Ten crucial questions about Multi-level Marketing
What is multi-level marketing?
As specified in Article 6 of the Multi-level Marketing Supervision Act, Multi-level marketing businesses are required to file with the Fair Trade Commission before starting operation. What information do they need to provide?
Is notification to the Fair Trade Commission the only requirement for a multi-level marketing enterprise to be considered lawful?
Does a MLM enterprise need to provide an additional report to the Fair Trade Commission each time there is a change in the previous report's contents?
If a participant of a multi-level marketing enterprise establishes a company to handle the business arising from his participation will this act be subject to notification requirement?
What information should a MLM enterprise disclose to prospective participants pursuant to Article 10 of the Multi-level Marketing Supervision Act?
What are the definitions of "mainly from introducing new participants" and "reasonable market price" in Article 18 of the Act?
What types of practices adopted by multi-level marketing businesses and participants are prohibited by the Multi-level Marketing Supervision Act?
Can participants withdraw from multi-level marketing schemes? Can they return the goods they have purchased and get refunds? Are there time limits? Do such goods have to be intact?