Many of the comments on this board reflect a nearly illiterate understanding of
business typical of those who think, but not deeply. Those excoriating MLM
could substitute any form of business and find a suitable scapegoat. Substitute Big Banks for MLM because of the "too big to fail" fiasco
where Wall Street robbed Main Street (and taxpayers) and then went right back to
gorging themselves on incredible bonuses.Substitute the way that
many CEO's run public companies with little regard for the ultimate outcome
for their investors. They dilute value by awarding themselves enormous packages
of options, warrants and bonuses at the expense of the common stock holder.Substitute Government and you find Congressman and Senators trading on
insider information. Political cronies helping themselves to tax revenue in the
form of businesses like Solyndra ring any bells?The fault dear
reader is not in MLM (though it is not a faultless model), or more traditional
business models. The fault lies in the the natural tendency to give in to the
"rat-brain" and want more and more no matter what, who or how many are
Nice to see a few thinly veiled Xango employees chiming in for damage control.
Do you guys know if the juice is any good? I wouldn't know because I
don't know anyone who sells it here in SLC..
Having known Bryan Davis and seeing him in action for about 5 years my money is
on him if I was a betting man.Bryan is a very matter of fact type of
person. Retaining the same the attorney that got a settlement for Angel should
be enough to tell the average man what's going on.
Like any traditional business, when done correctly, that business is a good
thing that helps its employees and customers. When its not done correctly even
MLM companies have problems. The problem with skeptics (like those who are
trolling this topic), is they don't understand that MLM businesses are
built in the homes of people, not isolated by the brick and mortar of a retail
store where the public is unaware of the drama. If the average consumer was
aware they would be shocked.So what to do? For those in MLM, let me
HIGHLY suggest, if you like this industry, please considered doing business with
a PUBLIC traded company. A public traded company is subjected to federal
regulation requirements, that privately held companies cannot (and won't)
maintain the standard for. It's the secret nature of these privately held
companies that often lead to problems like Xango's, and because MLM is an
"in the home" business, many people not familiar with business see it as
a scam or fraud, when its just business.There are several public
traded out there, choose wisely!
I hate pyramid schemes, personally. It's all about the "pitch and
sell" to off-load your costs to someone else, whether or not the product is
truthful. Those that are suckered into it deserve what they get. The
downline suffers while those that got in "early" reap the benefits of
hard workers below them.
I have worked with Aaron Garrity in the past, but not at Xango. This is no
suprise to me or anyone else who has worked with him. His selfishness and ego
have cuaght up to him. I feel bad for all of the innocent people that have been
hurt and will continue to be hurt for his wrongs and that of his team. I hope
that justice will be served. It makes it seem that everyone and every company in
the MLM industry is corrupt and that is not true. I have worked in the undustry
for over 20 years and there are many good law abiding citizens who respect the
law and respect others.
Xango was founded in a shady way and has continued shady. There are many good
people that work there but it was founded by its original owners in a corupt
manner. Some of them were very good men that later lost there way is all. I hope
the 1,000's of people that are affected by these few men and their poor
ethical decisions do not suffer too much on their behalf.
@ Max"Why MLM is legal has always puzzled me. It is a horribly
flawed business model that does nothing but transfer wealth from the bottom of
the pyramid to the top. "Where, in this religious state, could
they find an example to copy?
Another Utah MLM in the news. Xango appears on scoreboards at BYU sports events,
it's in its alumnus magazine. It's as if Xango has positioned itself
so that everywhere the church is, it's there also. It's founders are
probably all church leaders, BYU alumni. Interesting how Utah has become known
for this kind of biz. Xango is a cash cow––that's really all it
is. Nobody can even tell you what the product is or what they do. From top to
bottom, it's all about salesmanship.In "Approaching
Zion", Hugh Nibley talks about the "baffling contradictions" in our
LDS culture. This story typifies such contradictions. This active Mormon finds
this all very troubling.
As described above, the whole business model for MLM's is deceiving and
dishonest. It involves selling unproven products to "distributors"
creating a "downline" of sellers. When those people downline also sell
product, some of the profits are kicked back up. Therefore, the higher one is
in the pecking order, the better one's chance of making money, often
enriching those at the very top at the expense of those at the bottom. Persons
interested in exploring the problems with the MLM business model should look at
http://mlm-thetruth.com/. I would add that most of the products for
consumption sold by these MLMs including mangosteen juice (Xango), vitamins
(USANA), and bovine colostrum (4Life) are "foods" with some thinly
disguised medical claims. The "food" designation frees these companies
from FDA oversight required for "drugs".Some additional
interesting comments about Xango and MLMs can also be found today on KSL. I
agree that the concentration of MLMs in Utah is a blight on an otherwise
industrious (the beehive!) and well run state.
@sneakyjimmy96% of people are consumers, not entrepreneurs. They are
the majority of the people and post things like you see above. They
were taught to go to school, get good grades and get a good job. It's not
their faulty, they were TRAINED this way. They will never pursue anything
uncomfortable, only ridicule those who do. 4% pf the population are
entrepreneurial minded. They will ignore the critics and believe making a lot of
money in a short period of time is a good thing. Plan A work your butt off for
35 years, hope for a retirement pension. Plan B: Do plan A until you dont have
This is rich...wasn't Xango founded on Morinda's ideas? Funny that
now they're crying foul!
Ben H., that's already in the works. Word was that Xango didn't have
the cash to continue the sponsorship. Maybe this is why.
It's amazing to see all the defenders of MLM. By the way Walmart is not a
pyramid company. The greeter at Walmart cannot recruit other greeters and get a
share of their income. The only thing MLM is good at is selling average product
at exorbitant prices to people that want to get rich quick.
@procuradorfical: If you look at the corporate structure of WalMart it also
makes a pyramid. There is only one Chairman of the Board or CEO with all the
workers at the bottom--that forms a pyramid. Every city, town, & country is
also a pyramid organization. Having sold software the MLM industry for a number
of years I can say that there are good ones, some that aren't so good, and
some that are crooked. It's unfair to do a broad brush of any industry.
Time for RSL to get a new jersey sponsor.
TO: bigv56 @ 7:10 a.m. ----What are you trying to say?! I suggest
using complete sentences, punctuation, explain yourself thoroughly, provide
sources to back up your claims, etc.~~~~~~~~~~~~~Now for my general
comment: XanGo is an excellent Utah company with MANY tremendous people!! They
contribute almost endlessly to the community, the economy and worldwide growth
and development of their "associates". I am sorry to see them having
these kinds of problems, and hope they can get things fixed and get through it
all without too many scars! 8^)
Yet another evidence of the fact that the very business model of an MLM
engenders dishonesty. What is the difference between promising riches to new
distributors who literally have no chance whatsoever to make money and padding
expense reports? I look forward to the day when Utah recognizes and moves away
from this fraudulent type of company. And yes, I mean every one of them.
Why MLM is legal has always puzzled me. It is a horribly flawed business model
that does nothing but transfer wealth from the bottom of the pyramid to the top.
Unfortunately, there are still many financial and economic illiterates who get
sucked into this.
Re: "XanGo co-founder accuses partners of corporate looting"Isn't that what the whole company has been doing all along?If
this company's stuff -- or Amway's stuff, or Nuskin's stuff, or
any of the other pyramid-selling organizations' stuff, for that matter --
were actually any good, you could buy it at Wal-Mart.They
wouldn't need to sell it using deceptive, high-pressure tactics or
pie-in-the-sky promises of quick riches that, mathematically, can only come true
for a tiny cabal at the very top of the pyramid.It's sad that
the twin demons of desperation and gullibility -- the same evils that assure
longevity of the cynical gaming and lottery industries -- have made these
mephistophelian enterprises a permanent scar on Utah's and America's
The whole thing is a joke. The magic juice which has no proof of efficacy. That
and an mom. Utah ,the capital of scam
Isn't that the idea of a marketing company to loot and pilfer from their
investors and employees? SOP, and the investors are now on notice to get out so
we can consider this company another victim of its own greedy owners.
@ JJJHSSorry your last mlm never worked for you. Next time do some
due diligence before you join another and quit blaming the industry for your
Mr. JJJHS you make a false generalization about a definition and an industry,
and do it from a city not known as an example of integrity. If these
individuals are guilty of the charges levied, I hope justice will be done. It
is a sad fact that some in every industry take advantage of their positions and
forget about their duty to treat others fairly. But lets not demean those
people of integrity in every industry who are examples of rectitude, fairness,
A Multi Level Marketing (MLM) company by definition is crooked. Surprised it
took this long to have another Utah COunty MLM be exposed.