S4:E10 The Hidden History of Multi-Level Marketing

S4:E10 The Hidden History of Multi-Level Marketing

The story of how pyramid schemes came to effect 1 in 6 American households

Multi-level marketing (MLM) is a relatively new invention. It was created when a failed vitamin salesman named Carl Rehnborg was out of options. So his wife suggested that he attend a rally by Dale Carnegie, author of “How to Win Friends and Influence People”. Once there, he formed a bond that created one of the most profitable predatory financial traps in modern history: multi-level marketing. One that found its legs… in the world of cemetery plots.

Our guest in this episode is Robert FitzPatrick. He’s the founder of PyramidSchemeAlert.org, a non-profit that tells the truth about pyramid schemes. He’s also the author of the excellent book Ponzinomics: The Untold Story of Multi-Level Marketing.

Discussion Questions:

  • Do you know someone who sells for an MLM?
  • Have you ever sold for an MLM?
  • Do you think they should be legal?
  • What is market saturation and how does it impact salespeople?
  • Have you ever bought an item that you didn’t need just because the salesperson was so good?
  • What can you do to show MLMs for what they are?
  • Has anyone at your church ever tried to sell you on an MLM?
  • How can tying a bad business practice impact how people see Jesus?

Helpful Links:

S2:E27 How Multi-Level Marketing Targets Christians (4 of 4)

S2:E27 How Multi-Level Marketing Targets Christians (4 of 4)

Did you know that Presidents George H.W. Bush, Bill Clinton, George W. Bush, and Donald Trump have all stumped for the multi-level marketing industry? MLMs, direct sales, and network marketing have powerful friends. But what about Christian “celebrities”?

On this, our fourth and final episode on MLMs, we’re going to demonstrate how the gospel is used to sell an illegitimate business model. People like Josh McDowell have spoken for Amway. But does that make his actions wrong? He is, after all, there to preach the gospel to a captive audience. Who can blame him?

Ideas explored in this episode:

  • What was the Trump Network?
  • Did Bill Clinton speak at Amway events?
  • How was George Bush involved with MLMs?
  • Who is Terri Savelle Foy?
  • Can we mix the gospel and business?
  • Why do Christians and people of faith sell for pyramid schemes?
  • How do pyramid schemes target Christians?

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