Business Model

efusjon Fails – Another “Ground Floor MLM” Tragedy

by Wayne Wu on September 2, 2010

in News, Alerts, Warnings & Scams

Whenever I see hype, it raises a huge red flag for me. It’s a sign of something that is driven by recruitment, and does not have a long term future. In the case of efusjon there was bucket loads of it.

The company began in 2008 and was formerly launched in January 2009. It experienced rapid growth until their Facebook Application Launch failed miserably and a lawsuit was filed against it by MLM attorney Kevin Thomson in late 2009.

The lawsuit was filed in an effort to get the company to change its business model to protect its distributors from promoting an illegal pyramid scheme.

Since then it has been on a gradual decline. In late August 2010, it sent this letter to its distributors… [click to continue…]

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Explode Your Downline – Do You Really Want To Do That?

by Wayne Wu on March 3, 2010

in Mindset & Personal Development

If you look at the physics of an explosion, a lot of heat is generated in a very short period of time, creating a shock wave that’s loud and travels outwards, blowing everything in its path to bits. Whatever is exploded ends up burnt and in thousands of tiny bits and pieces that can NEVER be put back together again.

Explosions cause irreversible damage. That’s a physical law of the universe. It’s also a law of the business world. Countless business have failed because their growth was unsustainable, fueled by greed and ego. And you can’t put it back together after it crashes and burns because your reputation has also “exploded”. You have to start all over again.

It’s unfortunate that many people come into network marketing expecting to get rich quick. This is a wonderful industry of personal development and cultivating leadership. But the way it is often promoted, it attracts desperate people who will inevitably fail. The last thing these people ever need is a business opportunity. [click to continue…]

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A Sad, But Often True Story of Network Marketing

by Wayne Wu on November 13, 2009

in MLM Compensation Plans

I worked hard, where's my money?A few days ago, I had a conversation with a lady who reached a very significant pin level in one of the largest MLM companies. She is no longer with this company, but her story is one that’s not too uncommon within the MLM industry and should serve as a lesson to all of those who really want to live the MLM “Dream”.

From the outside she and her husband had what you could call “success”. They were always on stage, speaking and telling inspirational stories at company events. Every week they trained their downline on how to promote the business and its products.

What was missing?… The Money! [click to continue…]

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