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  • DSAP 8 Point Test

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    Jamz Lopez
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    The document outlines an 8-point test from the Direct Selling Association of the Philippines to determine whether a direct selling company is legitimate or a pyramid scheme. The test involves asking questions about whether the company sells products, pays commissions based on product sales rather than recruitment fees, intends to sell products not recruiting positions, compensates based on product sales rather than recruitment numbers, would allow participants to still profit if recruitment stopped, has a reasonable product return policy, sells products with fair market value, and provides a compelling reason to buy products. If all questions can be answered yes, then the company is likely legitimate, but no answers suggest it is probably a pyramid scam.

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    8 test

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    The document outlines an 8-point test from the Direct Selling Association of the Philippines to determine whether a direct selling company is legitimate or a pyramid scheme. The test involves asking questions about whether the company sells products, pays commissions based on product sales rather than recruitment fees, intends to sell products not recruiting positions, compensates based on product sales rather than recruitment numbers, would allow participants to still profit if recruitment stopped, has a reasonable product return policy, sells products with fair market value, and provides a compelling reason to buy products. If all questions can be answered yes, then the company is likely legitimate, but no answers suggest it is probably a pyramid scam.

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    73 Ansichten1 Seite

    DSAP 8 Point Test

    Hochgeladen von

    Jamz Lopez
    The document outlines an 8-point test from the Direct Selling Association of the Philippines to determine whether a direct selling company is legitimate or a pyramid scheme. The test involves asking questions about whether the company sells products, pays commissions based on product sales rather than recruitment fees, intends to sell products not recruiting positions, compensates based on product sales rather than recruitment numbers, would allow participants to still profit if recruitment stopped, has a reasonable product return policy, sells products with fair market value, and provides a compelling reason to buy products. If all questions can be answered yes, then the company is likely legitimate, but no answers suggest it is probably a pyramid scam.

    Copyright:

    © All Rights Reserved
    Als DOC, PDF, TXT herunterladen oder online auf Scribd lesen
    Markieren Sie unangemessene Inhalte
    von 1

    DIRECT SELLING ASSOCIATION OF THE PHILIPPINES (DSAP)

    How to differentiate a legitimate direct selling company from


    pyramiding using the 8-point Test

    1. Is there a product?

    2. Are commissions paid on sale of products and not on registration/entry


    fees?

    3. Is the intent to sell a product not a position?

    4. Is there no direct correlation between the number of recruits and


    compensation?

    5. If recruitment were to be stopped today, will the participants still make


    money?

    6. Is there a reasonable product return policy?

    7. Do products have fair market value?

    8. Is there a compelling reason to buy?

    If the answer to all the questions is YES, then the company being evaluated
    is a legitimate company. But if the answer is NO, then there is a high
    probability that it is a pyramid scam.

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