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Economics

[761] Of the reason why this Lampe Berger fad is a pyramid scheme

For podcast on the same topic, see post [762].

My sister has been asking MYR 30,000 from my parents for nearly 2 weeks now. The reason is Lampe Berger . Upon inspection, I’m convinced this is a pyramid scheme. I told my parents that and they have been very reluctant to give my sister that cash that she needs to enter this scam. However, my mom told me that my sister has thrown RM2,000 into it and that makes me angry.

One of the documents that I managed to have a look is RZ Corporation’s (I suspect this is the real culprit behind scam) “business plan“:

scanned Mohd Hafiz Noor Shams. Fair use for illustration.

For larger illustration, click here. A new window will appear.Notice that one way or another, the real flow of income is the recruitment fee. I mean, come on. They are selling aroma therapeutic piece of crap which I doubt have been medically proven. How many of those shits do one needs to sell to get back one’s RM30,000 fixed cost?

In the end, the quickest and by far the easiest way to breakeven is by telling other people to pay you RM30,000. The goods are merely the veils to cover up the swindlers’ real intention. That’s the hallmark of Ponzi or pyramid scheme.

At first, I thought this is a limited and isolated case. Only after reading Brand New Malaysian’s entry do I realize the severity of the problem. Brand New Malaysian is a local blog with considerable following.

We totally need to get back at those thieves and liars.

p/s – this guy is telling people that MUDs and MMORPGs are the same thing. Yes. Absolutely. /forward /left /starfire /heal /right /travelform /switchback
 /root /moonfire /travelform /switchback /hearthstone /logoff (via)

By Hafiz Noor Shams

For more about me, please read this.

12 replies on “[761] Of the reason why this Lampe Berger fad is a pyramid scheme”

The whole problem with the LB premise is this –

#1 You will make a lot of money
#2 If you don’t its because you did not try hard enough

Now there are a number of professions that also make a lot of money, like football star, famous actor, famous singer, famous chef, famous hairdresser..etc why are we not pouring money into this? Because w e know that we are not talented in these areas.

Frankly, the LB business is a sales job. Its either selling the products, or, its recruiting downlines. Either way, its a sales job. Yet we get brainwashed by the sales presentations and the uplines that we can all be top sales people and make millions, if only we put in our RM30k and try.

If we fail, its not because we can’t sell for shit, but its because we did not try hard enough.

I attended a LB talk once, this poor dork was a student, his family was too poor to pay his fees, so he is hoping investment into LB will give him a great future. I look at him, poor communications skills, poor body language,not top sales person material, and his social circle are friends like him, how on earth he is going to make it? Just got con by his upline for his $2k.

You guys know nuts about the point of this post. The main point is about SYN / Lampe-Berger / DCHL targetting undergrade students (as young as SPM grad). Unlike some 30 years old guy, these students do not have 30K. The only option would be borrowing from parents. And if they blew it then it is their parents that would have to suffer, not them. Do you even stop to think how long does it take for an average malaysian to save up 30k? And then just give it to their teenage kids just because THEY can see potential? This seems like a scheme, where they use children to con their parents hard earned income.

For the children, they are still so young. How can they even be sure this is what they want and will earn them big money? How mature do you think their thinking would be? Wouldn’t the 30K invesment goes to waste if they suddenly have a change of interest? Come on, how many would actually work hard at their teens?

For those wish to remained “anonymous”, you may do so. But pls stop saying and telling everybody how great you are. If you are really that “kiat” then I don see any reason why u shld post comment anonymously. I hope ur child will step on shit like this when they grow up. Then u can come back here and post bout it. Instant Karma for you!

For the young kids using their own money to pay for the mere 2K, pls go ahead. I know you can see potential. But i also know you really need to bang the wall to wake up. Just don use ur parents money to do so.

NOTE : Its all about using young kids to cheat their parents money. Yes, this is how low they will get.

D|D
P/S: brb

Hi,man.Maybe u should cool down and think thru why u are still an EMPLOYEE now.
First,if this is a Pyramid scheme and cheating plp’s money, will this company be survive in 11 countries? Are all those goverment so stupid to let a cheating firm to cheat thier plp???( including Singaopre, Australia? )

Second, that’s no forcing when ur sis made the chioces. If u belive ur sis being “brainwash”, how bout other plp for those they are 30++ age and above or buisness man? Can they be easily “brainwash” or cheated?

Third, do u know anything about maening of “pyramid”? It means when u put in money for an investment, U GOT NOT GOODS NOR PRODUCTS. U cann’t be get on higher position or higher income than ur so call “UPLINE”. JUST KEEP ON EARNING FOR THEM.

And for that 30k goods ur sis get,she can sponsor to other franchise too.It’s NOT AS WAT U SAID MUST FIND ANOTHER GUY TO INVEST 30k TO GET BACK THE MONEY!!! Somehow, there’s a BUY BACK POLICY for 90% refund which is within 180days.(THAT”S WHAT MY FREN DID GET BACK HIS MONEY FOR WAT I KNOW.)

Well, since u are working for ur boss, DO U THINK UR INCOME WILL GET OVER UR BOSS? YOUR POSITION WILL BE AS SAME AS YOUR BOSS? So, u mean ur company is a “PYRAMID SCHEME” TOO….

Lastly, PLS BE SMART AND COMFIRM THAT U REALLY UNDERSTAND EVERYTHING BOUT IT WHEN U SAID A THING!!!!!

As for the above comments was WRITTEN BY ME, who is a 36yrs old GUY and RUNNING MY OWN BUSINESS AS HANDPHONE SUPPLIER for the past seven yrs.

NOW I’M IN THIS UR SO CALL “PYRAMID SHCEME” WITH BUDDIES( those are BOSSES and DIRECTORS in other fields too…),and MY FAMILY MEMBERS.

Well, we are NOW HAVING A BETTER LIFE. Wish ur “EMPLOYEE’s LIFE” will LAST LONG FOREVER.

Opening a kopitiam and making a loss is not analogous to getting cheated. Cheating and lying is never good. If somebody wants to get into this scam, use your own money. Don’t burden somebody else.

And, Ponzi scheme is at least 100 years old. If the length of time is the measure of legality, then you’re in for a big surprise.

Susan Said

Let your sister makes her decision, she sees this business is potential. Marquis and Duke in DCHL have put their effort to build their empire and they help lots of ppl to build their empire; where as some of the people dont sacrifice their time and put effort to learn how to do this business. Come on, if you are opening a kopitiam and have making loss for 3 month, are you going to close down? If your answer is yes, then congrate, you can only be an EMPLOYEE FOREVER. OOOOps… by the way, i build my empire too.. and i give a good life to my parents and all my partners.
If this business is a scam, it won’t be around in Malaysia for six years.
You should know that DCHL is under Direct Selling Act and if you dont know much about this detailed information, you know nothing AT ALL. I believe if your sister put her effort to do business, she will success one day, she is the one can let your parent having comfortable life not you!!!!!

I was an ex member and I know exactly the hidden side of the “business”. I just advise your sister to take my words. Spare out the details, too much to talk about. If wanna know something more, just email me at nightfall@bluehyppo.com

Contextually, MUDs and MMORPGs are the same. Both are code. The only difference is in the interpretation. One gets interpreted by the PC as graphics, the other as text. You still get a 3D game. The only difference is, with a MMORPG, the GPU is in the PC. With a MUD, the GPU is in your brain.

I have a mixed result on my side.
My cousin, threw in thousands initially, and now he is a marquis. Somehow, he managed to convince people to work as his downline and pay him thousands. His network spreads, and now he is fucking rich, at the expense of people underneath him.

Another is my best friend. He threw in 2k, and basically he just didn’t managed to make it. He didn’t managed to convince people to buy his stuff and be in his network. The 2K was never recovered.

You have to be very good in convincing people to buy your stuff and pay you thousands. Initial investment is huge.

By paying 2000, it can get you direct promotion to “franchisee”, which is obvious what you sis in now. In order to advance to “Baron”, you need to have 5 “franchisee” underneath.

I believe, your sister wants to have a direct promotion to “Count”. To become a Count, develop 3 direct baron. If you do the calculation, 1 baron is equivalent to MYR 10K. 3 Baron = MYR 30K.

I didn’t join of course. I perceived pyramid scheme as unethical, therefore i didn’t join. Moreover, you need to pour in a significant investment before you gain anything out of it, IF you make it at all.

As for conclusion, I would advise your sis against joining such scheme. However, if your family have some serious cash to burn, then why not? Else, be realistic and stay away from such scheme.

Hope this helps.

Did you notice a personal advancement for count in the plan?

“Has achieved a one-time Personal Sales of 300,000PV”.

This is where the Cut Count comes in.

This is why your sis is asking that much.

It’s good you have the actual plan.

By highlighting this point. It’s enough evidence to show rank can be bought.

Ya man, I mean, my landlord’s daughter is in it. RM2K plus is a lot of money for a fresh graduate, much less a student. Some fresh graduates don’t even make that kind of money in a month!

STAY AWAY FROM LAMPE BERGER!

Spread the word!

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