Critics suggest in short, that only a small percentage of MLM salesmen ever make a profit, those who do well financially achieve it by recruiting other salesmen, not by selling the product. Just one quick example: The sales material I have seen at Global Domains International (GDI) talks mostly about earnings and recruitment and only mentions the actual product, web site hosting and .ws domain names as an after thought. One has to question the value of their core product, .ws domain names, when is the last time you had a .ws website come up in a web search?
I have a friend who admits she has a bit of a seminar addiction, getting caught up in the excitement of a new product/program presentation. The cult like culture of MLM organizations is a part of their recruitment strategy to make people fell like their a part af something special.
The Wikipedia MLM page contains statistics worth a review before getting into another MLM business.
(They say MLM is nothing like pyramids)
The Penn and Teller: Bullshit! program which debunks a different concept each week, took their shot at MLM in season 8, episode 5.
Easy money? (14:01)
Mancave, Pure Romance start up cost and payoffs. (13:16)