Direct selling and pyramid selling, the difference between pyramid schemes in disguise Direct selling and pyramid selling, the difference between pyramid schemes in disguise One difference: whether to sell their products as the basis for business operations. Direct marketing to sell products as a source of earnings. Illegal pyramid schemes Zeyi pull the head or by selling counterfeit or profit-making products Zhicijiagao pull people disguised profit, or simply no product. Difference between the two: there are no high entry fee. Direct selling company salesman without paying any high entry fees will not be compulsory subscription products. In the illegal pyramid scheme, participants by paying high entry fees or required a certain number of products first, subscribe to pay high entry fees disguised as a condition of participation, to encourage unscrupulous people to join to make a profit pulling. The company&#39;s profit is the main entry-fee, it was a disguised financing behavior. The third difference: whether to set up outlets. Direct selling enterprises to set up shop open shelf or counter, marketing personnel are directly contracted with the company, its practitioners act directly accepted norms and management companies. Operators of illegal pyramid schemes through the development, organizations engaged in non-store network or &quot;underground&quot; activities. The fourth distinction: whether the remuneration according to work. Direct marketing companies who are willing to work hard to provide practical opportunities for income generation, not a fortune overnight. Each sales staff can only pay according to their personal computing sales, the company set aside funds from operations, unified tax after the company paid directly to their designated account does not exist, the offline relationship. Illegal pyramid schemes through high returns as bait to attract personnel engaged in disguised pyramid selling activities, the participants in the on-line membership fees or from off the assembly line to extract the so-called performance pay. The difference 5: Are there any exit, return guarantee. Direct marketing companies may be based on individual freedom of choice will continue to operate or out, companies in return for providing protection. The agreement is not illegal pyramid schemes usually force the return or returns are very harsh, consumers have purchased the product difficult to return.
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