Direct selling

The existence of the following acts are pyramid schemes:

1. The organizer or operator through the development of personnel, requiring the development of other people to develop personnel to join the development of people to develop the number of people directly or indirectly rolling the development of the number of people as the basis for the calculation and payment of remuneration (including material incentives and other economic benefits, the same hereinafter), to make illegal profits.

2. The organizer or operator, through the development of personnel, requiring the development of personnel to pay fees or subscribe to commodities and other means of payment in disguise, to obtain the qualification to join or develop other people to join, and make illegal profits.

3. The organizer or operator, through the development of personnel, requiring the development of other people to join, the formation of the relationship between the upper and lower lines, and the sales performance of the lower line based on the calculation and payment of the upper line of remuneration, and make illegal profits.

4. In the "Regulations on the Prohibition of Distribution", the concept of hierarchical relationship is repeatedly mentioned, a certain law to form a hierarchical relationship is only a phenomenon in the many distribution, must be with the illegal possession of other people's property behavior may be suspected of distribution.

Definition of direct selling:

Direct selling can also be referred to as manufacturers direct sales, not through an agent can be sold directly, refers to the direct selling enterprises to recruit direct sellers to sell directly to the final consumer sales of a kind of business sales method.

The World Direct Selling Association defines the concept of direct selling as follows: direct selling refers to the marketing of consumer goods in places other than fixed retail outlets (e.g., a person's home, place of work, or other places) where products and services are introduced directly to the consumer in a face-to-face manner by independent marketers through explanations and demonstrations.

Forms of direct marketing:

1. It is direct marketing in the form of producer culture.

2. It is direct marketing in the form of distributor culture, which is to consume to gain profit, this kind of direct marketing.