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Pyramid Scheme? Do You Even Know What That Is?

As a small business entrepreneur, sometime I have some interesting dialog with potential business partners that I am interviewing. For some reason, people think that if you are in Zija, you are operating a pyramid. I think that is funny. When un-informed people mistakenly classify my business as one – I simply ask them: What exactly do you mean by pyramid? You mean like your job?

First of all, pyramids are illegal. The US Government cracked down 20 years ago on scammers who were passing money around to develop profit without a product involved. For some reason, people have the mis-conception that any business that someone is running from home is a pyramid. So back to my question. You mean like your job?

See every corporation and government entity is set up in a hierarchical structure. A private that enters the US Army cannot earn more income than his Sargent  no matter how ever more talented a soldier that Private is. A Captain can never make more than their General. A General cannot earn more income than the Secretary of Defense, no matter how many campaigns he has won.

pyramid-scheme

Here’s a first hand example. Many years ago I spent a portion of my career working in the hospitality industry at one of the biggest hotel companies in the world. I worked at the corporate headquarters in Tennessee. As a member of the information technology staff, my team was sent out to “Mr. M’s” house in Nashville on one occasion to setup his office chair and desk. After finishing our work, “Mrs. M” asked if we had an interest in checking out his “Mr. M’s” car collection out in the garage.

As I walked into the garage, I almost had to squint my eyes because of the massive collection of metal, glass, and steel. I was in a museum, or I thought. See this was no ordinary garage, it was at least 50 yards long, gleaming white floors, lights everywhere, and not a spot of grease. Oh, it contained AT LEAST 20 exotic cars. In one section was a Mercedes Benz that Hitler had given some actress back in the 40’s. She had a crazy story about half of the cars in there – I wish I had my camera with me!

As I rounded the corner, suddenly appeared a row of 7 or 8 BRIGHT RED FERRARIS. One or two from the 60’s, one from the 70’s, two from the 80’s, a couple from the 90’s and 2000’s. Every single one of them looked as though it had never, ever, been driven. It was a wave of red so clean and bright that I will never, ever, ever forget it.

See in Mr. M’s corporation, there must be 400,000 or so employees worldwide. NOT ONE, I repeat, NOT ONE OF THEM, even owns ONE Ferrari. None. Nada. Ziltch. That my friends, is a pyramid. There is no possible way that the President of a corporation and can ever make more in that company than that Owner/Chairman of the Board. It is IMPOSSIBLE, for anyone of the dozen or so Executive VP’s to make more than the President. None of the Sr. VP’s make more than the Executive VP’s. The couple hundreds VP’s could no way in heck make more than the Sr. VP’s…shall I go on? How about the managers, supervisors, department heads, cubicle workers? You’ve got it…it’s a hierarchical structure in which you can never, ever outearn the person you report to.

Home based business is completely the opposite.  Zija  gets such a bad wrap but  provides a level playing field. See even in Zija you can outearn the person who set you up in business. It’s true. Although that person would take a slice of your commission forever, if YOU are the only person they set up, their “one-leg”, but you have two o”legs” that you’ve developed, you are compensated more. You could have 12 or more income streams coming in earning you a higher percentage of the overall business profit than the person above you who only brought in one person. Trust me, it’s a fact. So a person that got into MLM 25 years ago, but only registered ONE associate, and 20 years later than one associate led to you, who registered hundreds of personal associates, you would be compensated more that the guy who got in 20 years ago. Look into any of the Federal Trade Commission rules that stipulate how a multi-level compensation plan must work. Believe it.

Zija is even more brilliant. See we set up people in business for themselves, but never by themselves. You’re taught by all those who came before you who have a sincere desire to see you succeed

Your job is a pyramid because you can never outearn your boss. That is not a bad thing, unless you want to make more than your boss. My old job was a pyramid because no one there earned enough money to own even ONE red Ferrari, let alone EIGHT. Educating your potential business partners using this example will help them understand how silly they sound when they call your business a pyramid. Educate, inform, provide answers, and be a problem solver.

 

 

 

There are 3 comments .

Ryan Harper —

Thank you for this great and concise insight into what a pyramid scheme is. This is important for anyone involved with MLM to understand and be proud of what we have!

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dono —

There are 3 thruths about MLM like Zija :

First, the Moringa IS something awesome, thought can be also dangerous (like any medicinal plants). Thought it’s used for good, it can be used for bad thing to.(Yeah, there are illegal drugs which make uses of it.)

Second, Zija is NOT equal to the Moringa. This is what loads of people fail to gasp. Zija is JUST a corporation which make uses of the natural plant for its products. It’s not because Moringa is awesome that Zija is the same. So, if some people say that Zija is a scam, it DOESN’T mean that the Moringa is a scam. It seems like, depending on where the member are situated, the quality of the system which Zija is based on varies and some higher members (in specific regions) might actually do some scamming on the sideways. On the other hand, in other regions, it’s well administrated. In other word, at the base, Zija is not a scam, but its system is lacking in security and revision and that’s a full-time risk to change anything it’s related to into a scam.

As last, Zija is not the only corporation/company/brand that sells moringa related products. For someone who really think it’s a great plant for medicine, but doesn’t wish for all the hassle of launching a product (including production, distribution, storage, etc.), companies like Zija are what people are using to “start their own small business”. They pay to get things faster and easier and, if they do it right, they might end up successful or not. In other word, investing in Zija and getting access to its products, even as awesome as it might be, doesn’t offer a guaranty to profits! You pay, you work and you might get more then you have invested. It’s the same as starting from scratch, but you just have it easier (on the product-related issues) and have less to invest to start. The downside is that you’re stuck with the Zija brand and the merits of the product is never recognized to be yours. In other words, you become a distributor, not the maker/creator of a product. You’re starting and staying on the bottom line of the production line.

This isn’t new. It’s actually how the pyramid scam actually have evolved into to become legal. (In other words, it’s like if pyramid scams business now have a syndicate to force rules.)

It’s the same thing with any chains like for fast food restaurant or being part of a specialized field group.

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c —

if you have to say it’s not a pyramid scheme, it’s a pyramid scheme.

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