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Gonzalo Collarte
Gonzalo Collarte

Gonzalo Collarte

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Tag: MLM

Direct selling, multilevel marketing, and the line that separates them from a pyramid scheme

on 19 May, 20262 July, 2026 By gc

Direct selling and MLM are often misunderstood as pyramid schemes. This piece explains how legitimate direct selling works, how MLM compensation is structured around real product sales, and how regulators distinguish it from fraud. It also explores incentives, misuse, and why the model still remains relevant in modern economies.

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