Why MMM Will Fail
MMM like many ponzi and pyramid schemes, thrive on participants paying into a single account from where the scheme is impacted and fraud takes places. But since changing to the current format of providing help (PH) and getting help(GH), MMM have produced a model that is too good to stand the test of time. Also with the 30% interest received for participant who provided help in 30days is mouth watering.
People like me have always tried to find where the 30% interest is coming from, only to be told it stirs from traffic to the site, monetized MMM videos on youtube, and the use of google products by guilders etc. This makes the interest MMM is paying " free money ."
The business model is very good, i mean so good that will draw a lot of people to withdraw their money in the bank and put them in MMM. No wonder the precocious climb in the past year for MMM, already one of the most visited site in Nigeria in the past 12 months.
Remember i said the model is so good, yes it is, until the bubble will burst. MMM has a very important flaw, which is, "the economy." The world depend on the system of borrowers and lenders. Those with excess money save them so that those in the productive sector can use them in our economy to provide jobs and make the world a better place. If everybody withdraws there money in their bank account and put it in MMM, the economy will crash. No government wants that. In fact the economy needs to be very liquid so that people don't fall into depression. Which is why the url and MMM in general will be disbanded in Nigeria.
If MMM continues with the 30% interest rate, consumption pattern will only grow because lets face it, not everybody can be an investor. it is not about having the money, it is about what you do with it that matters.
People like me have always tried to find where the 30% interest is coming from, only to be told it stirs from traffic to the site, monetized MMM videos on youtube, and the use of google products by guilders etc. This makes the interest MMM is paying " free money ."
The business model is very good, i mean so good that will draw a lot of people to withdraw their money in the bank and put them in MMM. No wonder the precocious climb in the past year for MMM, already one of the most visited site in Nigeria in the past 12 months.
Remember i said the model is so good, yes it is, until the bubble will burst. MMM has a very important flaw, which is, "the economy." The world depend on the system of borrowers and lenders. Those with excess money save them so that those in the productive sector can use them in our economy to provide jobs and make the world a better place. If everybody withdraws there money in their bank account and put it in MMM, the economy will crash. No government wants that. In fact the economy needs to be very liquid so that people don't fall into depression. Which is why the url and MMM in general will be disbanded in Nigeria.
If MMM continues with the 30% interest rate, consumption pattern will only grow because lets face it, not everybody can be an investor. it is not about having the money, it is about what you do with it that matters.
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