Where does MLM originate, what is its essence and what is its harm?

MLM originated in the United States in the late World War II, formed in postwar Japan and developed in China. MLM training materials are not only extremely inflammatory and deceptive, but also have many psychological factors, which are very tempting and deceptive. In foreign countries, pyramid selling and direct selling are the same meaning, that is, there is only one concept of pyramid selling abroad. The main idea of foreign MLM is: driven by the word-of-mouth generated by customers' use of products, let customers help distributors promote products and share some profits, that is, customers spread sales. This is two concepts with domestic pyramid schemes.

Chinese pyramid selling is a fake company, a fictional product, and everything is empty. Just let you pull people's heads and extract a small commission from the entrance fee or franchise fee. Or control personal freedom, confiscate property, so that you can't contact with the outside world, learn those MLM training materials every day, so that you can learn how to cheat, and then make a list, invite by phone or letter, show your cards and follow up until you pay the membership fee or franchise fee in various ways.

Chinese-style pyramid schemes focus on mental control, that is, after brainwashing through their pyramid schemes training, you can organize pyramid schemes spontaneously; Others will control your personal freedom, confiscate everything, and make you admit these lies through violence.

The essence of pyramid selling:

MLM refers to the behavior that organizers or managers develop personnel, based on their direct or indirect number of personnel or sales performance, calculate and pay remuneration to the developed personnel, or require the developed personnel to obtain the qualification to join on the condition of paying a certain fee, in order to seek illegal interests, disrupt economic order and affect social stability.

Since MLM was introduced into China in 1990s, some lawless elements have followed suit. They swindle and swindle under the signboard of MLM, encouraging lobbyists to pay high admission fees or subscribe for expensive fake and shoddy goods to join the MLM team. In the whole MLM network, only a few people at the top of the pyramid network really benefit. Most MLM personnel not only can't make money, but in the end they lose everything, and some of them go bankrupt and separate.

The harm of pyramid selling:

MLM and disguised pyramid selling not only seriously disrupt the normal social and economic order, seriously endanger social stability, but also cause great damage to the business integrity system and social moral system.

(1) disturbs the order of market economy and infringes on many legal objects. The illegal activities of pyramid selling and disguised pyramid selling are often accompanied by a large number of illegal acts, such as tax evasion, counterfeiting, smuggling, illegal fund-raising and illegal trading of foreign exchange. It not only violates the provisions of the state prohibiting pyramid selling and disguised pyramid selling, but also violates many legal provisions such as taxation, consumer rights protection, market order management, finance, foreign exchange management and so on.

(2) Damage to participants and their families. MLM and disguised pyramid schemes not only cause economic losses to participants, but also cause great harm to their families.

(3) Initiating a criminal offence, which brings harm to social stability. MLM caused most participants to lose too much blood. Some people live in different places, lead miserable lives and even commit suicide by jumping off a building. Some people are involved in theft, robbery, fighting, rape, prostitution, gathering people to make trouble and other illegal acts, which have seriously violated people's lives and property safety and social stability.

(4) It has caused great damage to social morality and credit system. Because the development targets of MLM personnel are mostly relatives, friends, classmates, fellow villagers and comrades-in-arms, their unscrupulous fraud means lead to a serious decline in the trust between people, which in turn leads to the opposition between relatives and friends, the opposition between father and son, and even the destruction of the family.

Extended data:

MLM refers to the illegal behavior that organizers and developers calculate and pay remuneration to the developed personnel on the basis of the number or performance of the directly or indirectly developed personnel, or require the developed personnel to obtain the qualification to join on the condition of paying a certain fee. The essence of pyramid selling is "Ponzi scheme", that is, the money of the latecomers is distributed to the income of the pioneers.

New pyramid scheme: no restrictions on personal freedom, no ID cards and mobile phones, no group classes. But under the banner of capital operation, attracting people to cheat money, using luxury cars, wearing gold and silver, etc. Use money to attract your relatives and friends, and finally let you lose everything.

1April 2, 9981day, the government of China announced a total ban on pyramid selling. Public security organs throughout the country adhere to the "zero tolerance" attitude towards pyramid schemes, continue to focus on key cases, key areas and key areas, keep a close eye on new methods, new trends and new trends of pyramid schemes, and constantly crack down on pyramid schemes.

2065438+In August 2007, the Ministry of Education and the Ministry of Public Security issued a notice demanding that pyramid schemes be severely cracked down and banned according to law. The notice stressed that all kinds of pyramid schemes to trick job seekers into joining in the name of "recruitment" and "job introduction" should be resolutely eliminated. The court made the latest judgment on May 2, 20 18. The amount involved in 65 kinds of "MLM coins" is10 billion yuan, and10 million people buy them. In April, 20 18, Langfang, Beihai, Nanning, Nanjing, Wuhan, Changsha, Nanchang, Guiyang, Hefei, Xi and Guilin were listed as "key rectification cities for pyramid schemes in 20 18" by the State Administration of Markets.

References:

MLM Baidu encyclopedia