Litigation

The Pink Truth about Direct Selling and the economy

By Tracy Coenen

All year long we’ve been seeing news story after news story about how “direct selling” (the name meant to disguise multi-level marketing and confuse consumers about the true intent of the companies) is a great option for making money during difficult economic times.

We know better! People are losing just as much money with MLMs as they always have, but no one seems to want to talk about this. These “direct selling” companies want consumers to believe their mission is to sell lots of products. The truth is that their mission is to recruit a lot of people under the guise of selling products… while the real business is the recruiting and frontloading of inventory.

The CBS affiliate in Philadelphia ran a story yesterday about the direct selling opportunity and the economy… and included a clip from an interview with me. It wasn’t much, but it’s a start! At least someone is letting the other side of the story be heard!

Full post as published by The FRAUDfiles Blog on August 06, 2009 (boomark / email).