Monday, August 15, 2011

Of Google+ and Pyramid Scheme

Have you been trying Google+ ? It's an exciting social media which is more reliable and secure than  Facebook. I just been using it for a week and love it so much especially when I can express more about my thought within my circle. 

We have discussed about pyramid scheme in Google+ and I thought I should share this one:

This is all very misleading and nothing more than a common pyramid scheme:

"A pyramid scheme is a non-sustainable business model that involves promising participants payment, services or ideals, primarily for enrolling other people into the scheme or training them to take part, rather than supplying any real investment or sale of products or services to the public. Pyramid schemes are a form of fraud."

"A pyramid scheme is a form of fraud similar in some ways to a Ponzi scheme, relying as it does on a mistaken belief in a nonexistent financial reality, including the hope of an extremely high rate of return."

"Each joiner is required to buy an expensive but potentially worthless item, such as an e-book..."

The sad truth is that pyramid schemes is still a grey area in Malaysia, meaning that there is no clear law that defines it as a illegitimate business model. However, pyramid schemes are illegal in many countries including Albania, Australia, Brazil, Bulgaria, Canada, China, Colombia, Denmark, the Dominican Republic, Estonia, France, Germany, Hungary, Iceland, Iran, Italy, Japan, Mexico, Nepal, The Netherlands, New Zealand, Norway, the Philippines, Poland, Portugal, Romania, South Africa, Spain, Sri Lanka, Switzerland, Taiwan, Thailand, Turkey, the United Kingdom, and the United States.

This is why schemes like this one blossom under the guise of a growing business. Those who have never picked up an MBA book will easily be tricked into joining this "business" with their "investment" pooled together with money from other "investors" flowing straight into a single bank account. And the price of a "product?" The term money laundering comes to mind. Oh and don't forget the term, "get rich quick."

If you want to start a business, it is far better to educate yourself. My personal favorite is "The Personal MBA" by Josh Kaufman:

You can buy his book or access the information you need for free on his website.

History might always repeat itself, but the wise and well informed know better.

I like this and I agree with him 100% .


jelita78 said...

aku tak dapat tangkap lagi laaa cara nak pakai google+ ni..
dah mmg takde facebook kan, so, social network stuffs is not my genre.

jelita78 said...

about this scheme, i think dalam malaysia ni sebab lots of the players are among the org kenamaan.. wife si dia.. anak si polan.. abang si sinun.. so, itu pasal law pon mcm letihhh jer nak kick in..

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