a pyramid scheme
oh yeah Ackman must be real worried about rumored SEC investigation, that's why he made another big presentation the other day connecting HLF to Vemma
versus induced demand achieved by a proposed income opportunity"
the cult will be bashing him as much or more than they bash Ackman
•Market created by MLM is synthetic, based on a desire for income, not for a product. The products that Herbalife sells are only a pretext to hide a pyramid scheme.
again miss flutie you show off your ignorance just like you did with the FTC CID in March 2014
the final out come may not come for years as FTC and vemma fight it out in court, the question for now is if the judge at the hearing on Tuesday will keep it totally shut down or let it reopen partially
they already shut it down miss flutie the question is if the judge will keep it shut down ?
for over a year using a CID for subpoenas just like they are with HLF
their demise will go in court
after the FTC files an injunction against HLF like they did Vemma
“In reality, they are fundamentally the same.”
Income claims. Both Herbalife and Vemma seriously misrepresent the potential for income:
The bottom 93% of Vemma Affiliates earned less than $6,169/year.
The bottom 94% of Herbalife Sales Leaders earned less than $2,245/year.
Focus on recruiting. Both Herbalife’s and Vemma’s compensation plans are designed to incentivize recruiting
rather than retail sales.
Lack of retail profit opportunity. Neither Herbalife nor Vemma tracks retail sales outside the network.
Furthermore, it’s unlikely Herbalife or Vemma distributors could earn a significant retail profit on any retail sales they do make.
The substantive similarities between Vemma and Herbalife extend much further, while the minor differences between the companies, such as Vemma’s auto-ship and refund policies, are not material to the FTC’s central allegations that Vemma is a pyramid scheme.
Vemma top distributors making income claims. There must be hundreds or thousands of videos showing HLF top distributors doing that.
The issue boils down to is retail / consumer demand for a company's products and whether the so-called 10 customer, 70% rules could have an impact on Herbalife, just as they had on Vemma.
So why does this matter for Herbalife?
Bill Keep, PhD., an expert on pyramid schemes and dean of the School of Business at The College of New Jersey, tells ValueWalk that a key weakness in the 10 customer, 70% rules is allowing companies to interpret the term "retail customer" however they like. Indeed, the documents from the Bostick versus Herbalife class action case in California (which was settled) indicate that Herbalife has a very loose interpretation of those rules.
The company does recognize that "retail customers" exist, but its policies do not technically require distributors to sell to customers outside the network and so do not necessarily push product outside to end customers outside Herbalife's distribution network
The dean of a New Jersey business school has issued a warning to his students and to other college deans about the Vemma.
Yes it was Bill Keep the same pyramid scheme expert always warning about Herbalife.
and uses all the same reasons that Ackman and the shorts use to say HLF should be shut down
or what ever it takes and then put a limit order in to cover my 42 through 61 shorts at 6 to hit when it reopens