Since its instigation in 1980, the 'Herbalife' racket has been sustained by dissimulating all key-information regarding its actual, ever-shifting catastrophic results, whilst deceiving a never-ending chain (now comprising tens of millions) of ill-informed victims into believing that the following, closed-logic, fictional narrative is fact:
- 'Herbalife' is a 'Multi-Level Marketing /Direct Selling Company' - a shining example of a form of lawful enterprise which has been examined (and approved) by regulators around the world and has been self-regulated by 'Direct Selling Associations.'
- Participants made a completely free-choice to sign-up with 'Herbalife.'
- They were 'Independent Business Owners/ Distributors / Members, etc.,' (not employees) and, therefore, responsible for their own actions.
- Anyone can earn income, and ultimately retire on a residual income, from participating in the 'Herbalife Business Opportunity'
- Only persons who never quit and who develop 100% unquestioning belief in their own future success, can achieve success in 'Herbalife.'
- Failure to make any money was, therefore, entirely the fault of the individual 'Herbalife' participant (who didn't develop 100% unquestioning belief and quit) and not the fault of the organisation or its (lawful) 'MLM Business/ Income Opportunity.'
- Any financial losses sustained by 'Herbalife' participants could in no way be the legal responsibility of 'Herbalife.'
Whilst watching this reality-inverting 'Herbalife' recruitment video, Blog readers should bear in mind that, apart from an insignificant minority of exemplary shills, the overall net-loss/churn rate for participation in so-called 'Multi-Level Marketing, Direct Selling Income Opportunities' has been effectively 100%.
In other words, the chances of earning an overall net-income from participation in a so-called 'MLM' have been effectively-zero.
For obvious reasons, this key-information has been hidden from all new 'MLM' recruits.
'The purpose of Newspeak was not only to provide a medium of expression for the world-view and mental habits proper to the devotees of Ingsoc, but to make all other modes of thought impossible. It was intended that when Newspeak had been adopted once and for all and Oldspeak forgotten, a heretical thought - that is, a thought diverging from the principles of Ingsoc - should be literally unthinkable, at least so far as thought is dependent on words. Its vocabulary was so constructed as to give exact and often very subtle expression to every meaning that a Party member could properly wish to express, while excluding all other meanings and also the possibility of arriving at them by indirect methods. This was done partly by the invention of new words, but chiefly by eliminating undesirable words and by stripping such words as remained of unorthodox meanings, and so far as possible of all secondary meanings whatever.'
Georges Orwell (Appendix to 'Nineteen Eighty-Four')
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The purpose of 'MLM Income Opportunity' jargon is not only to provide a medium of expression for the unquestioning world-view and mental habits proper to the core-adherents of 'MLM' groups, but to make all other critical and evaluative modes of thought impossible. It is intended that when 'MLM Income Opportunity' jargon has been adopted once and for all and traditional language forgotten, a heretical thought - that is, a thought diverging from the 'positive' principles of 'MLM' - should be literally unthinkable, at least so far as thought is dependent on words. Its vocabulary is so constructed as to give exact and often very subtle expression to every 'positive' meaning that an 'MLM Distributor' can properly wish to express, while excluding all other 'negative' meanings and also the possibility of arriving at them by indirect methods. This is done partly by the invention of new 'positive' words and phrases ('Herbalife', 'Amway', 'NuSkin', 'Xango', 'Multi-Level Marketing', 'Distributor' , Independent Business Owner,'), but chiefly by eliminating undesirable 'negative' words and phrases ('cult', 'totalitarian', 'fraud', 'deception', 'brainwashing', 'victims', 'exploitation' , 'de facto slaves') and by stripping such words and phrases as remain of unorthodox meanings, and so far as possible of all secondary meanings whatever.
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This document (linked below) contains a point by point comparison of the actual contents of the recent FTC vs 'Herbalife' ruling with the reality-inverting propaganda broadcast by the 'Herbalife' Ministry of Truth.
http://assets.pershingsquareholdings.com/2014/09/Pershing-Square-Capital-Management-L.P.-Q2-Conference-Call-Presentation.pdf
Laughably, rather than 40-odd pages of text, the latest painfully-predictable 'positive' chapter of the 'Herbalife' fairy story could have been perfectly summed up in just one Orwellian slogan:
DEFEAT IS VICTORY
Seeing as these carefully-worded distortions of the truth were fed to the media, and led to a temporary rise in the market price of effectively-valueless 'Herbalife' shares, presumably, Bill Ackman and his associates have filed further criminal complaints against the authors of the 'Herbalife' fairy story with the Securities and Exchange Commission. Hopefully, they will have also pointed out to the Federal Trade Commission that this stream comic-book drivel is not only in flagrant breach of the settlement which 'Herbalife's' Big Brothers have signed, but also demonstrative of their utter contempt for their victims' suffering and for the rule of law.
David Brear (copyright 2016)
I notice that yesterday the WSJ reports that Herbalife "won a victory of sorts"
ReplyDeletehttp://www.wsj.com/articles/herbalife-settles-now-it-must-deliver-1470168470
Anonymous - I had already seen this morally and intellectually feeble WSJ article by STEVEN RUSSOLILLO, and it perfectly demonstrates my published analysis of the mainstream media's chronic failure to identify what actually lurks behinds the 'MLM' fairy story:
DeleteIn 1945, whilst most, contemporary mainstream commentators were unable to look beyond the ends of their noses, with a perfect sense of irony, Eric Arthur Blair a.k.a. George Orwell (1903-1950) presented fact as fiction in an insightful 'fairy story' entitled, 'Animal Farm.' He revealed that totalitarianism is merely the oppressors' fiction mistaken for fact by the oppressed.
In the same universal allegory, Orwell described how, at a time of vulnerability, almost any people's dream of a future, secure, Utopian existence can be hung over the entrance to a totalitarian deception. Indeed, the words that are always banished by totalitarian deceivers are, 'totalitarian' and 'deception.'
Sadly, when it comes to examining the same enduring phenomenon, albeit with an ephemeral 'Capitalist' label, most contemporary, mainstream commentators have again been unable to look further than the ends of their noses. However, if they followed Orwell's example, and did some serious thinking, this is the reality-inverting nightmare they would find.
This WSJ article isn't that bad or is it?
DeleteAnonymous - If we just take an extract of Mr. Russolillo's work:
Delete____________________________________________________________________
'Herbalife sells its nutritional products through a network of distributors, consisting of roughly four million members globally. The settlement puts the burden on Herbalife to reward actual retail sales as opposed to those to distributors. The company has to verify its product sales are legitimate, thereby proving it has actual customers who use its products.'
____________________________________________________________________
In reality, this journalist completely fails to comprehend that 90% of persons under contract to 'Herbalife's' (once known as 'Distributors' but now known as 'Members') have been abandoning their so-called 'MLM businesses' within 12 months to be replaced by a constant flow of new contractees. This contantly churning flock of insolvent contractees has been 'Herbalife's' only real significant source of revenue. The general public has not really been buying 'Herbalife' wampum.
The overwhelming majority of declared 'sales' have actually been to transient 'Herbalife' contractees who have been unlawfully buying the effectively-unsaleable 'Herbalife' wampum based on their false-expectation of future reward, not lawfully based on value and demand.
In other words, 'Herbalife' has finally (after decades) been caught running a dissimulated closed-market swindle a.k.a. pyramid scheme in which unlawful losing-investment payments have been laundered as 'lawful sales.'
David, the FTC found in its 3-year investigation that:
ReplyDelete"At best, “Discount Customers” comprise 25% of total volume"
this should be printed in every news article written on the company... but alas...
ShakeOilSalesman - The WSJ still fails to understand that 'Herbalife' is by no means unique. I believe that in the 'Pokorny VS Amway Quixar' lawsuit, internal documentation revealed that the percentage of transactions which could be legitimately described as retail sales, was less than 5%.
Deletehttp://www.amquix.info/quixtar_class_action_suit_text.html
You'd have to be brain dead not to realise that all 'MLMs' are the same more or less and that only a few at the top of the pyramid take money from everyone else below. Ackman too never says anything about Amway et al. He only mentions MLMs that have been closed.
DeleteAnonymous - The full truth about 'MLM' is unthinkable to most people. I'm sure Bill Ackman knows the full truth about 'MLM,' but he (and his attorneys) decided a long time ago to focus all their attention on 'Herbalife.'
DeleteThe fact that Ackman himself daren't speak the full truth about 'MLM,' demonstrates how dangerous the phenomenon has become.
how does someone reach you to provide you information inside scoop for a story? email?
ReplyDeletenoname - My e-mail contact-address is:
Deleteaxiombooks@wanadoo.fr