Pyramid scheme | Wikipedia audio article
Channel: wikipedia tts
Date: 14/01/2019

This is an audio version of the Wikipedia Article:
https://en.wikipedia.org/wiki/Pyramid_scheme


00:00:54 1 Concept and basic models
00:03:49 1.1 The "eight ball" model
00:08:24 1.2 Matrix schemes
00:10:21 2 Relation to Ponzi schemes
00:11:59 3 Connection to multi-level marketing
00:14:39 4 Legality
00:16:34 5 Notable recent cases
00:23:41 6 See also



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- Socrates


SUMMARY
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A pyramid scheme is a business model that recruits members via a promise of payments or services for enrolling others into the scheme, rather than supplying investments or sale of products. As recruiting multiplies, recruiting becomes quickly impossible, and most members are unable to profit; as such, pyramid schemes are unsustainable and often illegal.
Pyramid schemes have existed for at least a century in different guises. The difference between a pyramid scheme and multi-level marketing is that multi-level marketing provides an actual product or service whereas pyramid schemes do not and only funnel the money up from recruitment costs.