Herbalife Scam

Herbalife Scam

Someone, probably not the founder, Mark Hughes, figured out that ephedrine was an amazing drug. It was legal in the 80s, found in a Chinese plant called Ma Huang. It is a stimulant. He himself, and friends found that it was a really potent aid in weight loss, helped give a strong perception of energy boost and vitality. You could say that it is a chemical analog of amphetamine. So, he had this great product, Green Herbalife, and he was selling it out of the trunk of his car. It really worked. The customers were actually becoming very big fans of the product. Some would even say that they were addicted to it. Mark didn't want to hire salesmen, so he offered a partnership buy-in scheme. The customers who loved the product were some of his best customer, spreading the word and demanding more and more ephedrine. At some point, recruiting sales help become just as profitable as selling the drug itself.

The weight loss and entrepreneur sales pitches worked hand-in-hand, sweeping the country like wildfire. The product was eventually matched by commercial products like mini-thins, leaving the Herbalife business opportunity as the top selling point. First salesmen into new territories made a lot of money. Mark Hughes got very rich and died of an overdose. Then ephedrine became illegal to sell in some states, so the product was changed and diversified. The company got busted for being responsible for all those "Work at Home, full time/part time $15,000-$5,000/ month" signs in every corner of the USA.

Previous Fact Next Fact
Categories: CorporationCrime

Latest FactRepublic Video

Room of Forgotten Souls

Sponsored Links