great fit for you." It provided you with a way out in any case. However, it is just another example of diamonds instructing their students in questionable recruiting tactics. After all, I believe that an honest and straightforward approach to Amway does not work, and that strategies must be implemented instead.

The fact that diamonds are promoting the "buy from yourself" philosophy is sufficient evidence to support my claim. There is no need to sell. Simply consume your own de facto quota of PV and encourage others to do the same to meet your goals. Of course, I'm not aware of any businesses in which you can consume yourself into greatness. However, it is something that many IBOs believe and something that many diamonds teach. And it is for this and other reasons that I have been blogging about it for nearly two decades, in the hope that these ridiculous teachings will be exposed for the fraud that I believe they are.

Perpetuating The Scam?

 It has been decades since the diamonds have had a good laugh all the way to the bank. Because it is almost certain that a scam would have been uncovered and shut down, Sone Diamonds uses this to justify their actions as a levy. To which I respond that organised crime is older than Amway and is still very much alive and well. The same can be said for the Nigerian scam and other variations on the theme. The LOS, such as WWDB or Network 21, continues to operate with Amway as their transportation vehicle of choice.

The design is deceptively simple and clever. They frequently target younger people who are just starting out in their careers and therefore have a long road ahead of them before reaching retirement. Amway is a great shortcut to early retirement and possibly untold wealth, despite the fact that the diamonds indicate that you will work hard. They display items at meetings and functions in order to entice recruits to join and to give IBOs something to drool over in order to motivate them to move forward.

The diamonds claim that they are essentially in possession of the keys to unlocking the secrets to success in Amway. However, in order to discover the secret, you must devote your time and energy to the tools and functions with unwavering dedication. According to popular belief, those who persevere and do not give up will eventually reach the finish line, similar to running a marathon. It appears to be something that most people are capable of accomplishing if they put their minds to it.

What goes unnoticed is that reaching the ultimate goal is similar to reaching the end of a rainbow in the sky. It will always be out of reach, at least on the surface. You should not despair, however; just keep immersing yourself in the tools and functions and you will succeed, according to your upline. As if consuming tools and functions will automatically turn you into a successful person. Amway, for some, becomes an addiction, similar to that of a drug addict or a smoker who has become addicted to cigarettes. It is difficult to give up, and you begin to believe that you have invested too much to simply give up.

And it is in this manner that the diamonds continue to perpetuate a fraud. They instil in you the fear that quitting will result in you becoming a broke loser and that quitting will result in you having no hope for a good financial future. It's impossible to consider giving up. However, in business, there are times when quitting is the best option. Take your losses and move on. It does not imply that you have given up on your efforts to better yourself and your family. However, it is possible that you simply require a more effective method of achieving your objectives and dreams. There are a plethora of superior alternatives to Amway. All you have to do now is go get it.

Living In Luxury?

 You can join Amway and retire at a young age if you believe your upline diamonds. You can also live in luxury and live happily ever after if you believe your downline diamonds. However, strangely enough, you never actually meet these people and it is unclear whether they are real or just urban legends. Something along the lines of Bigfoot or UFOs. Despite widespread belief in the existence of big foot and UFOs, no conclusive evidence of their existence has ever been discovered, much like diamonds who built a business and then "walked away" from Amway to enjoy residual income for the rest of their lives.

Diamonds are typically associated with a luxurious lifestyle that they enjoy because they are not burdened by financial obligations. In order to provide an analogy, a regular average diamond earns approximately $150k per year (according to Amway). They could earn $200 to $250k per year if they had additional tool income to supplement their income. A Q12 diamond (which is extremely rare) is worth approximately $600,000. A comfortable living wage? Without a doubt.

To put this in context, $600,000 is approximately the minimum wage for an NFL player. To be honest, I believe they make around $500,000. However, the point is that approximately two-thirds of NFL players go bankrupt shortly after they retire from the game. And that 2/3 figure includes those who earn significantly more than the NFL's minimum wage. Excessive living and luxury are frequently cited as factors in the demise of many NFL athletes. So what exactly is the point?

What I'm getting at is that the Amway business is extremely fragile, and a group can quit and knock you out of qualification in an instant. That is to say, a diamond can be disqualified from competition in the same way that an NFL player can be injured or cut from the team. In other words, their income is subject to reduction or cessation at any time. But are we to believe that they live in excessive luxury all of the time, no matter what?

In my opinion, it's all a show, and diamonds are probably forced to live on a budget and save for retirement just like the rest of us. Perhaps tenured diamonds are more secure, but certainly not new ones whose groups are susceptible to disintegration. I believe that while diamonds may give the impression that they live in luxury, reality is likely to paint a very different picture. If you do the math on living a life of luxury, I can assure you that the cost far outweighs the reported diamond incomes from Amway.

IBOs Must Believe?

 Bloggers, best wishes for the New Year! I was prompted to write this post as a result of some recent comments I received. Due to the holidays, I've slowed down a little, but I intend to pick up the pace a little in 2021. So, you might be wondering what the subject of my title is. Many prospective employees are younger or have recently entered the workforce, and they must contend with the prospect of working 30-40 years while saving for retirement. It appears to be overwhelming, which is how the diamonds manage to lure you in.

They make it sound like working makes you a slave to your employer and that you must put up with it for decades before you can retire, and even then, your job is not guaranteed to remain secure. According to them, diamonds are the only ones who can break out of this cycle; therefore, joining Amway and becoming a diamond is the only way to do so.

Hey, 2-5 years of hard work and dedication to building it correctly will pay off and you will be financially independent. That is preferable to working 30 to 40 years at a full time job. Diamonds, on the other hand, hold the key to this financial nirvana. Simply enrolling in their "system" and following their recommendations will put you on the fast track to financial freedom. They maintain their faith and belief in the diamonds, despite the fact that they are not sprouting up everywhere like wildflowers. They believe that the diamonds will transport them to the promised land.

However, you might wonder why IBOs are so adamant about their belief in the system, despite the mountains of evidence to the contrary. The IBOs believe because they have no choice. What do they have to fall back on if they let go of their exaggerated expectations and aspirations? They resign themselves to the reality of working 30 to 40 years until they can retire, and then hoping that they will have enough money to live on in retirement.

However, if IBOs were to face the harsh reality that Amway will not deliver the lofty dreams that diamonds peddle to the down line, they would realise that there is no magic pixie dust that will bring about early retirement, short of winning the lottery, they would realise that there is no such thing as early retirement. Retirement necessitates careful planning and hard work. Sometimes one gets lucky and money just falls into their laps, but in the vast majority of cases, luck has little to do with being able to retire early.

IBOs, on the other hand, believe the diamonds because they have no choice. Anything less would be a harsh dose of reality delivered to them.

Build It Right, Build It Once?

 When I was younger, one of the things my upline taught me was how to build your business correctly the first time. You'd be the one. The ability to "walk away" and enjoy residual income for the rest of your life while the income continues to flow indefinitely and you can live happily ever after. This sounds like a fantastic deal, doesn't it?

If it were true, it would be a fantastic deal, but it is more than likely complete nonsense. Build it right the first time and only build it once? So, what happens to the 50 percent or more of Amway employees who quit within the first year, as well as the nearly 100 percent of employees who don't last five years in the company? How can income be sustained when so many independent business owners (IBOs) never do anything and approximately half of those who quit do not re-start their businesses?

If IBOs come and go like there is a revolving door for entering and exiting the business, how does a business generate income in this situation? If the diamond is no longer there, who will hold the company together and who will provide assistance to the leaders who are left behind? It's similar to constructing a sand castle on the beach. Even though the sand castle may remain standing for a short period of time, once the tide comes in, the waves will quickly destroy it. When someone leaves an Amway business, it is similar to how attrition will eat away at a company's profits.

Even if this ridiculous claim were true, why hasn't anyone taken advantage of this opportunity? Surely there would be a few good examples of people doing just that, walking away to a quiet retirement in privacy and untold wealth. As a result, we see the same old, worn-out diamonds schlepping tools and functions to the bottom line over and over again. IMO, it has reached the point where these diamonds should be ashamed of themselves for pushing tools and functions down the chain.

It is impossible for the diamonds to walk away because once they do, the income stops. For a while, there may be some residual income, but the diamond will become ineligible if a platinum or two down line fall out of qualification at the same time. And this is due to the fact that the Amway business, with its high attrition, is simply not self-sustaining. Rather than taking my word for it, find a few IBOs who built it once and built it right, then walked away to enjoy life-long residual income as a result of their efforts.

Please feel free to return to this page and report your discoveries.

Broke

 As a child, I remember my Amway upline telling me that our group was "broke." He claims that we are not bad people, but that our financial situation is the result of our way of thinking. That we somehow believe that working 40 hours a week for 40 years will solve our financial problems in the long run. That we needed to change our way of thinking and get away from the broken-down state of mind. Everyone who had a job, it appears, was out of money because working was not the solution. However, even though you are told that Amway is "hard work," for some reason this does not qualify as work in the context of having a job.

According to legend, the diamonds believed they had it all figured out because they were able to play all day and all night without a care in the world. They have the right frame of mind because they have a business that generates income for them while they are engaged in other activities. They are the best business minds because they possess a wide range of skills. At least, that's how it appears.

When a WWDB triple diamond filed for chapter 7 bankruptcy a number of years ago, no explanation was ever provided to the public. Despite the fact that there are publicly available records of it, some IBOs categorically denied it. The faithful, on the other hand, were adamant in their defence of the diamond, claiming that they were fortunate to have received advice from someone with his business acumen. That, despite his prudent decisions, resulted in credit card debt that he was unable to pay off and loans that he defaulted on, prompting him to file for bankruptcy protection. So much for the financial acumen and integrity that IBOs are so fond of prancing around about.

Another point I'd like to make is this: Nobody knows how well or how poorly the diamonds are doing financially. Even though they put on a good show, does anyone have a copy of their tax returns or bank statements? How do you know that the diamonds aren't in the same financial straits as everyone else? A luxurious lifestyle is not inexpensive, and diamonds do not bring in millions of dollars as the media would have you believe. A large number of them, like many other Americans who live beyond their means, are almost certainly in debt. It doesn't matter if you make more money than the average person; you can still spend more than you earn. Take a look at Amway's financial disclosures. A Q12 diamond (Q12 diamonds are the exception, not the rule) generates approximately $600,000 in gross income. A regular non-Q12 diamond (which is the norm) produces significantly less. Even with supplemental income from tools and functions, you aren't buying mansions and $100,000 sports cars with your hard-earned money.

Many diamonds are likely to be bankrupt if IBOs are insolvent, and vice versa. The only difference is that the diamonds don't come out and say they've done something wrong. Instead, they put on a show to rip off their downlines using rah rah tools and functions. It is more accurate to compare the diamonds to actors who put on a show for their downline to watch.

Amway And The Holidays!

 A number of years ago, I was an Amway Independent Business Owner (IBO) in a different state. At times, it is possible for IBOs to become social pariahs because they attend social gatherings with the intent of soliciting business. In any case, they will only be able to attend events that are compatible with their Amway schedule. Amway diamonds would teach about vertical alignment, which means putting God, family, and your job first, and then Amway would fall in line behind them, which my husband and I thought was amusing at the time. While doing so, you were expected to attend each and every meeting and function that was planned for the day.

Being at social gatherings with the knowledge that some IBOs may be looking at you as a potential Amway prospect must be uncomfortable at times. It is not uncommon for IBOs to be a little bit ruthless when it comes to searching for potential recruits. Because, as previously stated, you will not be able to achieve diamond status unless you have a large number of IBOs in your downline. Some of these wacky things happened to me while I was working as an Amway Independent Business Owner (IBO), but fortunately I saw the light and snapped out of my Amway trance relatively quickly.

As a result, that is what I would advise Amway Independent Business Owners to do. Wishing you a Merry Christmas and asking that you refrain from prospecting for the next two weeks. Take advantage of the holidays even if you don't have a specific purpose for doing so. During the next few weeks, you should not be concerned about Amway because you will be spending time with your friends and family. The world will not come to an end, and it is extremely unlikely that it will do so. Taking a break from recruiting for a few weeks to enjoy the holidays will not have had a negative impact on your company's performance.

What ever the new year brings, I am confident that you will make it through to the other side and that life will continue. Your upline diamonds are almost certainly pushing something called Dream Night or something along those lines by this point. Despite the fact that it is a virtual event, you will have the opportunity to ride in sports cars, jet skis, and other luxurious vehicles during the event. All of this is intended to inspire you to "dream" so that you will be inspired to continue building Amway. The cost of attending dream night is typically $75 or more per person, but this year's event will most likely not include a dinner as well as the usual entertainment and activities. Last but not least, the diamonds are paid for by you and thousands of other IBOs who are paying for these functions and additional tools. This is how the things you might see during your dream night sessions are funded.

Do you still have doubts about my claims? Make the necessary calculations.

What’s Next For Amway?

 It has become abundantly clear to me that Amway and its related systems, such as the worldwide group or network 21, are solely concerned with extracting money from their IBOs. Because of the extremely low rates of success, it is clear that your chances of winning the Powerball lottery are significantly better than your chances of building and maintaining a profitable Amway business.

Simply taking a look at an Amway function, where you may have tens of thousands in attendance and only a few diamonds speaking, you will see that the ratio is about right. Moreover, this does not include those who sign up and then drop out without completing much of anything. Even that leaves you scratching your head. So what would be the point of signing up for a business opportunity and doing nothing with it? Perhaps it wasn't what you expected, or perhaps it was marketed as simple?

In today's news, I learned that a covid vaccine appears to be promising, and that it may be available very soon. So, once the vaccine is available for use in the United States, society will be able to resume its normal functioning again. This is fantastic news, however, it also means that upline will have to work twice as hard to ensure that tools and functions are sold to the general public so that their diamond lifestyle can continue.

I really just hope that the readily available information will allow prospects to learn everything they can about Amway so that, even if they are dead set on joining, they can do so with the knowledge of the dangers that Amway and the systems can prevent them from encountering. When I first started, there wasn't a lot of information available, but these days everyone has access to it. Upline discourages people from checking the internet and talking to people who have joined but then left the company for this reason. This is due to the fact that you are more likely to fall for reasoning and not join.

For this reason, I have continued to blog and keep this website current so that information seekers can find the information they require while also learning about my own personal experience. I do it as a hobby, and I've been a little behind on new articles lately because I've been spending a lot of time following the presidential election and the stock market. Good luck to everyone who visits Joecools blog and decides to participate anyway!

What Is The Truth About Amway?

 "The Truth About Amway" is a website that I found amusing because it is run by an Amway apologist who employs a lot of misinformation and obfuscation in order to promote Amway as a legitimate business opportunity, which I thought was amusing. A good Amway company exists somewhere, where IBOs actually sell products and make a profit, but where exactly is this good Amway company to begin with? Is it in the United States?

As Amway has stated, approximately half of independent business owners (IBOs) do nothing, and approximately 90+ percent of IBOs do not survive more than a few years after starting their business venture. As a result, diamonds make their money by selling tools and functions to Independent Business Owners (IBOs) just before they awaken from their Amway trance and decide to leave the company. The term "churn" is used to describe this phenomenon, which I previously discussed in my previous article.

Due to churn, diamonds do not care about your success, and they do not care if you make a single cent in Amway as a result of your participation. All they want is for you to adore them and to continue to blindly purchase tools and functions because that is how they are able to support their extravagant lifestyle and support their extravagant lifestyle.

So, what exactly is the backstory to Amway's success? However, the reality is that Amway's revenues have been declining or remaining flat for several years, and I cannot imagine that there has been a sudden surge in demand for overpriced generic products as a result of the introduction of covid. It is a fact that diamonds earn a significant amount of money from tools and functions, and they pass these costs down the line without considering whether or not an IBO's business justifies the expenditure. Nevertheless, the truth is that diamonds have occasionally broken away from their adoring uplines in order to form their own tool groups of their own.

In essence, the Amway business is made up of two distinct entities: Amway Corporation and Amway International. Amway is an example of a company that serves as the public face for the tool and function industries. In the same way that a criminal organisation may use a restaurant as a base of operations for their criminal activities. Because of this, Amway benefits from diamonds teaching 100 PV minimum and product loyalty, in addition to the massive recruiting done by the rank and file; in exchange, diamonds soak their downline by selling useless tools and functions right under the noses of Amway's employees, which the company allows to occur without repercussion.

At its core, this sums up what is known about the Amway corporation. You can choose to believe it or ignore it at your peril, but neither option is recommended.

Amway is a firm that engages in multi-level marketing, often known as MLM, and distributes a variety of health, beauty, and home care goods through a network of independent business owners, also known as IBOs. Although Amway has been established for several decades and boasts a sizable network of independent business owners (IBOs) all over the world, there are many divergent points of view concerning the genuine nature of the firm and the way it does business.

On the one hand, proponents of Amway highlight the company's longevity, its extensive product line, and the possibility for Independent Business Owners to generate a considerable income through the operation of the business. In addition, Amway places a strong emphasis on the necessity of personal growth and training for its independent business owners (IBOs). This is done with the intention of assisting IBOs in becoming more successful in all aspects of their lives.

On the other side, detractors of Amway contend that the company's business model is fundamentally faulty, and that the vast majority of independent business owners (IBOs) actually incur financial losses while working toward their goals. They refer to the high expenditures of joining the firm and sustaining membership in it, as well as the pressure to recruit people and establish a downline, as factors that can frequently result in independent business owners overpaying on product purchases and neglecting other aspects of their lives.

In addition, several detractors of Amway have voiced their worries regarding the legal history of the corporation, which includes claims of pyramid scheme activities and unethical commercial methods. Even though Amway was able to successfully defend itself against these charges in court, the controversy has caused some customers to be hesitant about becoming engaged with the company.

So, what really is the reality behind Amway? As is the case with all MLM businesses, the truth most likely lies somewhere in the middle between the most ardent proponents and detractors of the enterprise. Although it is possible to make money through Amway, it is also true that a large number of Independent industry Owners (IBOs) find it difficult to achieve considerable success in the industry. Additionally, the high costs associated with participation might be a barrier to admission for certain people.

It is also important to note that although Amway's products are generally well-regarded, it is common for them to be more expensive than comparable products that are accessible in traditional retail settings. This can make it challenging for independent business owners to sell Amway's products in a manner that is competitive.

In the end, whether or not Amway is a suitable fit for an individual relies on a multitude of criteria, including their financial condition, personal ambitions, and desire to contribute time and energy to developing a successful business. Among these factors are whether or not an individual is willing to commit time and energy to building a successful business. It is essential for everyone who is thinking about being involved with Amway to conduct their own research, balance the benefits and drawbacks of the opportunity, and give considerable thought to the question of whether or not it is congruent with their priorities and values.

The Problem?

 In order for you to join Amway and follow their recommendations, Amway diamonds prefer to paint rosy pictures of what your life can be like for you. Basically, they claim that if you simply follow their advice and do what they say, you will be able to obtain what they have. It's impossible to imagine anything more far from the truth. While there are the occasional diamonds who overcome the odds to qualify, the vast majority of people are failing and quitting, causing them to lose money in the process of doing so.

The problem is that far too many people place too much faith in their upline diamond, to the point where it becomes dangerous. It's similar to being drawn into a cult and suffering the consequences of following dangerous advice and engaging in dangerous behaviour. The upline diamond is only concerned with you for as long as you are a consumer of tools and functions provided by the company. If you walk away, you will be remembered as a bitter, gutless, broke loser and quitter. And how's that for the "magic friendship" that your upline has been pitching?

One of the problems for many rank and file IBOs is that they believe their upline is truly concerned about them when in reality, they are only concerned about the money you spend on tools and functions to supplement their extravagant lifestyle. But only if they don't use the tools to their full potential. Diamonds would not be able to find the magical diamond lifestyle that they portray, in my opinion.

According to Amway disclosures, a Q 12 diamond, which is extremely rare, is worth approximately $600,000 when sold. That is a substantial income, comparable to that of a professional football player in the National Football League who earns the league's minimum wage. Does that sound like enough money to pay off mansions and Ferraris in cash, though, to your mind? That is what diamonds claim to be, that they lead a cash-based existence. To add insult to injury, the average non Q12 diamond is worth less than $200,000. Is this the kind of income that enables you to live a first-class lifestyle in a first-world country?

Even though you could argue that they do not have a job, I believe that the majority of diamonds live an ordinary middle-class lifestyle after taxes and business expenses have been deducted. The downside is that they do so without the security of a regular source of income. Diamonds, on the other hand, are concerned about job security, which is why they put pressure on the rank and file downline to generate as much income as possible. If the diamonds didn't do this, I believe many of them would be in debt or living paycheck to paycheck like the rest of the country, with the exception of a few diamonds who are extremely fiscally responsible. However, how do you accomplish this while also maintaining a diamond lifestyle? This is the crux of the problem.

The Key To Success?

 Upline would tell the audience over and over that the most important factors in achieving success are the tools and functions available to them. Although tools and functions are critical to success, they are only critical to the success of diamonds and higher-ranking officials, which is ironic in some ways. Take a moment to consider the ramifications of this. However, the diamonds fail to mention that a significant portion of their luxuries are derived from profits from tools and functions.

Prior to the invention of the diamond, diamonds would lie and claim that no profits were made from tools and functions; however, that lie is now impossible to defend, and diamonds may instead state that profits are generated but minimise the amount of profits generated. When a triple diamond filed for chapter 7 bankruptcy in 2009, the financial information about his earnings was made publicly available, which proved to be an eye-opening piece of evidence. This week, it was revealed that the triple diamond earned approximately half a million dollars per year from Amway, which is a respectable income but not the Uber-like fortune that many people had hoped. Aside from that, this diamond generated approximately half a million dollars per year in revenue from tools and other functions.

This diamond accumulated credit card debt as a result of his million-dollar income and eventually became unable to pay his debts on time. I also didn't notice any charitable contributions on his tax returns, which was a surprise to me. Though one million dollars per year is a substantial sum of money, it is insufficient to fund the purchase of mansions and a fleet of high-performance automobiles, as an example. The lifestyle of a diamond is expensive, and I believe that the average diamond will not be able to maintain such a high-priced lifestyle. Diamond tools and functions appear to be critical in maintaining a diamond's financial situation, according to the evidence available.

Take into consideration the following: A higher profit margin is achieved from tools and functions, as opposed to income from Amway products, and unlike the Amway compensation plan, ranking and file IBOs do not receive any compensation for the number of tools they move. Consequently, the diamonds will exert significant pressure on the tools and will not tolerate any resistance from the tools. Also, it explains the lack of concern your lifelong Amway uplines have for you once you cease attending events or purchasing Amway products. The bitter and broke losers who have given up on themselves are now yours to join.

If you are a diamond in the rough, the right tools and functions will be critical to your Amway success in the long run. However, this does not apply to the average man or woman on the street.

Recruiting in Amway?

 In order to achieve diamond status as an Amway Independent Business Owner (IBO), the ability to recruit anyone and everyone into one's Amway business is one of the most important aspects of being an Amway Independent Business Owner (IBO). Without a significant amount of down line, it is impossible to earn the higher bonuses. Additionally, to reach the diamond level, you must develop at least 6 groups that are platinum or higher in quality, which is not possible without a significant amount of down line. There are additional requirements, but I'm only referring to the general requirements at this point in time.

In order to make a profit, a new IBO would be better served by learning how the business operates, selling some products, and putting in the necessary effort to turn a profit. I believe it would be difficult, but not impossible, to accomplish this. Due to the fact that upline sells hope and dreams, particularly those that can only be realised through rabid recruiting, it is in this area that the emphasis is placed.

Furthermore, recruiting is difficult because Amway has a negative reputation among the general public, and much of that reputation is unfavourable to the company. Some of the behaviours of previous IBOs are still evident, such as lying to get people to attend meetings or deception to get people to attend meetings. Even today, on the internet, there are still horror stories about previous IBOs to be found. There are some testimonies from others who have also travelled down the Amway path that I've included in my own personal account. It is littered with the figurative dead bodies of those who have attempted and failed to make it to the finish line.

It has been a long time since Amway was accused of operating an illegal pyramid scheme. This was due to the fact that they did not compensate people for recruiting and that they sell actual products as part of their overall business. Despite the fact that this is a broad generalisation, there is more to it than that. In any case, let's be honest: if there isn't any compensation for recruiting, why does it appear to be the primary focus of so many newcomers and recent recruits?

Even though the majority of new IBOs don't know much, they are aware that they won't get very far unless they have a significant number of down line members, and that they will not get very far unless they have a significant number of down line members. In the unfortunate event that you win a significant prize in a lottery, your chances of winning are about the same as your chances of winning a diamond ring. Except for the fact that, aside from purchasing a lottery ticket, there is absolutely no effort required to participate. In the event that you have read this and decide to join and build your own downline, I wish you the best of luck.

Haugen, Randy & Valorie Amway

Haugen, Randy & Valorie Amway

•  During the TEAM conflict, he was fired.

Diamonds in the Downline

• Randy & Valorie Haugen, Double Diamond, Legacy Business Group/TEAM, United States, Terminated
• Steve Bybee and Caroll Diamond, Diamond, United States, InterNET
• Kerry Pipkin and Annette Diamond, Diamond, United States, InterNET
• Bruce Anderson and Wendy Diamond, Diamond, United States, InterNET
• Wade Cowart and April Diamond, Diamond, United States, InterNET
• Jim & Kelly Law, Diamond, InterNET, United States
• Diamond, United States, InterNET, Terrell, Rob & Stephanie, Terrell, Rob & Stephanie, Diamond, United States, InterNET

TEAM, 

• Glen and Linda Wallentine, Diamond, United States, InterNET
• Russ Ence and Lisa Diamond, Diamond, United States, InterNET
• Steve & Cathy Wulfenstein, Diamond, United States, InterNET

• Sherrill Lambson and Kathy Diamond, Diamond, United States, InterNET
• Kelly and Connie Robbins, Diamond, United States, InterNET
• Randy and Susan Walker, Diamond, United States, InterNET
• Bill & Lisa Bergfeld, Diamond, United States, InterNET
• Hughes, Mark & Martha, Diamond, InterNET, United States
• Hank & Martha Aldredge, Diamond, United States, InterNET
• Diamond, United States, InterNET & TEAM, Terminated, Smith, Lance & Tracey, Smith, Lance & Tracey, Smith, Lance & Tracey, Smith, Lance & Tracey, Smith,
• Diamond, United States, Jerrel Emery & Leslie Leslie Emery & Leslie Leslie Emery & Leslie Leslie Emery & Leslie Leslie Emery &
• InterNET, Vision Global, Masacarnas, Saul, Diamond, United States, Masacarnas, Saul, Diamond, United States, Masacarnas, Saul, Diamond, United States
• Salvador Ortiz & Lupita Diamond, InterNET & Vision Global, United States
• Diamond, United States & Mexico, InterNET & Vision Global, Luis & Lul, Luis & Lul, Luis & Lul, Luis & Lul, Luis & Lul, Luis & Lul, Luis
• Executive Diamond, United States & Mexico, InterNET & Vision Global, Bazan, Francisco & Geovana
• Executive Diamond, United States & Mexico, InterNET & Vision Global, Alfredo Medina & Silvia Medina
• Diamond, United States, InterNET & Vision Global, Adan & Francisca Ledezma & Francisca Ledezma & Francisca Ledezma & Francisca Ledezma & Francisca Le
• Diamond, United States & Mexico, InterNET & Vision Global, Ignacio & Dora Alvarez & Dora Alvarez & Dora Alvarez & Dora Alvarez & Dora Alvarez & Dora Alvarez
• Rafael Navarro & Alma Diamond, InterNET & Vision Global, Mexico

Two notable personalities in the worlds of business and entrepreneurship are Randy Haugen and Valorie Amway. Both of these people have had tremendous success in their respective fields of endeavor, and they are widely recognized for their qualities of leadership and innovation, in addition to their unwavering commitment to assisting others in realizing their ambitions.

Randy Haugen is a prominent businessman and entrepreneur who has built a name for himself in the field of network marketing. He is a member of the Million Dollar Round Table. He is the creator of the Haugen Group, which is a company that offers services including training and coaching to business owners and entrepreneurs who are interested in expanding their companies.

The road to success for Haugen has been everything but straightforward. He spent his childhood in a rural community in North Dakota, which instilled in him an early appreciation for the value of diligence and perseverance. Following his time in the military, Haugen tried his hand at a variety of jobs before coming across network marketing. Haugen saw this as an opportunity to achieve the level of financial freedom he desired and to craft the kind of lifestyle he desired.

Haugen has amassed a wealth of knowledge in the field of network marketing over the course of his career and has been instrumental in the accomplishments of an endless number of individuals thanks to the training programs and coaching services he provides. He has been published in a wide variety of newspapers and media channels, in addition to being in high demand as a speaker and trainer.

In addition to being a successful businesswoman, author, and public speaker, Valorie Amway is well-known for her achievements in the field of network marketing. Amway, much like Haugen, had a childhood spent in a rural community, where he was instilled with an appreciation for the value of toil and grit from an early age.

When Amway first learned about network marketing, she saw it as a potential to become financially independent and establish the lifestyle she desired. This discovery marked the beginning of her journey to success. She rose to prominence in a short period of time in the business world, and today she is recognized as one of the most influential figures in the fields of entrepreneurship and personal growth.

Amway is the company that founded the Amway Center for Entrepreneurship, which is a place that gives entrepreneurs who want to start their own firms or expand existing ones access to training and coaching services. In addition to that, she is the author of a number of publications, some of which include "The Power of Positive Thinking" and "The Entrepreneur's Journey."

Haugen and Amway have established a fruitful business relationship that has been instrumental in the accomplishments of a great number of business owners. They have pooled their knowledge and experience to provide educational programs and coaching services with the goal of assisting others in overcoming the challenges that are frequently in the way of achieving their goals and becoming successful.

They have placed a strong emphasis on their own personal growth, which has been one of the primary contributors to their level of success. They are of the opinion that an individual's level of personal growth and development has a direct bearing on their level of commercial success, and as a result, they have designed programs to assist business owners in developing the mentality and abilities that are necessary for commercial achievement.

Their dedication to assisting those in need was another factor that contributed to their level of success. Both the Haugen family and the Amway family have a strong commitment to assisting others in accomplishing their objectives, and they have instilled a culture of service within their respective companies to inspire others to do the same.

Both Haugen and Amway are committed, in addition to the work they do in the business sector, to giving back to the communities in which they live and work. They have both made it a priority to use their prosperity in order to have a beneficial effect on the world, and they are both active participants in a number of different philanthropic organizations.

In summing up, Randy Haugen and Valorie Amway are two extraordinary people who have accomplished an unbelievable amount of accomplishment in the realm of business and entrepreneurship. They have become important characters in their respective areas as a result of their leadership, ingenuity, and dedication to assisting others. As a result, they have motivated a great number of people to follow their own aspirations of achieving financial and professional success.

In Defense Of Amway?

 In the past few years, there has been more discussion about Amway, with both critics and defenders expressing their viewpoints. The lengths to which some defenders went, on the other hand, ranged from outright nonsense to downright creepy in places. It came to my attention that some defenders were attempting to debate the quality of Amway toilet paper, and at least one defender was referred to as a "cyber bully" by a corporate blogger working for the company. I've even witnessed a number of unwarranted personal attacks directed at critics, which I find to be particularly offensive.

People making net profits, it appears to me, is the most straightforward way to defend Amway. The only thing holding Amway's defenders back is the fact that they are unable to do so in any meaningful way because the company's own disclosures discredit the vast majority of the company's claims of success. There is only a slight increase in the number of IBOs who take any action. According to what we can tell, they sign up and then vanish without a trace. That appears to be a source of concern in and of itself.

The other members of the group, on the other hand... For the most part, these people are following the instructions of a sponsorship line that may include WWDB or Network 21, both of which are for-profit corporations that exist to make money for the diamonds and higher-up executives even if you lose your shirt in Amway. To the surprise of no one, it is the costs of the tools and functions that cause business losses for nearly every one of the IBOs who take part in this initiative.

It is frequently argued by Amway's most staunch core defenders that somewhere out there is a good Amway in which IBOs sell products to regular customers, generating profits that cover the costs of tools and functions, and eventually moving up the ranks until they are net profitable and replicating these results with their down line. When confronted with evidence of these organisations, Amway defenders either fell flat on their faces or resorted to personal attacks, name-calling, and even cyber bullying at various points throughout the investigation.

It is true that there is such a thing as a "good" Amway, but I have never encountered or heard of one. During the year 2006, a friend of mine had the equivalent of an emerald business, but he did not participate in the business's tools and functions. The company did, in fact, sell a large volume of products and had a significant number of down line employees. It was her assertion that the money was adequate but not exceptional, and that the business was, in essence, a full-time job. According to what I've heard, she is no longer a part of the situation. I've never heard of anything like this before, and this is the first and only instance I've ever heard of.

Is there anyone out there who knows where I can get my hands on this fantastic Amway?

Diamonds Pay Cash? Amway

 What the audience learned about diamonds was that they can be used to purchase anything, including houses, in the form of a cash payment. Even though it appears to be impressive, when you look at the value of a typical diamond, you will find yourself scratching your head in confusion. Q12 diamonds generate approximately $600,000 in revenue per year, according to Amway. While this is a significant amount of money, a Q12 diamond is a rare exception. Approximately $150k per year is earned by the average diamond (not necessarily a Q12).

If a diamond earns only $150k in gross income before taxes and business expenses, she will be unable to afford even the most basic of Mercedes Benzes, let alone pay for one out of her own pocket. The purchase of large-ticket items such as a house in cash appears to be out of reach, even if the diamond augments that income with income from tools and functions. Additionally, incorrect teaching can have tragic consequences if the diamond is not properly trained. As an example, I will use myself and my former sponsor as a real-life case study to demonstrate my point.

A few years after I left my position with Amway, I bought a house in Hawai'i for myself and my family. When I bought my house in 2000, it was worth $400,000; today, the current market values it at approximately $1 million dollars. My mortgage is almost completely paid off at this point in my life. My real estate agent contacted my sponsor, who in turn contacted me, and so forth (the agent was a friend of mine and my sponsor). My sponsor refused to consider purchasing a home as a result of his upline's insistence on making a down payment in cash. According to the most recent information I have, my former sponsor, who is now a doctor, continues to be without a place of his own to live.

Find a perfect example of poor Amway advice that had a direct negative impact on someone's life by clicking on the link below: I'm not sure if my former sponsor is still actively involved in Amway, but looking back, he made a big mistake by opting out of the housing market because he preferred to pay cash instead. In any case, diamonds don't teach you anything about financial leverage, which is a shame considering how low mortgage rates are at the present time.

Everything diamonds are buying in cash — including expensive items — is, in my opinion, a load of bullsh*t. When he filed for triple diamond bankruptcy about ten years ago, he had mortgages he couldn't afford to pay and credit card debt, which made his financial situation public knowledge. As a result of this diamond's teachings, many people have learned that taking out loans is a bad idea because you must pay interest to the bank.

Keep in mind that diamond teaching and advice should be taken with a grain of salt. Verify any disputed claims and maintain your scepticism throughout the process. It is possible to get yourself into a lot of trouble if you place your trust in someone without thinking about it. As an example, consider the case of my former sponsor. Just looking at it makes me want to throw up my hands and shake my head.

Buy Your Way To Prosperity?

 If there is one thing I can attribute to Amway diamonds, it is the ability to come up with the most outlandish ideas that sound reasonable to IBOs but are completely insane to anyone else. It has been brought to my attention that you can purchase your way into financial security and success. Spending money on your own Amway products and encouraging others to do so will put you on the path to early retirement and residual income in no time.

When was the last time you saw a store or business thrive in spite of the fact that the vast majority of its sales were to the owner and his or her employees? Because such a business does not exist, it is not possible to provide an answer. Amazingly, people still believe that you can make money by selling your own products, despite the overwhelming evidence to the contrary. The diamonds, on the other hand, are able to continue the storyline because it operates on the lower level.

According to the diamond, IBOs should ask prospects if they enjoy selling things, and regardless of whether the answer was yes or no, they should respond with "great, then this business is perfect for you." During a live function, I was witness to something like this. Actual reports of significant retail sales were, of course, few and far between, and my own observations indicated that sympathetic family and friends accounted for the vast majority of any sales that did take place. I even found myself having to sell items at my own expense in order to offset the costs of moving 100 PV, which I considered to be a necessary evil at the time.

It appears that the strategy of purchasing your own belongings is successful because most people dislike the idea of selling their belongings, especially to their friends. People are still willing to give it a shot, however, because they believe that Amway will deliver the wealth that their upline has assured them. The unfortunate side effect of living in a world where you only have dreams of wealth and little evidence of actual success is that you end up with nothing. Diamonds are used in every function, and they are the same old diamonds that are used over and over again in different settings.

Despite the fact that the diamonds claim to be interested in downline success, this is not the case. They are simply interested in continuing to replace departing members with new ones so long as they can continue to attract new subscribers to their tools and features. Since that is the fundamental nature of the diamond game, the tools and functions have been designed to be particularly effective at luring new players into the game. Prospects and new IBOs are completely unaware of this sophisticated scheme because their Amway dreams are clouding their judgement.

Cook, Frank & Nelle Amway

 Downline Diamonds

• Cook, Frank & Nelle, Diamond, IN
• Nolder, Jim & Vicky, Pearl, IN
• Keller, Gary & Janice, Diamond, IN
• Ransdell, Wayne & Rebekah, Diamond, IN

Cole, Richard & Louise Amway

 Louise Cole, nee Louise Williams, went diamond in the early 1980s while single; she later married (Paul & Louise Phillips), and subsequently divorced from him. Since then, she has remarried, and the couple is now known as Richard and Louise Cole. 

They were BWW Diamonds in the Mike & Eileen Limburg (Britt's frontline Emerald inactive) organisation, and they were married to a BWW Emerald. 

They have now become a part of LTD. Bill Britt is Louise Cole's first and most important upline diamond. Several diamonds and one EDC have been awarded to her by her organisation.

Bill Britt likes to say that he got two (diamond) legs for the price of one when it comes to diamonds. 

Neither the Miller nor the Cole organisations were founded by the same prospect, who has since departed.

One of their most well-known downlines is Founders Emerald Lee Kessler, who was a well-known actress in Hollywood for a number of years.

She was working as an aerospace researcher for the National Aeronautics and Space Administration (NASA) in Hampton, Virginia, when she came across this business idea for the first time.

"I went to William and Mary to study to be a math teacher, but I switched to physics to escape having to take a public speaking class - I was terrified of speaking in front of an audience!"

She had been invited to a hotel meeting by a coworker in order to look into a business potential. "That night, I met folks who were enthusiastic about what they were doing and who believed in what they were doing. 

That's what drew me to this line of work in the first place "Louise recalls a time in her life. "I discovered a workplace that was really bothered by the fact that I was a woman while working in this industry. 

I don't appreciate being treated differently or worse than other men or women in the workplace simply because I am a woman. 

I just want to be recognised for the work that I do, plain and simple. That's just the way things work in this industry."

She was able to produce. Louise was the first single woman in the United States to attain Diamond level as a result of her hard work and determination. 

She has a very huge international organisation with hundreds of Platinums, several Rubies, and Emeralds as well as a downline Diamond and EDC organisation.

The ability to build significant personal relationships, achieve personal as well as spiritual growth, and be able to assist others in assisting themselves has been the most rewarding aspect of this company.

Louise's life has altered a great deal over the course of the last several years. "My first and only ambition was to be able to afford a sports vehicle, and that was all for the time being. 

My income, on the other hand, continued to climb until my part-time company revenue exceeded by a factor of several my NASA income. 

I filed my letter of resignation to NASA and, at the age of 35, I was no longer employed there! To this day, instead of going to work, I commute in a Mercedes and a conversion van for the kids, live in an exquisite home on a five-acre waterfront estate, and spend my mornings working out at the health club or playing tennis. 

I've travelled extensively around the United States and many other countries of the world, and I've been fortunate enough to be able to share many of these experiences with my parents and children."

However, the most significant shift has occurred as a result of her decision to become a single parent. "I married shortly after becoming a Diamond, and we have two amazing children, Andrew and Jessica, who are the joy of my existence. 

As a single parent, I am grateful for the stable lifestyle that this business provides for me and my children today. 

We adore this business and the freedom it has provided us, allowing us to travel wherever we want, whenever we want - and always with each other. 

The freedom to be oneself, both personally and financially, is liberating. This country provides me with the opportunity to exercise my freedom by operating my own business, which I appreciate greatly."