Why MLM doesn't work There are many different viewpoints and statistics that cover why MLM doesn't work.
Many views involve lots of number-crunching and can take a while to understand.
It all boils down to market competition. It's like watering a plant - once it is fully saturated, everything else runs off and is wasted. OK, say I get into an MLM where all I sell are toothpicks - and lots of them. I just want to show you a theory, so let's just assume I'm doing a healthy business. Since toothpicks are used and discarded, my customers will have to re-order toothpicks in the near future, creating even more money for me.