Is Quixtar a pyramid scheme?
by 
Egao No Genki
ANSWERS: 2
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It is a pyramid but a legal one. When product flows down and money flows up it makes the company legal. Government, Banks and Churches are also classed as legal pyramids. They have product to sell which makes them all legal. Everything is some sort of pyramid. Because Quixtar doesn't charge people either for joining or for the "privilege of recruiting" others as distributors, it is not an illegal pyramid. Illegal pyramids have no product. Through a very complicated bookkeeping scheme the courts are forced to say they are legal.
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Depending on the laws, there is another issue that can identify a 'pyramid' scheme. I believe that some governments state that if in a 'multi level marketing' business, a person cannot earn more than the person above them, then it is illegal. I think this has something to do with the structure and the way money is allocated and earned. In Amway/Quixtar/A2K, it is possible for a person to out-perform their upline members. I could be wrong, but I remember reading this bit of trivia somewhere, once upon a time.
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