Network marketing, also known as Multi-Level Marketing (MLM), is a business model where independent contractors buy into a company and earn a commission on the products they sell. The profession appeals to many people because they can be their own boss, set their own hours, and work towards their own success. It is a big commitment, but network marketing can be a very lucrative career.
But MLMs can get away with this because of the second big difference between a traditional franchise and an MLM “franchise”: In a traditional franchise, the end customer is the consumer, whereas again, the primary way you make money in an MLM is by recruiting other sales people and making commissions off the product they’re required to purchase from the parent company
Even when consultants wake up to the fact they’ve been hoodwinked, many don’t warn their friends to stay away. That’s because if you speak out against any of LuLaRoe’s rules or mishaps, the community could publicly shame and harass you for being negative. “I can’t believe you call yourself a Christian,” one retailer wrote to someone trying to sound the alarm. “Where is the Jesus in you? I have to block you due to your constant-gross-delusional-uneducated opinions of LLR.” If you reveal you are struggling to make sales, you might be told to stop playing the victim, that you’re not putting in enough effort, to be more enthusiastic, and, of course, to buy more inventory.
Fast forward to 2017. LuLaRoe is the biggest MLM for women. “More than 80,000 women have paid around $5,000 for several boxes of low-cost clothing and worked as much as 80-hour weeks to outfit hundreds of thousands of suburban women in multicolored polyester. But according to a report that studied the business models of 350 MLMs, published on the Federal Trade Commission’s website, 99% of people who join multilevel-marketing companies lose money. Depending on how you look at it, it’s either a brilliant business model or a predatory practice — or a little bit of both.” (FTC)
Regardless of LuLaRoe’s official policy, the selling community is rife with consultants strong-arming risky decisions with smiling faces. Emails outlining new policies are sent out to independent retailers directly, who then discuss the company’s communications between themselves. Directives for how to interpret rules are often filtered through Facebook groups by team leaders eager for bonus checks, leaving the door to miscommunication—and manipulation—wide open.
These dosages are pretty standard in the consumer CBD industry and, per the research available, nowhere near the doses proven to be effective in clinical trials. NuLeaf Naturals, a prominent online CBD seller, sells 240 mg of oil for $38.50. It does not specify dosage but measures its CBD concentration in single drops; there are 100 drops per bottle, each containing 2.4 mg. You would have to take the entire bottle, according to Blessing, to get close to the absolute minimum dose that studies show might be effective for reducing anxiety. A $3 squirt of CBD oil on your ice cream or coffee? Probably right around 10 mg. You’d need 30 times that amount to get to the levels at which researchers have found stress-relieving results.
Today we're going to point our skeptical eye at network marketing plans, formerly known as multilevel marketing or MLM (name changed to escape the stigma). They say that when there's a gold rush, the way to make money is to sell shovels. Network marketing companies sell shovels, along with dreams of gold: All you have to do is go out there and dig, dig, dig, and buy more shovels, and get your friends to buy shovels too. Levi Strauss and other suppliers became millionaires, and hundreds of thousands of miners went broke.
Right now, there’s a good chance that you don’t really know what you’re getting from any source. Testing and labeling rules vary by state, but many states that allow legal cannabis also require some kind of testing to verify that the THC and CBD levels listed on the label are accurate. However, this testing is controversial, and results can vary widely between labs, Jikomes said. A study published in March found measurable variations in test results, with some labs consistently reporting higher or lower levels of cannabinoids than others. There are no guarantees that the label accurately reflects what’s in the product. For a 2015 study published in JAMA, researchers tested 75 products purchased in San Francisco, Los Angeles and Seattle and found that only 17 percent were accurately labeled. More than half of the products contained significantly lower levels of cannabinoids than the label promised, and some of them contained only negligible amounts of the compounds. “We need to come up with ways to confidently verify the composition of cannabis products and make this information available to consumers,” Jikomes said.
Hudson Hemp began growing industrial hemp through a New York state pilot program that began in late 2017. Industrial hemp is extremely low in or entirely free of THC and is grown for fiber, hempseed oil, and, increasingly, CBD. Hudson Hemp grows Cherry Wine, one of several varieties, or strains, of the cannabis plant that have been bred to remove THC (which remains illegal in New York) and maximize CBD yield. Some strains are naturally high in CBD and very low in THC; others are high in THC and low in CBD; still others have similar levels of each.