MLM Industry Acts Like It's In Crisis

MLM Industry Acts Like It’s In Crisis by William Keep

Summary

• Industries in crises try to redefine what they do.
• Industries in crises aggressively try to change their environment.
• FTC regulators (not FTC enforcement) blithely contributed to the MLM crisis.

Recently the Direct Selling Association (DSA), industry lobbyists, consumer groups, and industry critics (this author included) expended time and energy to try to advance or retard, depending on their respective view, the progress of H.R. 5230, the so called “The Anti-Pyramid Scheme Bill.” Designed to immunize MLM companies against a pyramid scheme charge (see this telling parody), the bill represents the industry’s continuing departure from entrepreneurship and direct selling. The industry effort illustrates just how uncomfortable it has become with the history of...