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Disclaimer:

Renée uses 12 criteria with ratings of 0-3 to assess groups and provide an overall ranking out of 10 that reflects levels of coercive control. These assessments are based upon media reports, personal testimonies, and other research. The findings reflect her personal opinions which may differ to others. She is mindful that groups can change over time, for the better or worst, and that the experiences of individuals may vary within any group. Renée is open to respectful discussions and encourages diverse perspectives to foster a better understanding of matters raised.​

Multi-Level Marketing

Amway

Also known as Quixtar, Alticor (parent company), and Amway Global

Founded by Richard DeVos and Jay Van Andel. Current Chief Executive Officer is Miguel Fernandez

1959 -

Established in Ada, Michigan, USA. Currently operating in Australia, Canada, Mexico, Brazil, Argentina, United Kingdom, Germany, France, Italy, Spain, Russia, China, Japan, South Korea, New Zealand, India, Malaysia, Philippines, and Thailand

Amway

Estimated followers: millions of distributers worldwide

Summary of Beliefs

Amway, founded in 1959 by Richard DeVos and Jay Van Andel in Ada, Michigan, has grown into one of the world's largest direct selling companies specialising in health, beauty, and home care products. The company operates through a network of independent business owners (IBOs) who sell Amway's products and recruit others to join the business. Amway emphasises entrepreneurship and personal development, offering IBOs opportunities to build their own businesses and earn income through direct sales and team building.

However, Amway has been scrutinised over the years for behaviours and practices that some critics liken to characteristics of a cult. These include a strong emphasis on recruitment and building a downline, where IBOs are encouraged to recruit new members and expand their sales teams. Critics argue that this emphasis can create a high-pressure environment where financial success is often linked to recruitment rather than actual product sales. Additionally, Amway's hierarchical structure and motivational events promoting company loyalty and adherence to Amway's principles have raised concerns about potential psychological manipulation and dependency among IBOs. Despite these criticisms, Amway continues to operate globally, maintaining a significant presence in the direct selling industry while navigating ongoing debates over its business practices and their impact on its independent distributors.

Analysis Using Renée's Cult Ranking

Amway (short for "American Way") is a multi-level marketing (MLM) company that sells a variety of products, including health, beauty, and home care goods. Founded in 1959, it has grown into a global enterprise with a significant presence in Australia. While Amway is primarily a business model, its practices and community dynamics have often been scrutinised and compared to those of cults. This analysis will apply Renee's Cult Ranking System to evaluate whether Amway exhibits any cult-like characteristics.


1. Authoritative Leadership


Score: 2

Amway's leadership structure is hierarchical, with significant control exerted by high-ranking distributors and company executives. New recruits often look up to these leaders for guidance and business strategies, sometimes leading to an environment where questioning authority is discouraged.


2. Control Over Information


Score: 2

Information about Amway's business model and financial realities is often tightly controlled. Recruits receive information primarily through official channels and successful distributors, which can limit exposure to critical or alternative viewpoints about the business’s potential risks and rewards.


3. Deception


Score: 2

During recruitment, the potential for high earnings is frequently highlighted, sometimes leading to inflated expectations. The emphasis on success stories and lifestyle changes can overshadow the high dropout rate and the challenges faced by most distributors.


4. Exclusive Knowledge


Score: 1

Amway provides extensive training and motivational materials, often presenting its business model as a unique and superior path to financial freedom. However, it does not claim exclusive spiritual or esoteric knowledge, focusing instead on business success.


5. Exploitation


Score: 2

There can be financial exploitation, where new distributors invest significant money into products and training with little guarantee of return. The emphasis on continuous recruitment and product purchases can lead to a cycle of spending and financial strain for some members.


6. Fear, Guilt, & Intimidation


Score: 1

While overt intimidation is rare, there can be a subtle use of guilt and social pressure to maintain involvement and continue purchasing products or attending events. The culture often glorifies perseverance and views leaving as a personal failure.


7. Isolation


Score: 1

Amway encourages strong social bonds within the distributor network, which can sometimes lead to reduced interactions with outsiders who may be critical of the business. However, it does not explicitly enforce isolation from non-members.


8. Micro-Management of Daily Tasks


Score: 1

While distributors have autonomy, there is a strong emphasis on adhering to specific strategies and schedules for meetings, sales pitches, and training sessions. Success is often linked to following prescribed routines and attending frequent events.


9. Monitoring Thoughts & Behaviours


Score: 1

Monitoring is informal and often comes through mentorship relationships where successful distributors guide and influence the behaviours and attitudes of their recruits. There is encouragement to adopt a positive and motivated mindset aligned with Amway’s culture.


10. Punishment & Discipline


Score: 1

Instead of formal punishment, there is a culture of shaming or marginalising those who do not achieve expected results or who question the business model. Failures are often attributed to personal shortcomings rather than systemic issues within the MLM structure.


11. Thought Reform


Score: 2

Amway's extensive training programs and motivational materials promote a particular worldview centred around the business opportunity, success, and self-improvement. There is significant pressure to align one's thoughts and actions with these ideals.


12. Us vs. Them Mentality


Score: 2

There is often a subtle "us vs. them" mentality, where those inside Amway are seen as part of a unique path to success, while outsiders, especially critics, are viewed as negative or uninformed. This can foster a sense of community that is somewhat insular.


Total Score: 18/36

Overall Cult Ranking: 5. Cultish

According to Renee's Cult Ranking System, Amway scores 18 out of 36, translating to approximately 5 on the scale. This categorises it as a "Cultish" group. While not inherently harmful, it exhibits several cult-like characteristics, particularly in its control over information, emphasis on recruitment and spending, and promotion of a distinct group identity.


Amway in Australia demonstrates several characteristics that can be seen as cult-like, particularly in its approach to leadership, information control, and the social dynamics within its distributor network. While it offers legitimate business opportunities, potential recruits should be aware of these aspects and critically evaluate their involvement, especially regarding financial investment and personal autonomy.



Further Reading


IS IT A CULT?: Response from

Amway

No known response. 

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