
Site Visitor E-Mail December 2003-Jan 2004
Last update 2/6/2004
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Scott, attached is a letter that I wrote to my upline Emerald, Ted Zilch, regarding my decision to withdraw from participation in WWG. I want to thank you for the information on your site, as it was a great source for information. I personally verified the information I used in my letter from other sources, so I am comfortable saying that the information I pulled from your site was accurate. Thx for putting in so much work, and having this information available. I've also been collecting CommuniKates that I used in supporting the info in my letter - some of them may be of interest to you. I'm not sure how to send a voice message, so if you're interested, just tell me how and I'll pass those along.
If you'd like to post this on your site, feel free. Word of caution, it's rather lengthy. First name only. Thanks Scott.
February 5, 2004
Dear Ted -
I am writing this letter in answer to your question as to why we have chosen to reduce our participation in the Worldwide System & subsequently, to redefine our Quixtar business to the level of Prosumer. I arrived at this decision after taking the time over the past six months to follow my upline Diamond's advice - I investigated the industry. This includes, but is not limited to, the history & progression of the Amway/Quixtar Company, other MLMs, & the development of the motivational groups, including WWG. My conclusions are based on careful analysis of information obtained from a wide variety of sources, including personal experiences; other's direct experiences; tapes of attended functions; WWG recommended books; WWG tapes; Quixtar books/tapes/business materials; books &/or articles on general money management & business principles; general books on MLMs; internet sites; former/current IBOs (both WW & others); the Bible; & pastoral sermons, to name a few. This letter summarizes my findings & supports my decision. I apologize for its length, but it's important to me that you understand that my decision did not come easily, nor was it based on emotion or a single issue. I am under no illusion that my conclusions, based on research, will alter your perception of the business, nor is that my intent. In fact, I am disappointed & quite saddened to write this letter. It signifies an end to what I sincerely believed would be a lifelong network of good friends & trustworthy people.
I believe the Amway/ Quixtar business once had a great deal to offer. I truly believe that the structure established many years ago by DeVos & VanAndel was an honest business, & offered an opportunity to supplement existing income or, if one desired, make it a full-time effort to reach Diamond with a respectable income. Further, it is my belief that many of the products are outstanding in quality & performance, including the SA8 laundry & Nutrilite line. I find many products to be competitively priced, although I also find others that I believe are significantly overpriced. However, I have no issue with paying a premium price for quality products that deliver what they promise, nor do I have an issue with recommending them to my friends & family. The choice then becomes whether or not I or someone else chooses a Quixtar product over another brand. After doing several of my own price comparisons, I have chosen to continue with the products that we like & believe offer value based on quality. In this respect, we intend to continue our relationship with Quixtar by purchasing products for our needs, servicing new & existing clients, & of course, our downline. Dealing with Quixtar, in my experience, has always been a pleasant experience. This is the part of the business we enjoy - learning about & trying new products, then sharing them with others. Unfortunately, this is not the Quixtar business that our line of sponsorship primarily supports. In our two years in the business, we have experienced more teaching & training on how to promote the System, including the people associated with it, than on promoting the products & Quixtar! I was very surprised, for example, when QuixtarLIVE! wasn't promoted by WW in our area, particularly since Grand Rapids is so close. It was a good opportunity to learn firsthand about the products & people in Quixtar, tour their facilities, & hear several Quixtar executives speak. When asked why this event wasn't promoted, the question was completely ignored. I discovered over time that the real, albeit hidden agenda, is to use the Quixtar business to endorse WWG.
What has become very clear is that, with advent of the motivational organizations including WWG, the Amway/Quixtar business has - over the years - become so distorted that it now represents greed, deceit, & grossly unethical business practices. Most of this seems to be associated with the heads of the LOS organizations. I believe this has had, & continues to have, a very detrimental effect on the reputation of the Amway/Quixtar Corporation. With the current culture & leadership, this is not likely to change. These characteristics also get passed downline (remember, we were taught that the good & the bad will be duplicated).
At the crux of the problem, in my opinion, is the excessive dependence on & expected/required obedience to - "follow what is taught without question" - what has commonly become known as "The System." In our line of sponsorship, this is of course World Wide Group. There are several facets to this statement, which will be addressed in the paragraphs that follow. They include the dream, income, freedom, politics/Christianity, relationships, integrity, & the art of positive thinking. These ideals, which are so heavily promoted by WWG, can be noble, honorable & decent in the overall framework of human behavior. However, when they are distorted & taken to extremes, which I believe WW has done, they become manipulative, controlling, & downright dangerous. So many words used to promote these ideals are overused, misused, & abused that a dictionary & thesaurus should be on the WW book list.
Because 'The Dream' is a central theme throughout the business, I will begin there. WWG strongly promotes 'Dream Building', first with an organized function called "Dream Night," where the Diamond lifestyle is portrayed on a big screen - multiple luxury cars, expansive homes, airplanes, flashy clothes & jewelry, & many, many toys. It is then taught that one must continually expand their own personal dreams & desires by envisioning things they want & posting pictures of things that are financially out of reach all over the house/car/ at work - and, to always strive for more. There is nothing wrong with this basic concept, in & of itself. If one had nothing to strive for, one would never be motivated to better oneself. The bible teaches us to work hard, provide for our families, & be good stewards. However, WW's teaching goes way beyond this. WW's assertion is that a man's role is not just to strive to provide a safe, comfortable life for his family, but instead to provide a life of abundance & excess - in every area - & that if a life of financial independence is not coveted & obtained - he cannot fulfill his God- given duty to his family. This is clearly intended to incite the emotional responses that make us all vulnerable. It is meant to make men & husbands feel guilty; & women, wives, & children feel deprived. It is repeatedly said, "If you are happy with what you have, then your dream isn't big enough!!" The implication here is that no matter what you have, it is not - and will never be - enough. Then, WW teaches that you are entitled to more than you have, & that God wants us ALL to be rich! If you want it, you can have it - just dream it, visualize it, name it, & claim it! After all, you can have/do/be anything you want - if you believe & are willing to do 'whatever it takes' - as defined by WW. However - if, after all you've done, you fail to achieve your goals or dreams - WW teaches that you simply just do not have enough belief. Time & time again I've heard statements like "If only you believed you'd tear this business up...if you believe, the facts don't matter...belief is all it takes." Not only does this totally leave God's will for our lives out of the equation, but it also serves to exonerate WW's accountability for the effectiveness of their teaching & training system. These teachings further imply that those who are comfortable, thankful, & satisfied with their current situation are deficient in intelligence, common sense, & character - and that wealth is a requirement for life to have any meaning. This is so appalling to me. What an awfully cruel & hurtful belief to instill in people so that they will continue to do "whatever it takes." This tactic of teaching good, hardworking people to define their self-worth by their net-worth is so cold & manipulative - it amazes me that one cannot see the damage this can do. Yet WW does it under the guise of 'helping people.' I can cite tapes, CommuniKates, & conversations where this sentiment was directly &/or indirectly stated. This is pure nonsense & contrary to biblical teaching. It is also contrary to WW's own teaching of developing an 'attitude of gratitude'. It seems that gratitude should only be expressed to those in the WW system who help one achieve their next pin level. I clearly remember my upline Diamond sitting in my living room - & his response to my comment that I was living in my dream house. It was, "If you are happy with this house then your dream really isn't big enough!" I cannot even begin to tell you how hurt & angry I was by this callous statement. My home is beautiful. In fact, when pulling into my driveway I still, after living here over four years, often remark to myself that I can't believe I live here. I'd lived in apartments for 20 years - and this is the first home I've ever owned. And what a home it is! I am very grateful & feel extremely blessed that we are able to live where we do & have what we have. We have wonderful neighbors; our neighborhood is safe & clean; our boats are moored in our backyard - ready to take the short cruise down the canal to the Great Lakes in a matter of minutes; we are debt-free outside of our mortgage & car. Does this sound like I am deprived? For someone who doesn't even know me, to sit in MY HOME & tell me that what I have isn't good enough & that I should want more, is insulting & truly offensive. Are there things we want & would have if we could afford them? Of course there are. But our happiness & self-worth are certainly not dependent upon acquiring them.
Another disturbing issue that came to light is the income claim made by WWG that is supposedly attainable through the Quixtar business. WWG teaches that a business at a Platinum level averages approximately $60,000 per year, Emerald at $110,000, & Diamond at $250,000. Then, it is always mentioned that this is a "very conservative number" & that "it's always better than they tell you!" In fact, on Danzik's Diamond Rally tape (WW58), Teresa makes reference to her expected income as a first year Diamond at "$400,000-$500,000 a year!!" Most tapes, seminars, & particularly functions feature speakers who describe lifestyles that can only be supported by such an income. Quixtar's income statistics, however, tell a different story. WW's income statements are a direct contradiction to Quixtar's own information. According to Quixtar, Inc. (2001 data - the year the plan was presented to us), the average Platinum made $25,000, Emerald came in at $69,000, & the average Diamond made approximately $150,000. A Founder's Diamond did not even average $250,000 year. This income, according to documentation, includes the amount received from retail sales, minus the cost of goods sold, plus the amount of performance bonus retained through their Quixtar business, but before expenses. The discrepancy in these numbers is staggering.
As I researched further, I found an overabundance of information that explains this discrepancy - mostly on the abuses of the "System" which began with Yeager & Britt, then have been split off & duplicated through the years. I was simply stunned, disgusted actually, to learn that as much as 80-90% of a Diamond's & above income is generated from the sale of &/or downline's participation in the "System" - be it tapes, books, function attendance, etc., and NOT their Quixtar business!! Add to that speaking & appearance fees & other productions of these pins. I didn't understand this at first, because I was told by my upline that all the money generated from sales of the tools goes back to WWG (the company itself) to support the cost of functions, etc. As I quickly discovered, this simply is not a true statement. I did not immediately make the connection that my upline has an INDEPEDENT business, a motivation business, which is in existence to SUPPORT their Quixtar business, but is completely separate & distinct from their Quixtar business. What really bothered me, however, was the deliberate & shameless deception behind this practice. The System income is not discussed when the Quixtar opportunity is presented; but based on the discrepancy in average stated income ($150,000 vs. $250,000+); it is included in WWG's income claim at Plan presentations. Obviously then, a compensation schedule, such as the bonus schedule from Quixtar, is also not presented. In fact, the potential availability of System income is not disclosed until one reaches Platinum. When this concern was directed to you, our upline Emerald, you replied, 'I'm not really sure. I don't know that much about that part of the business, so you'll have to ask Howie.' Ironically, as already stated, the tool business isn't 'part of the business', but a separate & supporting business. And furthermore, the mere fact that you have a separate motivational company indicates that you do indeed know how it works. This is blatant dishonesty. It is my understanding that at the Platinum level, a business may get a 'system or tool break' (CV) & that the percentage increases as one moves on to Ruby, Emerald, & beyond. Additionally, I was even more surprised to learn that this sharing in 'system profits' is not contractual - that there is no written, enforceable, description of the delegation of tool profits - but simply a 'bonus,' if you will, given to those who continue to display loyalty & allegiance to their leaders as their business grows - and that it can be withdrawn at any time if one does not fit the image that the organization (WW & others) wants to portray!! This lucrative business that is separate & supporting has been, & continues to be the subject of numerous lawsuits, as I'm sure you are aware. "Just because something works doesn't make it right" (DeVos 1983). Moreover, the statement so frequently heard "we don't make any money until YOU make money" is a complete fallacy, and is clearly meant to intentionally mislead the prospect or new IBO. The Platinum pin on up is making money off any IBO who purchases ANY tool or attends ANY function before receiving a bonus check. This is simply inexcusable. The fact that this issue is so shrouded in secrecy makes one wonder what else is being concealed. This deceit is certainly NOT a characteristic of the integrity you claim WWG represents.
One of the most edifying articles I encountered was a mathematical diagram of the 6x matrix (IBO needs 6 Platinums to be Diamond). Essentially, what it illustrates is that no matter how many levels you go & regardless of whether you look at the whole picture, or just any individual's particular downline - the percentage of the whole distributor organization that is at the bottom level is consistently around 83.3%. So, if new IBOs are taught to spend more than they make (income minus expenses), including tools, then it's a mathematical certainty that at least 83.3% of the distributors will lose money. WW teaches just that. The premise is that if one first becomes 'vertically aligned' & experiences personal growth through WW books, tapes, functions, & association, their business will flourish as a result. And this takes time. So naturally, the tools are promoted very heavily for the new IBO, & the upline makes substantial money at their expense.
Another tidbit I found extremely fascinating was the history of the tool & system issue, and consequently the attempts to address & rectify the concern on several occasions over the past 20+ years. I'm sure you are aware of the issues, so I will not reiterate them here. I will simply say that these quotes from Rich DeVos are an eye-openers and they summarize the long-standing problems with the tool business:
"You present wonderful numbers on the blackboard about all the money they can make. Maybe you ought to tell them about all you're going to take from them before they make any. Maybe that would be the rest of the story. But, you see, those are fantastic numbers."..."Let me talk to you about the legal side, beyond price fixing, that deals with pyramids, that deals with the illegal operation of a business that does not have an end consumer, where the product is not retailed. That would include all books & tapes. The sad news, folks, is that when those things go out that way & they become excessive....beyond ten or twenty percent guideline...acceptable, to where it's a reasonable support system....then it becomes an out & out illegal pyramid." (Rich DeVos; 1983 Directly Speaking, VA-2160) [emphasis mine]
This is a clear indication that the issue is understood & has been analyzed; yet left unresolved for over 20 years. I find this very unsettling, & believe that the Amway/Quixtar Corporation also has some culpability that needs to be addressed for their part in facilitating the deception surrounding this matter. This would include ALL lines of sponsorship. Although I can understand the need for a training & motivation system, the current structure is undoubtedly marked by corruption & greed. Training should be specific, reasonably priced, and effective. Unfortunately, WWG's "Proven System" is anything but.
Again, I refer to Quixtar's own statistics, which state that only 1/2 of 1% of IBOs achieve Platinum (Direct) status; only .0458% reach Emerald; & only .0076% of IBOs reach Diamond. Furthermore, separate statistics reveal that only 1-2% of all Platinums reach compensation levels that could replace a modestly -paying job - again, before expenses. I seriously question the effectiveness of the tapes, functions, & other tools from ANY line of sponsorship with this success rate. Where is the parade of new Diamonds that this 'proven system of success' is producing? FED 2002 featured one new WW Diamond. Were there any new WW Diamonds in 2003? This question to my upline went unanswered. Quite frankly, although often interesting & humorous, the speakers on tapes & at functions offered little in the way of helpful ideas to build the Quixtar business - the System business, yes, but not a strong, stable downline. And they quickly became repetitive - like they were scripted then modified to fit the presenting couple. I was always disappointed in this deficiency in the 'training material,' & have made this comment in the past. The primary focus of WW's teaching, including tapes & speakers at functions, even local, is on getting the new IBO "plugged into the WW System." Accomplishing this with brand new IBOs will not necessarily benefit the sponsoring IBO, but undoubtedly & immediately benefits the Platinum & above! It is my contention that if the majority of money was really to be made from the Quixtar business & not the System business, the training & motivation system would be highly effective, aimed at selling, & all items would be so reasonably priced as to ensure participation by ALL IBOs! Sadly, this is far from reality.
I also believe that the concepts of 'freedom' & 'retirement' are grossly misrepresented, and stories of achieving Diamondship are exaggerated. Freedom & retirement from the dreaded JOB are used synonymously when presenting an ultimate desired result of involvement in the business. Freedom inherently means 'without restriction; independence; autonomy; absence of restraint:' & retire, to 'withdraw from one's occupation; to retreat into privacy.' Neither of these words remotely describes the lifestyle that results upon reaching the pinnacle of Diamond. And the claim that putting in hard work for 2-5 years, part-time, will result in a Diamondship is ridiculously unrealistic. Howie claims he did it - while working 70+ hours per week as a physical therapist - and as a single, no less. What he doesn't mention, is that he was actually married when he went Emerald & Diamond - and that his wife at the time, Susan, opted out of graduate school to devote herself full- time to their business (Amagram 1995 Emerald, 1996 Diamond). I've also monitored my upline Emerald's & Diamond's schedules through Kate for the past several months, & by observation for a year. My Diamond traveled, on average, 3 of 4 weekends each month; has been overseas twice (& is planning another trip); has been traveling to the east & Midwest monthly for promotions & mini functions - which are all multiple night trips; & has had multiple speaking engagements at two major functions. I've watched you, my upline Emeralds, work your tails off for over two years FULL TIME, on top of at least an additional five years part-time, yet you are not Diamond. These schedules do not support the "time & freedom" lifestyle that is presented. This does not represent freedom or retirement to me, but is in essence, another JOB. Granted, it's certainly a different way to make a living & admittedly may have some benefits over traditional employment - and for the Danzik's, it's certainly much more lucrative than their prior careers. But in essence, it's still a job - or, if you will - a lifestyle that is tantamount to a job. It is clearly deceptive when not presented as such. The Business Compendium we received when we were sponsored states:
"Many IBOs use testimonials about other successful IBOs who have supposedly 'retired,' when in truth these IBOs have merely left their traditional employment situation to spend all their time on their independent businesses. When....presentation is devoted to the availability of retirement income with little or no discussion of the other aspects of the IBO Plan, he or she is seriously misrepresenting the IBO Plan" (Rev. Jan 2000).
WW's claims of retirement & freedom, therefore, are outside of Quixtar's guidelines for presenting the IBO Plan. The structure of WW itself negates the concept of freedom. There are rules to follow, an authoritative hierarchy, & certainly requirements on time that must be adhered to, especially once a business becomes Platinum. Research indicates that most Diamonds cannot 'retire' if they expect their businesses to survive long term. If a strong, stable downline is not in place, a business may have difficulty re-qualifying for Diamond status with 6 Platinum legs. And it appears that most businesses are continually worked for re-qualification &/or growth, most likely due to the high turnover rate of productive IBOs. It has been estimated that 'for one person to change social class using this vehicle (Amway/Quixtar), at least 2,083 new ACTIVE people must be sponsored, motivated, & supplied" (Butterfield). Duplication at this rate becomes difficult. One could conservatively estimate that a 1000 person downline is needed to earn a sustainable income - so those 1000 individuals will need 1,000,000 more successful people to duplicate that success. History reveals that the vast majority of those sponsored will fail - which means the success of a few at the top depends on the failure of many. We've also heard that WW is different, & that they are the fastest growing LOS in Quixtar. "If you haven't seen the business from us, you haven't seen it!" is a favorite WW mantra.
No one was more disappointed than me in discovering the misrepresentation of relationships & friendships in this business. The biggest draw for me in joining this organization was the potential of developing a network of good friends. Unfortunately, I found this to be a fallacy as well. My idea of a friendship starts with an interest in an individual, then progresses to genuinely caring about them - being willing to have open, honest exchanges of ideas & thoughts. Friendship is about sharing problems & supporting one another. It's about learning about the other person, their background, their desires - respecting them, & wanting the best for them even if it isn't what you would choose for yourself. It's about having things in common, like values, but also having different interests & different ideas - which allows us to learn from one another. True friends are comfortable sharing feelings, & even debating topics they feel strongly about without fear of reprisal. Friends can ask questions, make suggestions, & choose different paths while still retaining the friendship. Sadly, I found none of this here. We were taught not to question upline's methods or speak about issues within the group - this was considered 'negative' or worse yet - disloyal. Being positive was ALWAYS more important than being honest. We were taught to direct questions, concerns, & suggestions upline. Yet they were typically met with resistance or vaguely answered under the guise that 'you needn't know about that now - wait until you're Eagle; Dbl Eagle; Platinum' - whatever, & that will become clear.' In several cases, questions were ignored completely. I was personally discouraged from developing any type of relationship with anyone who was not in my immediate upline/downline, except on a very superficial, social level. I was even advised not to have lunch with someone at a mini-function because they were crossline. Several speakers even question why, once in the business, anyone would even want to be friends with people who aren't in the business!? I found that there was no real 'exchange' of ideas, just directions to follow 'in my best interest.' And yet you tell me you love me. But I ask - how can you genuinely care about me or know what's in my best interest if you do not even know me?
Moreover, I was often offended by the criticism & negativity I heard towards those who did not conform to the thought process that was encouraged, & the mostly subtle, but sometimes blatant, name calling that took place for those who choose a different path. Nowhere was this more apparent than in the area of religion & politics.
Another reason I was initially drawn to the business is that I believe it has a Christian base. I think people tend to try to do the right thing if they believe in a power higher than themselves. For me, that higher power is God, as I believe it is for many in the organization. What I didn't expect, however, & what I found objectionable, was how freely business was mixed with religion & politics. There is unquestionably the often implied & sometimes stated WW expectation that being a Christian is a prerequisite for success in this business. This also violates Quixtar's Rules of Conduct. More than once it's been said that some couples view their Quixtar business as their ministry to bring people to God. To mislead prospects in this way is fraudulent. I'm not suggesting that one should be ashamed of their faith, nor am I suggesting that Christians shouldn't witness to others. However, if spreading the gospel is the main agenda, IBOs should absolutely NOT do it under the pretense of the Quixtar business opportunity. We live in a free country - as Americans we are all entitled to our political & religious beliefs, & are even free, as we should be, to give credence to our faith & beliefs in a public forum as they apply to us personally. What we do not have the right to do, however, is use a business forum to promote personal agendas, be they political, religious, or otherwise. Subjecting attendees to this rhetoric under the guise of a business meeting is abhorrent, & does nothing to enhance the reputation of Quixtar or WW. Along these same lines, I was also shocked to hear a speaker from a WW stage (FED, 2002) , label, classify, & condemn those who were not in agreement with his political beliefs. He bellowed from stage that 'all Democrats will ultimately go to hell!' - & this was during what was supposed to be a church service! Wow, I didn't know God had bestowed him with such power! This kind of behavior may be popular at a republican rally, but again, is NOT appropriate during ANY session associated with a business conference. Nor were his comments that his business was successful because God had deemed him righteous, & if only I could believe like he believed, I would be successful too.
I am further dismayed at the many New Age beliefs & practices that are so heavily promoted under the pretense of Christian principles. Prosperity consciousness, visualization, affirmations, persuasion techniques, the omnipotent 'just believe' theology along with 'just speak it into existence,' have all evolved from the New Age Mind Science theologies. Books like God Wants You to Be Rich; I Will; & Power of the Spoken Word combine a few elements of true Christianity with their New Age doctrine, and imply that all is within our control as human beings. Essentially, WW teaches that no special economic or business skills are needed to succeed & build a six figure income - all that is needed is a shift from negative thoughts/speech to positive ones, & to envision ourselves living the lives we want to live. And, as mentioned above, those who have not yet achieved financial success are being held back only by their own self-limiting thinking. This rhetoric gives absolute power to the individual to single-handedly control his or her own destiny, and therefore, thanking God for one's blessings becomes an afterthought. Personally, I believe God has a plan for each & every one of us - and I'm quite sure that abundant wealth is not in His plan for everyone, just because they are in WWG & are 'plugged into the System.' Robert Fitzgerald says it best with this quote from False Profits:
"The assertion is that God explicitly desires personal wealth for the faithful. Poverty is no mere misfortune & certainly not a virtue for which one is blessed. In fact, poverty is viewed as no less than a sin. The thinking follows that the means to attain this abundant state of grace & achieve its attendant wealth involve spiritual & psychological choice."(1997)
However, this is how WW wants us to think, & this is what the indoctrination of tapes, books, & functions would have us believe. The counseling we received with regards to joining & attending a church was astounding as well. After all the hoopla about being a Christian was presented, & the 'vertical alignment' theory outlined, we were then told, from a WW stage (Family Reunion, 2002) (& reiterated by our Emerald & Diamond), that we should not commit to regular activities with our church because it will conflict & interfere with the building of our business, and the business must be our priority!! What happened to serving others - be it through church, the community, or just helping a neighbor? WW teaches that we should give time & 'serve' only in the context of our business - "spend the time in your business, serve your upline/downline - you can give money to the church, charities, whatever - later - after all, you'll have money to give if you just keep focused..." This doesn't even make sense - is our loyalty supposed to be to God & His will, or to WW & theirs? I know my answer to that question.
We were taught to deify our upline - particularly Diamond & above. We were told to share & seek guidance on every aspect of our lives with them in counsel sessions - after all, they will never give us advice that would hurt our business. We were to be honest - how else can they help if they don't know the facts? We were told that they are good Christian people & are therefore worthy of our respect, trust, & adulation. Again, it didn't matter if we knew them or not, let alone whether we liked them - they were our leaders & deserved our respect. When one accepts or puts one's self in a position of leadership, it stands to reason that one will be held to a higher standard. You tell us to trust you, so you must be trustworthy. But I contend that respect & trust are not rights based on one's position, but instead must be earned. We are told that to succeed, we must counsel with our leaders; we must do what you tell us - without question; and we must always be loyal & in submission to our upline Diamond & leaders. We are taught to feel a responsibility toward WW. A constant message is that "you will never succeed until you make the decision to 'do what they tell you - then stop asking questions!!'" This is downright creepy, and should make each & every one of us stop & think. Handing over control of these various aspects of our lives - financial decisions, vacation plans, marriage issues, family matters, spiritual matters, etc. - to another human being or an organization is highly suggestive of cultism, indicative of the desire to control, and is very, very dangerous. It works to destroy the critical thinking element in us as human beings & quickly facilitates unhealthy dependencies. In essence, it destroys the ability to think for oneself & make rational decisions.
WW further teaches the practice of what they call 'edifying,' a word which WW has redefined. "Edify your upline, edify your leaders, edify WW..." Webster's definition of edify is "to enlighten; to teach or instruct, especially in moral or spiritual matters;" not to compliment, flatter, or exalt, as WW uses it. We are taught that we should feel privileged if in the mere presence of a Diamond. After all, they have what we should all want. And, we are told that if a Diamond comes to your house, you should truly be honored that this millionaire is willing to come to your humble home, show your friends his expensive Rolex & diamonds, then share his wisdom & what he knows so that "you, too, can be like me." Maybe I'm in the minority, but I am just simply not impressed with pretentious people. And the suggestion that I should be in awe of someone because of his or her financial status is just plain silly. I am truly & completely bewildered by this idolatry, & it makes me very uncomfortable. You can be thankful, grateful, & respect someone for his or her help without the constant idolizing & worshiping. These are people, just like you & me, not gods. I really don't get this. I don't want to be like them, you, or anyone else, nor do I want what you have. I'm very grateful for what I already have, and although I have many faults, I'd rather just be me. Furthermore, we have many millionaires that live in our neighborhood & we are as welcome in their home as they are in ours. We do not have to prove we are worthy of their time & company, nor do we have to 'earn' the opportunity to associate with them. Why? Because they are truly our friends. And although most have substantially more money than we do, they don't try to mold us into clones of themselves & tell us that to be winners & to succeed, we must do it their way. And yes, if we wanted to know what they know, they would certainly help us learn it.
And finally, I was unable to genuinely talk to people without a hidden agenda....'would they be interested in the business & could I entice them to come to the next function??' You are right, Ted, this business is purely a numbers game. And I do not want to look at each person I meet as a prospect. This just feels wrong. And I am ashamed of myself for my participation in having perpetuated some of the myths & deceitful practices in my effort to build downline. I am in no way blaming you - I should have done this research BEFORE I embarked on this endeavor. I bought into this rhetoric, & wanted it to work - even with nagging doubts that I pushed away - attributing those doubts to my inexperience. I didn't trust my instincts, & I made a mistake. I take full responsibility for that. Looking back, I am thankful that we had only one serious 'Business Builder' in our downline, & they have since withdrawn from their participation in the System as well. I feel fortunate that our current downline consists only of Prosumers.
Some of my words & opinions may seem harsh & unkind to you. But each one, though maybe not a crisis in itself, when added to the rest, began to reveal a business that was built on layers upon layers of deception. The reality of this was rather devastating to me. Quite frankly, I expected to find more unsubstantiated allegations in my search. Instead, I found account after account backed by verifiable documentation. I found more current & former Diamond, Emerald, & Platinum stories than I could read - from a variety of LOS - most of which detailed the abuses of the training & motivational systems, & the corruption & greed of all of the big pin leaders. Some IBOs have even tried to change it. It is this issue that is at the crux of the public's negative perception of Amway/Quixtar, & the one issue that will ultimately be its demise if it is not soon rectified.
At this time, I would like to reemphasize that this letter was written in response to your question, Ted, as to reasons behind our decision. My intent was to provide you with enough information so that you might at least try to understand my position - it was not to alter your perception of the business. I think I can speak for both John & myself when I say that there were things we enjoyed during our involvement, & things we will miss. I had grown to respect you as a person through our contact at Ford, & I've enjoyed getting to know Eileen. I sincerely do like you both. And I truly think that you BELIEVE you are doing what's best. Although we will no longer be involved in the WW system, we currently intend to continue our affiliation with Quixtar with you & Eileen as our upline. I wish you, Eileen, & your family the very best in your endeavors, wherever they may lead you.
May God Bless You,
Jeannie
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Scott,
This seems appropriate for Ambots.....
Steve

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Hello Scott:
Was wondering if you heard any new news about Don Storms and his Ponzi dilemma?
I was following this because I once worked as an investigative reporter for a newspaper down in Charlotte (probably the one your thinking) and I was gathering info about Jim Bakker and PTL. I joined Amway in Storms' leg and got several friends to go along. We even sold products around the newsroom to enhance my growing reputation as a "winner." The scheme paid off and I got pretty close to the man. Close enough to have him reveal in step-by-step detail how Bakker would tell him (Storms) how much of a raise or bonus he wanted prior to PTL board meetings. Then when the board came to the agenda item involving compensation, Bakker dramatically excused himself from the meeting and Storms would propose the new raise/bonus and strong arm the board for approval.
There was much, much more. It was actually Storms who unwittingly told us where "all the bodies were buried." Everyone knows how it turned out for Bakker, but I don't think to this day that Don knows how integral of a part he played in it all.
I have no doubt the man is capable of doing what he did and I believe he knew what he was doing. I'm just curious to see if "Teflon Don" wiggled out of it as he wiggled out of his part in the PTL scam.
Thanks,
(please don't use my name if you publish any of this)
Hello Scott,
A year ago quit my IBOship under Terry Taylor's organization (part of Miller/Britt), and I am almost certain that Terry and Lori Taylor can be added to the list of diamonds who at one time or another missed qualification for Diamond. I believe they've been able to maintain their Q-12 status but structurally they have not requalified for Diamond in a long time, I'm not sure if you can add this information on without hard core facts. But having been one of his downline for 6 years, I know that he and his wife have not qualified to go to Peter Island on many occasions.
I also wanted to know if it would be appropriate to add Debbie Miller's name to the list of former Crown distributors, since Paul seems to have erased her face and name from everything?
At this moment, I know first hand that there is quite a bit of turmoil going on in the Taylor/ Miller organization because of Paul and debbie's break up. I know that Terry's organization is currently tying into Larry Winter's organization instead of dealing directly with Paul Miller who's Terry's direct upline. If you go to www.taylorcom.net/office, you will see what I mean. Terry actually instructs his IBO's to register for more BWW information by entering LArry and Pam Winters as their upline instead of Paul Miller. I wonder why??
So my point Scott, was that Terry Taylor has not been a qualified diamond in MANY years. Now we hear nothing from his leg containing 2 emeralds. (Stan Cherry etc)
Thanks for your time!
Sylvia
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I have found your site very informative and was reading the section on the MIA's of the business and you have the Ledbetter's on there. I just wanted to give you an update on them, I am in their organization. Lennon and Suzanne are doing great and are now in qualifications for Crown (they are Double Diamonds, you have them as EDC), Lennon's son "Sky" went direct himself a couple of months ago. This is all straight from Lennon's mouth. There is a sad note though, one of Lennon's Double Diamond parents, Virginia lost her battle with cancer recently. Lennon's brother and sister-in-law Rob & Katie are actually partnered with Curtis and Virgina as Double Diamonds. A lot of organizations have Lennon's tapes in them, but rarely get to see him in person. He has been working like a dog to go Crown!
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Thanks.
Helo, I have just read your site about am-way. I am sorry to say that it was bad translated but I did understand your message. Am-way stinks, and I wish I could get people to understand that. I have several neighbors that put money and effort in this pyramid and I don't think they earn any money. They are brainwashed and there is nothing I can do to stop this business. I have spoken to Norwegian authorities about Am-way but they can't so anything as long as there are goods involved. The only thing I can do is to watch people loose their money. I have never been part of this organization, and I never will be. But I can fight against them. Regards from Laura
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Scott,
I was in the business for about 10 years. I went direct as a single female in 6 Mo. (in the B. Duncan org.) I became close friends with David and Debbie Shores and Brad and Julie Duncan along with my upline Emeralds Ron and Marcie Dubrow.
I, for years have thought about writing a book on the corruption. I have loyalty though after knowing a lot of the bigger pins personally in WWDB. They truly are great people that really give their own lives to helping people. I have seen many lives changed and led to the lord because of what they know as the cause. I however was sponsored by one of the biggest SNAKES in WWDB. It is public record that he has an anger problem and he beat is former wife. He is O.J, Simpson to the T. Meaning... very charming, will help you, etc.. as long as he gets his own ego stroked etc, etc,. If you disagree and cross him the wrong way look out! The problem being with a larger pin you influence a lot of people. He is dangerous!
He forced us to stock over 90 standing order tapes for months (talk about a lot of money after a while for anyone.) He kept us from moving on to Diamond because of his Ego. (Our parameters out weighed his and he couldn't handle it) He couldn't handle out relationships with our up line around him and demanded they be stopped.
My problem is....because he was a good speaker (along with another WWDB diamond, who has committed adultery to many times you can't count!) They cover every thing up! That is so not Christ like. So we quit. When are the leaders going to make a stand for what is right? The owners of the Amway corp. are incredible people. My Grandfather at 94 is on his death bed and Knows the Devos family (he was one of their first Ruby directs) from selling door to door. I spoke with him the other day. We were talking about what the founding families stood for and how great Rich Devos is and his sons. They have made such a huge impact and it is so similar to what I'm sure our founding fathers would feel about our country now. (Sorrow) If they really knew their names were being muddied by these people!
The Business stands for the right thing it's just the UnGodly leaders that earn their position, Yes, from functions, tapes, Unproper edification and Misc.. B.S. and BIG time ego's that ruin this great opportunity. To be honest a lot of times I miss it (the association) but it's not hard to remember all the politics, etc. that go with it. Especially in our diamond's business. He is a big time womanizer. He will make it sound like he loves his daughter to win your heart. I have never met someone so insecure and fake in my life. He is a compulsive liar!! So I would prefer my Anthony Robbins CD's on P>M>A The sad thing is that Dave Severn, Ron Puryear, David Shores etc.... they all know it and chose to cover for him. So in the mean time many people are being misled. (He should not have any leadership or power)
I'm sure they all mean well. We would have made it big....But couldn't blindly follow an ungodly leader. You will hear more for me on this in the future... I have spent the last couple years finding my calling again and I will be heard on this topic!!
God Bless.
Take care Scott!!
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I will be attending a Storms function this weekend. I'll let you know what went on. I am saddened greatly about your article and the news about Don. Although I am not a "Big pin", I know Don and his family. This is truly out of sorts for him and all that he stands for. A lot of us have missed him at the last few functions, and now I know why.
I am truly impressed by Quieter because if this is true about Don, it just goes to show that although the company is tight lipped about the details, they still have enough integrity to can somebody if they are in the wrong...no matter what pin they are. I wonder if he asked Dexter about all this before he made the choice to get involved in the first place?
signed,oldsilver
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Scott,
Your Amagram analysis is exhaustive and informative. I have an interesting story for you concerning Bruce and Rita Dreyer (Britt/Renfrow/Taylor class of '91). You never met a more perfect, fired-up, yet humble couple. Of all the emeralds and pearls in the Taylor organization at that time, Bruce was the only one who didn't seem to care how aggressively you were building the business; he had time and an encouraging word for you. I remember being counseled by Bruce on the subject of tithing at a night owl in Annapolis. He observed that "you'll live a lot better on 90% of your income if God is blessing you than on 100% if He's not". He seemed like a genuine guy lacking the smug, superior attitude that seemed rampant in the Taylor organization.
In April 1991, Bruce and Rita were introduced as new diamonds at Renfrow Spring Leadership in Allentown PA. I don't remember their speech, but it was moving. That was, however, the last time I ever saw or heard from them. Several months later I asked my upline direct what had become of them, and he pulled me aside and explained that they had faked diamond through some complex scheme that Rita had cooked up and Bruce went along with. They were apparently offered a chance to come clean and retain some status, but they rejected it, reportedly insulted by the offer. They had to pay back their diamond bonus (which had been partially if not mostly spent) and lost most of their organization. The last I heard Bruce would show up now and then at a product pickup, but he was a shell of what he had been.
As much as we all may desire to dance on the grave of the Dreyers' business, I found and still find this to be profoundly sad; what money and prestige can do to people.
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Hey Scott! It's been a long while since I wrote (Summer 2001), but I got "prospected" again the other day and remembered your site and decided to write to give you an update. Let me recap for you: Summer 1997, my wife and I joined Amway. Sept 1997, we got semi-serious about it. Decided to really put forth effort in May 1998, and went "all out." Consistently showed 10-15 plans per month. Went to every meeting, every function. Came early, stayed late. Listened to every tape I could get my hands on. Read every book I could. Put over 70,000 miles on one car and 15,000 on the other. I showed the plans and sponsored, and my wife retailed Artistry (although mostly for our downline b/c we wanted to help them succeed and knowing that you reap what you sow). Qualified for visits to one of our upline Diamond's houses a few times, etc. Only reached 1500 pv, and even that was a stretch. By December 2000, I was running out of steam. Not one to quit, I kept going. My upline platinum, a good friend, kept encouraging me. One day in May, counseling me, he tried to help me push my limits. I'm sure his intentions were good. But, in doing so, he implied that maybe I wasn't doing all that I could have. Earlier in my "career" that worked well, because early on, I wasn't. But I had been doing everything I could for almost two years, and this was the wrong thing to say at that time. I took a step back after that and took an objective look.
By the time I found your site, I had already done my own analysis and determined my business's marginal profitability over the years. I had not yet decided to quit, though. I was looking for the answer to the question: "If not this, then what?" Having put aside my graduate education, I had limited my options, and our family financial situation necessitated either sending my wife back to work or me getting a second job. I took the second job, part time waiting tables.
Of course, that seriously cut into my plan showing time. I had to miss meetings and functions. That's when I discovered something _ by working 3 to 4 nights per week as a waiter, I was making between $15 and $20 per hour, most of it being cash. (Actually, in 2003 I averaged $16.98/hour working 3 or 4 nights per week, an average of 6.1 hours per night.) I compared that to the money I "invested" in building my business and the decision was obvious. I saved all the money we would have spent on going to major functions, and saved all the money that we were no longer spending on tapes. Our PV gradually dropped to around 300 and has stayed around there ever since (about 100 personal volume and the rest from old downline and some business customers). I made over $17,000 last year from my part time job, plus about $360 from Quixtar. We are better off financially then we have ever been. I spend more time at home with my family than I ever did while out showing the plan, even though I work a full and also a part time job. We have no debt, and we pay cash for everything.
I do not regret the experience. The information that I learned from the books, especially, is invaluable. I had fun. We developed an excellent relationship with our sponsors that continues to this day. The only disappointment that I have is with my upline platinums. For whatever their reason, our disappearance from the business has also resulted in the disappearance of any contact between us. (I am not going to blame them. I suppose that I could just as easily pick up the phone and call them. But what would be the point? The whole relationship was built around the business.) The only regret that I have is that I had to start from the beginning as far as a real career goes. (Although I think that a clean slate was a good thing, it was just kind of frustrating.)
I am glad that the experience is over. I've been able to spend much more time with my friends who are not in the business. (Thank goodness I maintained those relationships!) I have been able to go back to doing the little things that I enjoy that I put aside to build the business (like reading good science fiction once in a while). I am very happy that I no longer look at everyone I meet as a prospect.
My advice to people who are considering it, based on my years of participation and observation: Just like with any other business, you might make it, and you might not. But even the "retired" Emeralds go out every night to show the plan. They have retired from their jobs working for someone else and now work for their own business. They can't stop working any more than any business owner can. You want to better your financial position? Live within your means. Get a part time job instead of sitting on your couch watching television. Put that money in the bank, and don't spend it. Do that for 5 years. When you have learned to live within your means and you have $100,000 in the bank, you won't be so worried about finances any more.
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rick is living the good life on the lake with new trophy bride Jessica,... little honey. Good 'ole "Sue"... dropped the "Lynn" to be little more up to date, lives alone in nice neighborhood with daughter Stephie in her on pad down the road.... sure hated to find that out ... always had the hots for 'ole SueLynn ... she was fiinnnne.... all outside of Columbia.
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Scott, Thanks for the info and your site! I used to do all I could to keep from letting people do searches on the Web where they'd find sites like yours. That's when I was a Silver in Quixtar. Now I send everyone there. When I saw your Bo Short Discussion, that changed everything.
After some research, and talking to Bo, I resigned my IBOship and joined Bo.
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Hi, I just came across your website on Team in Focus. I never heard about the refund on the MAP packs, and my fiancée and I both purchased one at a convention in Nashville in 2002. I am quite disturbed that I did not receive any information about the development of the refund and exchange policy. Do you know if there is a deadline on that policy? I have searched for a phone number to call, but I am unable to locate one. If you have any information on this, could you please write me back. I would really appreciate it. Thank you for your time.
Jill
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Hi Scott
Thanks for your website. It is awesome! I, among with many other, have had a every bad experience with Amway (Network 21).
My ex-husband attempted to build Amway for 5 years. He did everything they told him to do. He bought all the "tools" went to meetings every week, traveled to all the seminars and bought every tape they sold. He was out every night and was never home for me or our daughter. He would go straight home from work, get into a suit and "drive the miles" until at least 1.00am every morning. He would then heat his meal up in the microwave before going to bed at 2.00 and then having to rise again at 6.00am! He was totally obsessed and brainwashed. But guess what! He didn't make a cent!!! All this work, and we were getting deeper and deeper in debt. Whenever I pointed this out to him, I was dismissed as "negative" or "a Harry". Amway was like a God to him, and the diamonds were the prophets. He would reduce me to hears if I commented negatively about any of the diamonds. He would say (not in so many words) "well they are diamonds, they made it, you're nothing!". We hit 9% once but usually averaged 3%.
We split up after 3 years in Amway, then he tried it for another 2 years before finally realizing that he was NOT going to get rich with it and he only lost everything that mattered to him. And guess what else happened!! He was in a car with a "prospect" when it crashed and he broke his wrist. He is no longer able to perform his normal job. Did Amway compensate him because he was building a business??? You've got to be joking. They are totally unaccountable for that, just as they are for breaking up hundreds of marriages!!!!
He is now penniless and still paying off his credit card from buying tools etc 3 years ago.
I have had so much bad experience in Amway, that I could write a manuscript (and probably will). Please feel free to email me if you want more information, or want to talk to me. Also, feel free to use my story on your website. I can rewrite it if you want.
May I suggest one other thing. On your webpage on Amway divorces, why don't you add another section for Amway divorces for direct distributors and below. If you do, please add our names first
Jennifer and Alberto Conde
All marriages are equally valuable, and people need to know how many marriages break up on the way to diamond.
Anyway, I have now remarried to a man who also had a bad experience with Amway. His ex-wife joined, mainly to sell products, but started sleeping with her upline!
Thanks again for your website. The truth needs to be told about Amway. It is an evil cult. Keep away from it.
Goodbye and Godless.
Jennifer Rigby
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Hi Scott,
I was looking over your pages because as a Quixtar IBO, I wanted to really get both sides of the story. I've had a chance to look around the internet and also to look into the business. There has been a lot of information that has convinced me that this certainly isn't a perfect business, but I have to say that putting up a website publicizing the divorces of people in this business is nothing short of pathetic. Your website has been the most significant contributor to my belief that most of the criticism on the internet is malicious.
Thanks for the insight,
Jason Bold
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Mr. Larsen -
I don't know of any Global 2000 company I consult with that doesn't have its problems and detractors - however to be in business for any extended period means they serve their markets profitably in a manner acceptable to that market. Whether you choose to agree or not, Alticor is no different and is providing products and a business model for delivering those products that their customers and distributors have embraced internationally for over fourty years - no easy feat. The free market system is too efficient to allow overpriced or faulty products and services to compete for very long, certainly not fourty years. And in the case of the Quixtar network marketing model the market (not the lawyers) simply will not, as you so energetically are trying to prove, allow participants (IBOs) to be taken advantage of for an extended period of time. Competitive market dynamics tend to put that kind of unfair model out of business as witnessed by the thousands of said MLM models now defunct.
I am relatively new to the Quixtar model; am cash flow positive in my efforts so far and did not have to come out of pocket more than a few hundred dollars - all of which has been recouped. But my success has come only from very hard and consistent work, paying attention, and treating it as seriously as I do my other businesses. It is as I was told it would be - hard work. Over the years a number of my consulting client's businesses have unfortunately failed. The reason most often; a lack of effort needed to succeed. They simply did not do what they needed to do to make the business go. I find this also to be the primary reason people fail in the network markting industry as a whole - lack of consistent effort required to succeed. Failure is not unique to IBOs working the Quixtar model.
I stumbled upon your site and was struck by the effort you are putting forth to promote such a negative viewpoint of a what is, in fact, a very successful business. Other large companies (GE, IBM, Siebel, AXA) have antagonists - but you seem to have a rather personal vendetta against these companies which is curious to me. Did you personally have a bad experience with the Amway or Quixtar model? If not is there another reason? You present yourself as an expert on the unfairness of this particular business model and claim your assessments and analyses are fair and reasonable and accurate. If that is the case do you see nothing at all positive in what Alticor, Inc. and the IBOs and distributors of Quixtar and Amway are doing? Surely there must be something postive. Do you not think it fair and reasonable and accurate that those positive items be given equal press on your websites perhaps along with these kinds of letters and your response to them?
BG
Hi GP,
You letter like all others will be posted on my website. I get much more mail that is negative about the business than is positive about the business. There is no bias on my part if there are more negative letters than positive. As far as positive speaking pages, you might have missed these.
www.amquix.info/Amway_Good_things.html
www.amquix.infoAmway_could_work.html
www.amquix.info/amway_business_training.html
www.amquix.info/amway_improvement.html
I would challenge you to look at all the hard work you have invested, and then look at the business from macro economic basis instead of on a micro economic basis. How many hours are people investing to promote the Amway products and what are they earning for their effort. I need not repeat the idea and its basis here, but the overall productivity of the Amway business is so low that they could not even afford to pay people minimum wage for their efforts. Certainly your efforts were rewarded with substandard wages until you would recruit enough people who too would also work for substandard compensation. The plan is all a matter of leveraging up the bonuses so that new people work for free or next to nothing until they can recruit enough people to do the same, or actually build a retail business. I have nothing against the retailing side of the business. That is what the founders of Amway actually envisioned which unfortunately has fallen by the wayside of the "buy from your self" illegal buyers club model.
I challenge your assertion that the markets are so "efficient". Any market can be distorted by lack of information. You only need to look at lotteries to see people will ignore the facts and continue to make irrational decisions. Look at the stock market two years back. The markets are far from logical and rational, and so are many prospective MLM participants.
I think the market that Amway actually serves is one the motivational market. This is what keeps Amquix in business. Remove the profits from the side motivational businesses and Amquix will go the way of the other MLMs too. The diamonds and emeralds would never work as hard as they do just to live on the net income from the Amquix products business. Why the motivation side of the business is illegal, is outlined on other pages on my site.
Scott
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Scott,
I am a former Platinum (PSDD in original Amway) in the Bradshaw-Convington-Miller-Britt LOS. I dropped out just as Quixtar was starting up as I became disenchanted with the whole process. (However, both my wife and I miss the positive environment and excitement.) I have been to your sit many times, and found it informative, fair, and accurate.
Thought you might be interested in up-to-date function costs/calendars, etc. for a current Diamond in the Britt LOS. Angelo Nardone's site (http://www.anassociates.net/) is not password protected, and one can see lists of tools, tapes, functions, and other propaganda.
FYI.
Larry
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Scott,
You are doing a great public service. I wish we'd seen your site or one like it before getting into the business. My husband and I were recruited in January of 1997 and were newlyweds (6 months) at the time. We both had low paying jobs and had difficulty making ends meet. I see so many similarities between the others your site and our experience. People who can least afford to are encouraged to spend money and lots of time away from your family in the hopes of making it big. They say family is important but then tell you to do everything that is detrimental to family life (favorite phrase- "Now is the time to be a bit unbalanced in this business"-now was always the time according to them.) Sure, they tell you that books, tapes and functions are not required. They just heavily push them. They coerce you by saying how essential these things are to your business. If you want time with your upline you "need" to do these things. Sounds a lot like buying friendship, doesn't it? In the midst of a financial crisis during a job transition, we were told we should still spend the money to go to FED. We stupidly did. Purchasing books, tapes, & functions under these circumstances caused us to rack up credit card debt. The following year we were both in a better job situation and were secure enough to purchase a home. (We didn't counsel with our upline, though. Of course, a person further upline sold us our house. They weren't about to ask us if we got any PV for it like they did when we bought some frozen foods that weren't available through the network). Needless to say, the adjustment to a mortgage made us prioritize. My husband became frustrated with continually badgering family & friends, accosting innocent strangers out in public that can spot a well dressed desperate Amway distributor a mile away, and spending money without seeing results. He'd had enough. I was frustrated too but wanted the friendship/social aspect in addition to wanting to succeed in the business. I spoke to an upline who counseled me to go to the weekly meetings without my husband. Talk about trying to divide husbands and wives. That lasted 2-3 weeks and my husband initiated a discussion with me about it. I'm glad I had the sense to listen to him and we are still married today. I took out a personal loan at a lower interest rate so we could pay off the credit card. We are far happier, have far more time together, and see better results working in jobs and/or legitimate businesses. The upline that told me to go to meetings without hubby actually moved to another neighborhood to escape overbearing upline and eventually got out. They, too, are now recovering. To anyone who reads this- listen to your loved ones and get out while your family & finances are still intact! With the 6K or so we calculated as spent by us on books, tapes, and functions as distributors, I could have gotten further along in college a lot sooner. They tell you everything you need to know to run the other direction but they put their spin on it so it sounds as if they are really looking out for you.
C.H.
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Hello Scott,
I live in Denmark, and we just had a visit of two people, who had a great offer. One of them we already knew from school and sport (kids).
I was sceptical, as they wouldn't tell what it was about, but also openminded, so they got a cup of coffee and started telling.
It was a 30 minute appetiser and we are invited to a bigger meeting next week. They told about how to save money by bying directly
at the producer, and that you could make others work for you. No details about how, that would be explained at the next meeting.
Directly asked they mentioned the name of the firm: "Quickstar".
I made a search in Google, and found the name "Quixtar", which sounds like Quickstar. And by accident I found your site.
It confirmed my worst expectations, and I now have to convince my wife that it's a bad idea.
On the other hand, if we get a possibility to buy, what we normally buy, at a better price, it is OK. We just have to avoid the seminars and tapes.
Question is if itīs possible.
I corrected a few spelling errors in the attached file.
What I missed in your exellent article was an explanation of emeralds and diamonds. I first thought i actually was the marketprice of the "stones".
best regards
Frank
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Hi Scott,
I appreciate the stats you've put together. I was a project manager for a major bank in Chicago. My experience was in looking at processees of the bank and aiding in the implementation of new systems and processes. Your documentation appears thorough. However, I have to question your final conclusion as your analysis seems inconclusive. Is it your belief a system like this has been corrupted by sideline efforts to sell motivational material and thus deceiving the business owners and the AmQuix business, with reasonable effort, can comfortably produce an income for people or are you against this type of system altogether? As a successful business owner for the last six years, having associated with numerous other business owners in the traditional sense and with major players in the free market, I personally find the concept sound. The problems I see are the following:
1. training such masses to be responsible business owners. Usually in areas such as tax laws, proper record keeping as the IRS requires and the like...(I agree with your statement, "Why not work out a "business plan" for your AmQuix business before you invest your own money and time?" as this would aid the business owner to understand their objectives as a whole.)
2. there is massive overhead found in traditional training through seminars, hotel meetings, conferences tapes, and books which can in today's technological age be converted into a literal gold mine for those truly interested in developing a home based business.
3. helping a businessperson develop certain skillsets they may not be familiar with and identifying the tasks required to build a successful business. Many of these business require people to do tasks outside of their own comfort level producing mass misfortune and frustration in overcoming such obstacles.
I do however disagree with your presentation and interpretation of the "6-4-2". As a businessman and a true business owner, those who own companies with a network of people by which they get tasks completed and a system by which they are completed through, as well as a student of franchise concepts, I do not see your understanding of developing a business to be apparent. Business owners are most aware the traditional businesses bear some losses their first 2-3 years in business. In most cases fail the test of time - 70 - 80% of the time. If each of these people are looked at as a separate business entity, and not as a co-op; my words of course because I believe that's what best describes your analogy rather than individual businesses, then the flaw is in the paradigm and not in the process.
Have you compared your analysis with traditional or even franchised businesses? I'm not certain there is much data readily available for small start up businesses, but it might prove worthy to compare your information to traditional type businesses to the networking type businesses. I would much like to see your results. This, in my opinion, would have carry more weight to your argument than looking at a business without any comparison.
Best regards,
Jerry
Hi Jerry,
First of all you make some very good points.
You mentioned the training program. I'm not knocking training at all. Training is needed in any endeavor. The difference between the expensive training you spoke of and the relatively inexpensive training from the Amquix lines-of-sponsorship your spoke of, differentiates itself in the compensation scheme. I'm not sure how much you have actually been involved in this business, but a rational observation of its inner workings would show that the "training" is basically worthless other than to perpetuate the training of others.
A line-of-sponsorship I've studied now for a while has a training system that basically feeds on itself and is really only designed to perpetuate the training system itself. Just for fun I attended one of their meetings before Christmas as a guest. Normal IBOs pay $5 to attend. $5 is not much, but here is what was said in a nutshell. (Oh and after paying for the room, they cleared $200 case that night)
Here is what they preach:
"We have the best training system around. You need to sign up for the two tapes of the week, and standing order leadership tape. You need to attend all meetings and functions and buy the book of the month". When you listen to the tapes, all you hear are funny stories, how they are successful, and how you need to be on the training system. I have over 30 of their tapes. I've listened to every one and the message is the same. There is no training to teach retail customers how to use and benefit from the products. There are no tapes on how to attract retail customers. But, there are hundreds of tapes telling people how to get others on the training system.
In a nutshell the training system is the money game, but in reality all you get trained to do is go out and recruit people to participate in the training. Oh, and buy the way, change your buying habits to shopping from Quixtar instead of stores.
This is by definition a pyramid scheme. Most states have anti-pyramiding laws and any compensation scheme that derives most of its profits from those participating or hoping to participate in the compensation program are illegal pyramids. This means that the training system and the products must be sold to people outside those in the compensation scheme to be legal.
So in summary, my opposition to MLM is that it is nothing more a dummy product, or over priced product used to drive an illegal pyramid scheme. The best part of the AmQuix training system is the books, which is also the least expensive part. The most repetitive and least relevant parts of the AmQuix training system are the books and seminars. The highest profits are derived from the least valuable part of the system and the most beneficial part of the system generates the least profit for those peddling the scheme. Go figure.
I do not have access to data to make a comparison.. No doubt most businesses can run a loss in the first years, but there is no successful franchise business where 99% of the franchises are running a loss on their business either.
There are no doubt a lot of new business people who don't know squat about buying a traditional business either. There are lots of stupid people paying $80K to buy a business that nets them $30K/year and 6 day a week work. There are lots of people buying businesses they know nothing about and losing everything. The difference between these people and those sucked into Networking is that most always the Networking people were recruited with organized methods and lies and the traditional business people went looking on their own and found someone to lie to them or not give them the real reason they want to sell the business to them. In both cases people need to do more due diligence and that is the purpose of my site, at least for the AmQuix networking side.
Certainly site visitors have testified that they have personally benefited from the "training they received". Many have said they learned everything they needed in the first 6 months (mostly from books). After that everything was repeated, but everyone is expected to continually repeat the "training", if nothing else than to show the new people how to participate in the system. I believe the system is however only to line the pockets of the people profiting from the training. In the end the sales productivity of their AmQuix business is not enough to warrant their full time effort and skill. Plenty of diamonds have admitted this. If the AmQuix business was truly productive and competitive in the market place, how come their top people cannot live on their sales commissions alone? In AmQuix the reason the upline gets higher bonuses is that fact that they must train the new recruits. That is why they supposedly earn more money, but it is obviously not enough to compensate them.
In the fee market place, I believe the sales productivity of the system is too low to be a competitive distribution system. I could make a more efficient and profitable business scheme just redistributing job income. If everyone just worked a second job a minimum wage and threw the money into an Amquix style redistribution scheme, it would generate far more income on average the same time spent in the AmQuix business. I believe the AmQuix business is a very inefficient way to make money on average.
I hope this has clarifies things.
With best regards, and a happy new year,
Scott Larsen
Scott,
Do you have any further info on Interbiz founded by Casey Combden? Its starting to grow on Long Island. Just curious to hear any truths they might not be telling. Thanks
Ken
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Hello,
Here is a divorced Amway/Quixtar couple who used to be our emeralds when we used to be proponents of buying the books, tapes, and seminar tickets -- the "system".
Alan and Rhonda Schreckengost, Emeralds
They're all "founders" in Team in Focus...
Rhonda is now Rhonda Bowman. Rumor has is that Alan is now sponsored into his former downline by, Robert and Lisa Duncan, his and Rhonda's former directs in Am/Quix.
BTW, I was always promised that no one made any money on the system, the income was entirely from the 6-4-2 product plan. What a load of hooey! I don't associate with any of our former upline, because of the fact that they lied to me, over and over, about the non-existent income source of the system. Also, when I stopped attending the stupid functions and buying the stupid tapes, my stupid upline, so-called friends, blew me off, too. I'm sure that their upline counseled them to avoid me as I now qualify as a "dream stealer...".
In my opinion, anyone who is involved with a current or former group that promotes any version of the "Yeager Brick Road" is full of shit and should be told so. PS. Don't give 'em your money...! They're getting rich from selling their tapes to YOU! In other words, when they sell the tapes to you, they transform you from their "partner" into their "customer". And that's NOT the original premise or promise of joining the "business". One more thing, there ARE descent MLM companies out there. However, the tape salesmen and -women who are Amway Quixtar Team in Focus zealots do NOT represent on of them.
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Hi Scott,
Thought I would tell you how our family celebrates the holidays. While we are not Christians, it is always a great time of year to spend with your family and friends.
I will be going to my parent's place for a few days. My three siblings (all ambots) are doing their own thing at their place. They do not want to be surrounded by our negativity..you know, pointing out the obvious about how much money each of them is losing in this business.
This business has absolutely torn our family apart into two sides. My sister who used to be a platinum can now, not even run 2500PV consistently. Their upline emerald got tired of losing money on the leg and stopped coming every month from Boston because of the cost. Another Storms diamond from Montreal also quit Toronto opens because of lack of attendance. Their upline crown - Don Storms promoted the
4Nexchange pyramid scheme and they don't believe it.What does it take to wake these people up? My brother has one IBO - who is another sister, and she has no IBO's. Still, they sit around talking about the day they will all retire in California or Florida etc. This is absolute insanity and I think they all need to see a psychiatrist.
My parents are absolutely heartbroken over this as my siblings have stopped talking to them for the most part. Like the business teaches - if your friends or family don't support the business, drop them.
This so-called training system is nothing but one big cult. We are a total loss on what to do.
Anybody who is thinking of getting into Quixtar because somebody tells you that you get to see more of your family...think again.
Hope you have a great holiday.
Regards
A.B.
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Hi Scott,
I have recently left Quixtar and have been bombarded with questions about you and your website. Funny thing about this is that I never mentioned you or your website! I tried to explain that your website does not target Quixtar only but they would not listen. I was also told you were kicked out of Quixtar because of your trying to destroy them and because of your sexual preferences. I would appreciate any information you have regarding Quixtar and their affiliation with Microsoft and IBM. I am also in search of information on my rights to complain after having signed a BSMAA document with Quixtar. I really have nothing against Quixtar but Quixtar leaves a nasty taste in my mouth. I have current tapes and booklets from my group if you need them for any thing. I have a power player brochure that definitely shows that the main concern is to recruit people and get them 'on system.'
Thank you,
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SCOTT:
I SENT THIS TO YOU ONCE BEFORE. MUST NOT USE MY NAME
IN THE 15 YRS WE WERE ACTIVE 2 OF OUR UPLINE DIAMONNDS NEVER
QUALIFIED. I BELIEVE THEY QUALIFIED IN 1980. AND HAVE NOT QUALIFIED SINCE. UNDER YAGER. JERRY AND PEGGY BOGGUS HAVEN'T QUALIFIED IN 20+ YRS. MOST WE EVER SO THEM QUALIFY FOR WAS EMERALD. UNDER THEM IS GREAT COUPLE JIMMY AND KAY SHIRER. QUALIFIED I BELEIVE IN 1980-81 AND NOT SINCE OR FOR SURE SINCE WE GOT IN IN 1986. DON'T BELEIVE THEY EVER WERE EVEN AT EMERALD BUT AT BEST WERE EMERALD, BUT NEVER WENT TO AMWAY QUALIFYING INCENTIVE AWARD MEETINGS. IF POSTED AS TWO WHO HAVEN'T QUAIFIED IN 20 YRS. YOU SHOULD BE CORRECT,
ALSO--HAVE ANY INFO ON WHEN DATELINE SHOW AIRING.
THANKS,
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Hi Scott
Alex & Gillian Rae, Ex Emeralds from Durham along with their sponsors Bill & Penny Waddington are now "involved" with selling Tiscali services. Access info by putting "Gillian Rae" into Google.
Yours faiuthfully
Emphasiser
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Scott,
Your site on Amway is very interesting. I was in the business from about 92-95. Learn a lot but didn't make it work. I noticed you were in the Florence organization. I was as well, I fell under Steve and Elaine Gardners group. My question is... where is Billy F. organization now? I found out that Steve and Elaine "retired" stop, but still renew. Just curious. Had a lot of respect for Billy and Steve. Wish what I was reading was not true, but sad to say it is. Some of the basic business principles I learned during those years....I still carry with me today.
The good and ethical ones, mostly learned from the books and speakers that were not associated with "the business" Zig, etc...Any info on the Billy and/or Steve would be interesting to know.
Thanks,
SJS
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Dear Scott,
I do not know you, but I applaud you in your efforts to expose Amway, Quixtar. Keep up the good and faithful work. Dave
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Scott-
Hello you said if you have any questions to write. I am a IBO in the WWDB organization. You have on your site that emeralds make 110,000 and diamonds make 250,000 on average. No that is not true that is the minimum in WWDB that the government allows them to say. The average is more but no need to put that down. So i can't tell if you are for or against or just in the middle on your view of Quixtar. You seem like you really have a lot of info on the business. I found interesting on diamonds that they had 38 to 27. if the 27 is true which i don't keep track you can add ne more or 2002 and 2 more for 2003. I too if you have had or still do thought it was a scam or the whole deal that people say. It was while reading a book in the rich dad poor dad collection i have that i noticed NWM. Now that somehow my girlfriends father who is a big shot, not an IBO or involved in Quixtar at all started to research Quixtar and Amway somehow has gone from ANTI to Really thinks the company is great. I have never told him anything he found out things by himself. I would like to add that i have never heard anybody say you sit on your butt and you can make money in this business when you start. I have heard the opposite although in which people show plans 3-4-5-6 times a week for 1-2-3-4 years and that will make you diamond. I think people have fears after they get in, fear of what people think of them... i know i do and still do. I just find it funny how broke people, and more so broke minded people are never successful and that is the problem with NWM if people don't want change those people are going to blame somebody else. I have gone from a super shy person to now a sorda shy person on the WWDB personal devolopment system. Thanks for reading my email, hope to hear from you. Oh by the way it also says that it is located on the west coast, etc but Quixtar/Amway company is in 81 countries and territories and i am sure that WWDB is in them all.
Thanks again, Bryan