Direct vs pyramid selling companies. Critics allege that some companies get their benefits over all, attracting new participants and not based on selling products, but the critical against mentions that this is precisely one of the characteristics that differentiate the pyramid schemes that reward the incorporation of new partners to the pyramid, while direct sales plans pay only by the movement of products. To know whether the direct sales company is or not pyramid, you must make three pregunta:1. Do it as soon as there is the company? How much more time carried the company active, major legal challenges will have had to face.This will give you information to know whether it is a company who just want your money and then escape. A recommended limit are 5 years.2.
In many countries it operates and who governed it in the country where you are located? Is possible that the company procedurally to evade the laws of some countries, but it is very difficult to do so in several. It is especially difficult to avoid the laws in States belonging to economic communities with joint laws, such as the countries belonging to the European economic community. 3. Is it possible to win more money that the person that you are inviting him, and with the same investment? The answer must be Yes. Earned money must always depend on products sold, not of antiquity.Compensation plans. Over the decades the companies have designed different compensation plans to direct sales.There is Additionally, profit and personal gain from the sale of products by setting a network according to the following compensation plans: phased Plan. It is also called Breakaway.Los distributors earn a Commission on your personal sales (discount on sales volume) and sales of its groups that there is beneath them, until they beat them on the stair (hence its name).Companies such as Agel, Oriflame Cosmetics, Herbalife, Nature s Sunshine, Forever Living and Omnilife, Natural Forces Nutriproducts, operating in Venezuela, Spain, United States, and many other countries, with this model.