Wednesday, 8 July 2009

Focus on real issues Amway apologists

Arch-'Amway' sophist, David Steadson, is still trying to divert the attention of your readers from the real issue.
In reality, there are only three essential questions which the Indian: public, journalists, law enforcement agents and Judges should be asking:
1. What proportion of the transactions that 'Amway's' instigators arbitrarily define as 'sales' have been made to individuals who are not agents of 'Amway?'
2. How can an (effectively) closed-market without authentic retail customers and , therefore, no real external revenue, produce a profit for the majority of its contributing participants?
3. Other than the external presentation, what exactly is the difference between what 'Amway's' instigators peddle to their victims and what Bernie Madoff peddled to his; namely an infinite share of their own finite money?
David Brear

1 comment:

IBOFB said...

Are, you see, this is where the anti-amway zealots twist reality and ask leading questions in order to try to back up their own delusions.

How about also asking "what proportion of people who are registered with Amway are acting as "agents" and trying to earn an income?

Signing a form that allows you to be an agent does not make you an agent.

Brear would have us believe that people are stupid, for if you like more than one or two Amway products, it often makes economic sense to register as an agent purely to get member pricing. Pay a few bucks a year to get a 30% discount!

But Brear and other anti-amway zealots believe that to desire products at a cheaper price means your desire is no longer legitimate! Instead, pay more and Brear will believe you!

And even then, he believes that if you actively sell a companies products, then there's no way you could want to use the products yourself ... that a Volvo salesman who buys a Volvo is somehow doing so not out of desire for a Volvo, but that he must have been conned in to it, believing that by buying Volvo's he'll get rich!

Such is the logic of Mr Brear and his ilk.

But let's address his leading questions anyway ....

1. According to the judgement in BERR vs Amway UK, KPMG audited figures indicate that around 40% of Amway sales in Brear's homeland were to people who had no connection at all with Amway, so even his delusion plays no role.

2. Let's assume 100% "internal consumption" for the purpose of humouring Brear. How can "the majority" profit? While there's probably some theoretical manner in which more than 50% could profit, I'd say in general they wouldn't. If everyone was trying to profit, then this would be a problem. Clearly though this is not the case. There are many people (like me for years) - who are members, but are not trying to sponsor anyone, not trying to sell any products, not trying to make any money. We are simply retail customers buying at a cheaper price. IBOs who are trying to profit are earning profit margins of 3%-35% on those type of sales. They are not "participants in the scheme". Some jurisdictions even make this clear for the sake of the likes of Brear -

A participant in a plan is an individual who actively engages in the activities necessary to realize the benefits of the plan. (Canadian Competition Bureau)

It seems Brear thinks Amway is a scam because you don't make any money for doing nothing!

3. Let me see, people give Madoff money in return for ... nothing. People give Amway money in return for ... award winning world leading products

It's clear from his very line of question that a fundamental component of Brear's delusion is that he believes Amway products are worthless. If they were, then there might be some rationality to his rants.

Out of interest Mr Brear, how many of Amway's 450+ products have you actually tried yourself?