Herbalife Hired Villaraigosa To Combat Tattered Reputation
October 10, 2013 Herbalife Ltd. (NYSE:HLF), the multi-level marketing company selling nutrition and weight loss management products, hired former Los Angeles Mayor Antonio Villaraigosa “seemingly as a way to combat its tattered reputation” among the Latinos across the country, according to Alma Morales Riojas, CEO of MANA, a National Latina Organization. According to Riojas, the latest move of Herbalife Ltd. (NYSE:HLF) in engaging the services of Villaraigosa is questionable. She believes that the former Los Angeles mayor does not fully understand the damage inflicted by the company through its empty promises to unsuspecting Latinos who want to start a thriving business but ended up earning less than the minimum wage and in debt.
Riojas said, “Villaraigosa should seriously reconsider this new endeavor and at the very least have Herbalife come clean on its practices.”
Riojas through MANA requested the Federal Trade Commission (FTC) investigate Herbalife Ltd. (NYSE:HLF) alleging that the company conducted “deceptive business practices and abuses.” According to the National Latina Organization, the company lured Latinas to become distributors by promising unattainable wealth and success.
In an article published by Los Angeles Business Journal, Riojas said that among the Latinas who were attracted by the “exciting business opportunity” promised by Herbalife Ltd. (NYSE:HLF) was her aunt. Riojas wrote, “During the years before her passing, I personally watched my proud tía as she enthusiastically promoted the products and thoroughly invested her time and energy in Herbalife’s many nutritional and weight-loss supplements as a distributor for the company, pouring her heart and soul into her business efforts.”
However, Riojas noticed that her aunt’s excitement begin to vanish as her home became filled with boxes and bottles of Herbalife inventory. She said her aunt “felt dismayed, disappointed and expressed deep disillusionment with the entire situation and herself.”
Riojas said, “The worst part was seeing her lose faith in herself.” According to her, the story of her aunt was not an exception because of the many recent widespread allegations and long history of questionable and secretive business practices of Herbalife Ltd. (NYSE:HLF), which should be reviewed by authorities.
Well that is heart wrenching. If she wants to send the product back she should do so. This is not for the people regardless if they are Latino or not who do not know how to build a plan and execute it. The mayor knows this company and all the good they generate and that is why he is a good hire. He is no crybaby victim but a make it happen guy.