By the way, Mr. IBOFB:
Further to my above comment that size is irrelevant, and my previous comment that the key metrics to look at are: market share gains, profitability, and cash-flow.
Do keep in mind that for the calendar year-ending Dec31/2007, GM was still (by a narrow margin) the largest automaker in the WORLD!!! Most units […]
no affiliation with me. This blog is maintained by a gutsy CPA, MBA, and I love this, only in America, “Certified Fraud Examiner”. She has a posting up on why she questions the business model of Amway.
Obviously, she is a numbers person, as her data and logic is similar to mine.
http://www.sequence-inc.com/fraudfiles/2008/07/21/amway-sucks-quixtar-sucks-alticor-sucks/
http://www.cocs.com/jhoagland/amstats.html
I found the above link to a page of statistics where the poster converts the raw percentages and turns it into a real, hard number. I have looked through the page’s contents and they seem to be based on real calculations. I like that, another numbers guy.
I originally posted this as a reply-comment on Nov12/08. As below:
Let’s try not to lose sight of the big-picture bottom-line.
I have repeatedly stated that Amway has placed themselves into the retail space, and are selling a retail product line. No one has to twist my arm when I want to go buy a foot-long sub, […]
This is a response to IBOFB’s latest comment in which he states all the good things that Amway has done these past **two** years to help grow the business. Or is that, to try to stop the blood from flowing?
To which I respond, yet again, “please, just this once, look at the numbers.” It really […]
As I said earlier, this is a financial, business, and forecasting blog. This isn’t an Amway-focused site but i thought i’d post my thoughts on the Amway business model because I’m a numbers guy, and the numbers simply have to add up. I did sit through an Amway sales-sign-up meeting the other night, which was […]
I found this information online.
http://www.thisbiznow.com/quixtar/ibo_statistics.html
A quote:
IBOs earned $370.1 million in bonuses and incentives in fiscal 2006, bringing their seven-year total to more than $1.72 billion.
More than 370,000 Independent Business Owners received a bonus in FY 05.
thus:
$370M was earned as bonus in 2006. and $1350M was earned as bonus in the six years inclusive from 2000-2005.
thus […]
I want to thank the poster from “ibofightback”, who signed off as “IBOFB”. I appreciate the response. My original post wasn’t meant to be a slam against Amway or any other retailer, but simply a black-and-white analysis of the business model. Bottom-line—if you are in the retail business, then all profits flow from sales generated […]
i met a guy a year ago who is doing amway. i give the guy full credit, he is definitely giving it his all.
however, I am a numbers guy, and the financial numbers are black-and-white. they don’t lie.
from public numbers online:
amway
50 years in business
worldwide sales are $7Billion
http://www.amway.com/en/Media/2007AnnualSales.pdf
as amway is a private company, numbers are private
but […]