SOME OF THE BIGGEST PYRAMIDING SCHEMES

Nazi Germany - local (Confined in Germany, attempted to spread all around the world but was foiled by the Allied Forces)

Why was it a pyramid scheme? The Fuhrer was the master. Nobody could say anything against him. While he was having celebratory functions with his mistress Eva Braun and other Nazi dignitaries in Berlin, his soldiers were shedding blood and killing people at the fields in the name of the Fuhrer. Nazi's biggest lie was that the Aryan race was the most superior of all races and the Jews should be exterminated.

Just like any pyramid schemes, the Nazi or the Reich ended abruptly. What happened to it's founder? The Fuhrer did not want to be humiliated so he, along with his worshippers, killed himself through cyanide pills and a gunshot to the head right just before the Soviets could capture him.

Duration of the scheme - Roughly 12 years (from the rise of the Nazi Party in Germany in 1933, 6 years spent in the scamming activity of war, 1939-1945).

Absolute Monarcy - local (Confined only in the kingdom or empire the monarch ruled in. Always attempted to spread globally through colonialism but the colonies became independent states later on).

Why was it a pyramid scheme? It's because at the top of it all was the King or the Queen who got the most wealth and benefits from the scheme of taxes. Below the king/queen were the ministers and dukes who could also impose taxes and majority of which for their own gain. Below the ministers and the dukes were the landlords who owned smaller pieces of farm land in which farmers worked day and night only to get a small portion of the harvest.

Just like any pyramid schemes, Monarchy did not last long. Or if it did, it is rarely absolute anymore (still existing absolute Monarchy - Brunei, Saudi Arabia, Monacco but the monarchs in these kingdom have changed their form of Monarchy from a pyramid "I am the king I own all the wealth" structure to sharing the wealth to the people). The end of a monarchy system is usually bloodbath in the form of revolutions (example the French Revoloution).

Duration - A monarch's rule usually lasted for more than 30 years but this is if he practiced harmonious rule. In most cases, the monarch, due to his/her greed either was forced to abdicate by the new monarch or got killed in a revolution (like Louis XVI and his queen Marie Antoinette of France).

Your job - local (confined only in your employer's premises, no attempt could be made to make your job global since there is only one you)

Why is it a pyramid scheme? The CEO is the highest paid salaried person in your job. Next to him are the Vice Presidents who, perhaps, earn as much or close to what the CEO earns. Next to the Vice Presidents are the Senior Managers who, in most companies, earn about 60% of what the Vice Presidents are earning. Below the Senior Managers are Managers who earn about 60% of what the Senior Managers are earning. Below the Managers are the Supervisors who are earning perhaps 50% of what the Managers are earning. Lastly there are the staff or rank and file employees who earn miniscule amounts. From top to bottom, the most number of people is concentrated at the bottom (i.e., there is only one CEO, perhaps five VP's, ten Senior Managers, 50 managers, hundreds of Supervisors, thousands of employees, depending on how large the company is).

Just like any pyramid schemes your job does not last long. Your job is short lived in the sense that it only lasts for the following reasons:

- You are still physically or mentaly capable of working
- You are still satisfied with whatever pay you are given
- You are going up the levels of this pyramid scheme (note, the higher you climb, the steeper it gets)
- You are still stupid enough to understand that you are inside a pyramid scheme

The term "junkie" is also existent in this scheme. A junkie is someone who jumps into different pyramid schemes. When you quit your present job to apply for another job you are merely transferring into another pyramid Corporate Slavery.

Duration - At most thirty years (what are the chances you will reach the top position in this pyramid?).

Binary Network Marketing Schemes (or even Triads or a three legged scheme) - local (confined only to a few countries or if they do set foot in a lot of countries, once they saturate these countries they just close shop there and move into another country that they can saturate)

Why are they pyramid schemes? Binary Network Marketing Schemes (the only reason it's called Network Marketing in the first place is because it also utilizes word of mouth, to some extent) create exactly that - the pyramid shape. You can hear its advocates always preach the following statement: "Our company is still in the early stage, take advantage of being a pioneer". Don't you suspect anything when they say this? It only goes to show, and it's coming out of their mouths, that the ones who gain the most are the ones who join first. These pioneers indeed create money from recruiting those who come later. That's why they form a binary structure so that it's easier for the pioneer to stop doing anything and just let his recruits recruit and down the line it goes.

Just like any pyramid schemes, binary Network Marketing Schemes come crushing down abruptly. Binary schemes rarely last 5 years. Those companies like U**** (fill in the blanks) that claim they last very long are only lying. These companies have lasted long because of the "close-open" strategy. They open a company, close it down or change its name after a while, then do the same thing over and over (that's why they seem to last a long time).

Sad to say but the Network Marketing model is being used by either crooks or uneducated S-Quadrant people to earn wealth at the expense of people they recruit. Some signs that a company is a Pyramid Scheme:

1. It has a binary scheme - you are to recruit TWO people in your frontline, who in turn will do the same. If you have lots of people to recruit in your frontline this binary pyramid scheme will tell you to sign up yourself again under you so that you can multiply your earning potential. How dumb is that?

2. The company is not a member of any Direct Selling Associations in the country in which it's founded or any country it has presence in. In the Philippines we have the Direct Selling Association of the Philippines (DSAP).

3. The company has only one or a few product lines. An example would be this JUICE selling company (the juice that they say comes from berries of the Himalayan mountains). This company claims you shall become a millionaire. Oh yes perhaps you can be. But how long until that happens? When you have sold a million juice bottles? Think about it, how can you become a multimillionaire selling a single product if it's not real estate, a Rolls Royce or Oil?

4. The company uses hype as a style for recruiting. If you ever are invited by a friend of yours to any business presentation and the presentor and the people around always shouts "POWER" then definitely that's a pyramid scheme. Or if in this so-called business presentation they often emphasize on their "high earners'" cars or houses then definitely it's pyramid.

5. Some of its top members or the founders are seasoned Network Marketing people. These people are those who have joined more than three Companies. These are what we call JUNKIES.

6. They claim that politicians and famous actors are part of the company or are some of the founders of the company. In fact, you will indeed see these politicians or actors in their product catalogues. Talk about hyping.

THE KEY IS EDUCATION. THE REASON WHY MOST PEOPLE GET VICTIMIZED BY PYRAMID SCHEMES (OH YES SORRY BUT INCLUDING YOUR JOB) IS THEY FOCUS ON ASKING "HOW?" AND LOOKING FOR MAGIC FORMULA OR THE RECOMMENDED FORMULA TO BECOME WEALTHY. INSTEAD FOCUS ON "WHAT YOU NEED TO BECOME" SO THAT YOU CAN CREATE YOUR OWN MAGIC FORMULA AND NOT FALL PREY TO THOSE WHO PEDDLE MAGIC FORMULAS.

This is an original blog composed by COACH RYAN VERGARA . It may not be reposted or otherwise recopied without the expressed written consent of the author.

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