Monday, January 28, 2013

Is Herbalife a pyramid scheme? Inside look -- from the bottom | Synopsis

Is Herbalife a pyramid scheme? Inside look -- from the bottom

Tate-Tito 2-9-06 (81)
Tate-Tito 2-9-06 (81) by [MGM]
License (according to Flickr): Attribution-ShareAlike License
Excerpt:

In truth, there have to do with a hundred-- in some cases two on every block in this low-income Hispanic area. They're in shops, homes, apartments. But all are unmarked. It's an Herbalife policy, indicated to keep the product line exclusive and individual. These distributors sell vitamins, beverages and shakes that promise better health and fat burning. But for them, the real cash depends on getting others to sell those items too. Related: The cash behind Herbalife, Mary Kay and others
Take newly recruited distributor Luis Tito, who believes Herbalife products healed his arthritis, diabetes and damaged liver. The 58-year-old Ecuadorian gave up waiting tables at a Manhattan restaurant for $ 3,500 a month and states he set up $ 12,000 to open a store that offers Herbalife products.

Keywords:

Herbalife Tito Herbalife products Herbalife President Des distributors Herbalife policy Herbalife sign Herbalife agents Herbalife income pyramid scheme distributor Luis Tito promise better health low-income Hispanic community breakfast nutrition drinks active U.S. distributors hedge fund manager traditional sales organization elevated subway tracks company policy fosters bright green markings new distributors weight loss product line bottled concoction real money 58-year-old Ecuadorian joint pains Mejor Vida shop Mary Kay digestive problems aspirational words Manhattan restaurant multi-level marketing Better Life better care marketing plan sales team negative bet body shop bed sheets personal relationships higher level Edgar Montalvan personal assistant recruits Walsh business rent home

People:

Luis Tito

Overall Sentiment: 0.138025

Relevance: 0.598839

SentimentQuote
0.362334"I'm very happy and satisfied with the work I'm doing," Tito said. ...
0.252853"I'm very happy and satisfied with the work I'm doing," Tito said. "I feel a lot better, and I feel more relaxed."
0.152036"It's more important to expand the line and grow more clubs, because the company pays us more when we register more people," Tito said. ...
Sentiment Stats:
  • Number of Quotes: 3
  • Aggregate Sentiment: 0.767223
  • Mean: 0.255741
  • Standard Deviation: 0

President Des Walsh

Overall Sentiment: 0.0232017

Relevance: 0.229376

SentimentQuote
0"It's very similar to a traditional sales organization," Herbalife President Des Walsh said. ...
0.0499825"It's very similar to a traditional sales organization," Herbalife President Des Walsh said. "You can make a few thousand dollars a month... but if you aspire to move up the marketing plan and achieve a higher level of income, say, six figures, that comes from a sales team below you."
0.0100478Walsh said that company policy fosters more personal relationships: "If we had signs, we'd be the equivalent of a Starbucks."
Sentiment Stats:
  • Number of Quotes: 3
  • Aggregate Sentiment: 0.0600303
  • Mean: 0.0200101
  • Standard Deviation: 1.4142135623731

Bill Ackman

Overall Sentiment: -0.292875

Relevance: 0.188584

Edgar Montalvan

Overall Sentiment: 0

Relevance: 0.185434

Mary Kay

Overall Sentiment: 0

Relevance: 0.174823

Mejor Vida

Overall Sentiment: 0.101483

Relevance: 0.157645

Key:

  • Aggregate Sentiment is meant to be an indicator of an individual's overall sentiment.
  • The Mean is meant to be an indicator of an individual's average comment sentiment.
  • The Standard Deviation, when there are enough quotes, will indicate an individual's consistency of sentiment (i.e. a Standard Deviation of 0 would mean they were very consistent in their sentiment and 1 would mean they were very inconsistent).

Note that quote stats are likely to be meaningless beyond the aggregate score due to the tiny sample size. However, they are always provided just in case you find something useful there.

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