Tuesday, 28 April 2009

A crook never changes so is Amway India

It is like thief crying 'thief, thief'. Recently the Economic Times published a statement of the managing director of Amway who wants regulations regarding direct selling in India. He did not clarify what type of regulations he wants. Following is the excerpts:
The Government should learn from the experiences of countries like China and not wait for a catastrophe before bringing in regulations for direct selling in India, industry major Amway said on April 8, 2008 at New Delhi. "We have been asking the government for last nine years to bring in some legislation to protect the interest of industry and consumers... nothing has happened on that front... may be we were not able to market the concept properly," Amway India Managing Director and CEO William Pinckney told PTI. Narrating the experience of his company in China, he said Amway along with all the direct selling players were banned after an outcry among consumers against some fly-by-night firms. Later the government brought in rules which were to be followed by firms if they wanted to operate in China. "Why do we have to wait for any outcry in India for bringing in any legislation," he wondered and said as of now there were about 20,00,000 direct selling agents employed by all the players and presuming each one of them is linked with 10 customers than "we are talking about two crore population" in the country. "It will be in the interest of everybody if the government acted in this direction...There is not a country that I know of where the industry has prospered but doesn't have specific legislation relative to the industry," he said.
Interestingly, Mr Pinckney did not elaborate on 'public outcry'. The public cry against Amway India is already on and the Amway India is facing criminal charges in more than one criminal court in Andhra Pradesh. Now this how the Amway is trying to hoodwink the Government of India too as it has been hoodwinking the people of all over India. The direct selling concept it employs is totally different from what it actually meant. Instead of being exposed to its crooked tactics, it is trying to deviating the attention of the Government from its disguised money circulation scheme. The whole idea behind the Amway business is selling over-priced products and sharing the booty to line its pockets and its members' pockets. It is high time, Amway India Enterprises is thrown out of the country. A crook never changes.


Tex said...


Another magnificent, well written thread. Would you be so kind as to provide a link for your story? Thanks be to all Indians in advance of your information.

Regarding your last comment, "a crook never changes", don't you agree there have been positive changes in the UK? How can you say such a thing about the wonderful Amway company?

Shyam Sundar said...

The article was published in Economic Times on April 9. Thank you you liked the piece. You said the Amway UK has changed. A 10 pence product they used to sell at 10 pounds and now they may be selling at one pound. That does not make it good company. They are still indulging in money circulation scheme. It may not be a crime in the UK but in India that is a crime.

Tex said...

Thank you, my most gracious and helpful fellow blogger. I believe I found the article, it was actually dated 8 April, if you don't mind me posting the link here:


Regarding the UK, are you saying they were selling products for 100 times their market value, and are still selling them for 10 times their market value? Could you provide several examples of this? Thank you again for your generous help.

Anonymous said...

Shyam !

Have you ever wondered why you have been spending so much aleady on products for no reasonable value addition. You guys are so happy spending your Hard earned money on Aishwaryas and the likes for advertisements. I am surprised how you could be silent on being at the end of the supply chain spending your money on things that are not required. But you start questioning a corporation / model that gives you money back.

Shyam Sundar said...

Have you ever been made money by selling products or making money by recruiting more members into the scheme? Just answer this question.

Maverick said...

Its simple. Its direct selling. For a country like India, who really looks at quality? By those standards, a merc should be sold at the price of a nano and legislation passed to that effect. We are a social democratic republic after all.