What are the hazards of direct selling? Which direct selling is a scam?

Direct selling is harmless, and fake direct selling is pyramid selling or fraud. At present, many direct sales are fake, that is, pyramid schemes are fraud.

According to the definition of the World Direct Selling Alliance, direct selling refers to the direct sale of goods and services by manufacturers. Direct sellers bypass traditional wholesalers or retail channels and accept customer orders directly. Direct selling refers to the way that direct selling enterprises recruit direct sellers to sell products directly to the final consumers (hereinafter referred to as consumers) outside the fixed business premises.

Many people have been exposed to direct selling and even pyramid selling. The only difference between direct selling and pyramid selling is whether there is a license or not, whether it is legal or not. The only difference is whether it is legal or not. In fact, China is legally divided into legal pyramid schemes and illegal pyramid schemes. In order to distinguish it from illegal pyramid selling, we call legal pyramid selling direct selling.

However, since the concept of direct selling was introduced into China, the "direct selling" companies currently operating in China, whether foreign or domestic, with or without direct selling licenses, are not real direct selling. They are all "selling dog meat by hanging sheep's head", and on the surface, they adopt direct selling mode. In fact, they are doing a big scam of financing in disguise and inducing high consumption, which is a variant of Ponzi scheme and is covered with a legal coat.

When the forest grows up, there are good birds and bad birds. Similarly, everything has two sides. Let's just say it depends on the angle. Personal opinion: From the overall environment, this has solved the problems of entrepreneurship and unemployment of many ordinary people, as well as the problems of tax evasion and fake goods, and also helped many people improve their personal abilities.

However, there are inevitably illegal operations in the industry, which are in the development stage in China and are not particularly standardized. After all, the law is definitely slower than the status quo. In a word, the advantages outweigh the disadvantages.

Direct selling has flourished in North America and Europe and America, but it has not been opened in China. Now there are more than 70 direct selling companies, and tens of thousands of companies are waiting in line. Some well-known enterprises, such as Dong 'e Ejiao and Maotai, have already had direct sales to operate the market. Now is the direct selling trend. Grasping such a big trend and choosing a formal and powerful direct selling company will inevitably accelerate the pace and speed of success.