The Amway Trap
"The only way to, as far as I'm concerned, is to quit."
Triple Diamond - Ron Puryear - Tape:RP889Many distributors are convinced, from the success of their upline Diamond or Emerald distributor, that their personal success is inevitable since the business and system are infallible. Distributors are convinced if they just follow the "plan", they too will some day become a Diamond distributor. Nothing else counts but showing the plan 10-15 times a month until "it happens". Distributors believe that an Amway/Quixtar distributorship is the best way to become financially independent since the business is so "good". If a distributor doesn't become a Diamond Distributor then either he hasn't shown the plan enough or he isn't following the plan.
Distributors are generally blind to the fact that, within the group as a whole, distributors are spending more on overhead expenses than they bring in as total gross profit margin to the group. From the "Amway Paradox", one learns that the average self-consuming distributor brings at most 25% (the maximum rebate level) of his personal consumption as gross income to the group. If a distributor buys $200/month, then 25% of $2,400/yr or $600/year is brought to the group as potential gross income to the group. The average active distributor spends more than $600/year on overhead expenses. This means, distributors who just strive to "network" and sell via self-consumption (no retailing selling of product) will on average, always lose money.
Believing that the Amway/Quixtar business is the "perfect business" having no fundamental faults what so ever, and that their success is dependent upon showing the plan enough, distributors get caught in a mental trap. A failing distributor never considers the fact the business is not efficient enough, nor is it growing fast enough for everyone to be successful. From "the Amway paradox" the "negative sum game" it is plain that there will always be more distributors taking business losses, than reporting profits. The AQMO plans, with "tool" costs, along with retailing no product, ensure mathematically, that more distributors will be losing money than making money. Because of this inherent business inefficiency, the market will not readily embrace Amway/Quixtar with tremendous growth. If the Amway system were more efficient, the market would have already rewarded it with growth similar to that of Wal-Mart.
Amway distributors have been programmed to believe their failure is purely a function of their lack of effort or lack of following the plan, when in fact the business system is not efficient enough to make it grow fast enough to make more people successful. Inefficient businesses grow slowly, efficient businesses are rewarded with growth.
"Thanks so much for your site! I joined Amway in '96 and was fully plugged in for 6 months, partially plugged for 9 more before decided that "I didn't have what it take and wasn't willing to work hard enough at this incredible business opportunity." In January I discovered your site and realized what a scam it was.
When I first looked at yours I wasn't too impressed - so the prices aren't quite as good as they said, so some bad people are in it. . . At first I thought it was just well-presented blame-the-company-for-peoples-self-created-problems. Then I clicked on the Probst link. WHOAH! For former distributors as myself, an emerald has SO MUCH credibility. I feel others in my position may just look over your main page and leave, and not realize what a scam the thing is. They'll just look at your site, go "Yea, it ain't perfect, nothing is." and then leave. If a friend thinks of joining, the ex-distributor may even recommend Amway - I would have.
Once again, thank you for ending my lingering guilt for blowing about $1500 on Amway (well actually the system to be exact)."
Site visitor
Unfortunately such guilt and feelings can last a long time after the Amway experience. Some people never figure it out like this site visitor below.
"I WAS IN THE BUSINES IN 1995. AMWAY IS ONE OF THE BEST IDEAS FOR A BUINESS YOU CAN FIND; HOWEVER,IT DOES REQUIER HARD WORK. MOST PEOPLE LIKE YOUR SELF JUST DON'T WANT TO DO,IF YOU WERE NOT SO LAZZZY YOU COULD BE SUCESSSSFULL TOOO!!!!!!!!
""If you have a dream the facts just don't matter"
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