Herbalife is NOT a pyramid scheme!!

Alatariel75
Alatariel75 Posts: 18,224 Member
in Health and Weight Loss
How do I know?

because they're paying $200 million and "significantly changing their business practices" so they can say they aren't, that's how...

http://www.wsj.com/articles/herbalife-to-pay-200-million-over-claims-of-misrepresentation-1468584397

Replies

  • Cherimoose
    Cherimoose Posts: 5,208 Member
    That's good news, yes?
  • queenliz99
    queenliz99 Posts: 15,317 Member
    Somebody mad flagged the OP. Lol
  • Annahbananas
    Annahbananas Posts: 284 Member
    Alatariel75 wrote: »
    They made a profit of $96 million in the first quarter of this year, so they're basically paying 6 months profit to make this go away. It makes me sad that they're making that much money. So many people being sucked in.

    So is their livers!!

  • Alatariel75
    Alatariel75 Posts: 18,224 Member
    Annahbananas wrote: »
    Alatariel75 wrote: »
    They made a profit of $96 million in the first quarter of this year, so they're basically paying 6 months profit to make this go away. It makes me sad that they're making that much money. So many people being sucked in.

    So is their livers!!

    If only the investigation were into their supposed health claims. It was all about the financial side, alas.
  • DHNike1
    DHNike1 Posts: 11 Member
    I used to Sell this but very soon saw the light and stopped.
  • debrag12
    debrag12 Posts: 1,071 Member
    I know a couple down the road from me who always wear the logo tops and even have a smart car with all the branding on it.

    I always find herbal life people are preaching that you have to have this, drink that etc and make claims they got to where they are with only herbal life. You need to have 'this drink' after a workout...actually I do not.

    What really gets me is the ex military selling it.

    It sounds like Beachbody to me.
  • Alatariel75
    Alatariel75 Posts: 18,224 Member
    debrag12 wrote: »
    I know a couple down the road from me who always wear the logo tops and even have a smart car with all the branding on it.

    I always find herbal life people are preaching that you have to have this, drink that etc and make claims they got to where they are with only herbal life. You need to have 'this drink' after a workout...actually I do not.

    What really gets me is the ex military selling it.

    It sounds like Beachbody to me.

    The whole thing that was at the core of this investigation is that people like your neighbors don't sell the product and don't have customers who drink it, they just have a crapload of people below them who also have people below them, who also have people below them who are actually selling the stuff to people and earning $5 a week and trying to get the people buying it to sell it so they can make more money.
  • robs_ready
    robs_ready Posts: 1,488 Member
    There product is still *kitten* though
  • Alatariel75
    Alatariel75 Posts: 18,224 Member
    robs_ready wrote: »
    There product is still *kitten* though

    Yup!
  • MaybeLed
    MaybeLed Posts: 250 Member
    I saw this, Having being fairly unaware of Herbalife until I saw it on MFP.

    There are similar schemes which are all corrupt, including claims that it will 'fix' a wide range of issues.

    https://www.theguardian.com/business/2016/jul/15/herbalife-ftc-fine-200-million-pyramid-scheme-label
    This one isn't behind a paywall.

    "A career selling Herbalife’s products to consumers was effectively worthless, Ramirez told reporters on Friday; the only way to make money was for salespeople to buy its products in bulk, pressure new recruits into joining the company and then sell those products to the new employees.

    “The average amount that more than half of the elite members known as ‘sales leaders’ received in a year for recruiting others into the Herbalife program was less than $300,” Ramirez said. Far more made nothing or lost money on the initial investment."
  • MelaniaTrump
    MelaniaTrump Posts: 2,694 Member
    edited July 2016
    "Too bad the investigation was not about their products and if they actually work"
    Opinion: The investigation got started by a guy called Bill Ackman often seen on CNBC. Over the stock of the company (it trades in the NYSE). It was all financial to begin with (not about the product). It is illegal for a pyramid scheme to offer stock. The guy has put his heart and soul going after this company. He even shorted the company losing money.
    Maybe someone else will test their products and prove that what they are selling is just overpriced junk. You have to have deep pockets to go after any company.

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