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How Herbalife Only Scams the Sellers

Is Herbalife the world’s largest pyramid scheme? Decide for yourself in this video! Subscribe to Pablito's Way below:    / @pablitosway   New to Pablito's Way? Start here!💯    • New to Pablito's Way?  Start Here!   Check out some more of our favorite videos below: The Fabulous Millionaire Life of Pastor Joel Osteen⛪   • The Millionaire Lifestyle of Pastor J...   The Untold Truth About the Escape From Alcatraz⛏️    • The Untold Truth About the Escape Fro...   Rappers Who Went Broke with Dumb Decisions💸    • Dumbest Rappers Who Went Broke   Follow me on Instagram!   / _pablitos_way   Too Good to be True They say if it sounds too good to be true, it probably is. Just ask anyone who's found themselves caught in the clutches of a pyramid scheme. The scammers lure you in with claims that their unique business opportunity will make you rich beyond your wildest dreams. Herbalife Beginnings Herbalife first came to be in 1980. Its founder, Mark Hughes, had watched his mother struggle with obesity and drug addiction for much of his childhood before she ultimately passed away when he was still a teenager. Legality You may be thinking, "Wait a minute. That sounds like a pyramid scheme to me." You're not the only one to think so, either. Herbalife has been accused of being a pyramid scheme for as long as it's been in business. Public Trading Herbalife started trading publicly on the NASDAQ following its array of legal troubles. As the '90s approached, they rebranded to Herbalife International and expanded sales into Spain, Japan, Mexico, New Zealand, and Israel. MLM vs. Pyramid Scheme As Herbalife struggled to find leadership following the death of its founder, they continued to walk the delicate tightrope that separates a pyramid scheme from a legitimate company. Bill Ackman One of Herbalife's most passionate antagonists was Bill Ackman, the founder of a billion-dollar investment firm called Pershing Square Capital. Ackman's reasoning behind taking down Herbalife in the first place was less than heroic. Betting On Zero But his crusade to take down Herbalife once and for all wasn't over. Ackman's short of Herbalife stock became the focus of a documentary called Betting on Zero. The doc closely follows Ackman's bet against the nutrition company, also featuring firsthand accounts from former Herbalife distributors who had negative experiences with their employer. FTC Opinion While the whole charade with Ackman didn't make him any money, Herbalife was subject to an FTC investigation shortly after the investment titan began his campaign against the company. New Herbalife So remember those significant changes Herbalife made to their business model? What exactly happened there? The company was forced to show that 80% of its gross sales were to people outside its distribution network. Herbalife Today Herbalife is still going strong today. They bring in billions of dollars annually off the backs of their health and nutrition products, their best seller still being that protein shake Mark Hughes started selling from the trunk of his car.