It should be known that there is absolutely nothing illegal about network marketing and multi level marketing companies and how they function. Both network marketing and MLM companies are growing in the US economy and prospering despite negative stereotypes and this is important to remember throughout this article. ACN is one of the largest MLM firms in the country and specializes in telecommunications and technology, just through the MLM and network marketing framework.
However, ACN has dealt with accusations of luring potential clients into making promises they can’t keep. Their income comes primarily from recruiting new members instead of selling actual products. Hiring Trump to endorse their business. At $450,000 a speech, Trump served as an advertiser for ACN. Trump has since claimed “I’m not familiar with what they do or how they go about doing that, and I make that clear in my speeches.” This didn’t stop him from making millions of dollars from the company.
A leader in the business world, Trump’s involvement with ACN surely threatens his credibility. Trump has been quoted, “ACN has a reputation for success, success that’s really synonymous with the Trump name and other successful names, and you can be a part of it.” ACN may have a reputation for success, but their reputation is also clouded with scams. Trump’s success, too, is mired by four unsuccessful ventures that ended in bankruptcy. Despite these blemishes, Trump acted as an effective celebrity sponsor for the marketing firm.
Early last week, ACN claimed a “long-standing, respected business relationship with Donald Trump” but have since removed Trump from their website. However, this erasure (intended to protect Trump’s campaign) can’t disguise the Trump’s influence as a household celebrity name from his first appearance with the company in 2006. ACN’s attempt to distance themselves from the Trump name likely correlates with an intention to stay out of the spotlight during Trump’s presidential campaign.
ACN has been accused of “deceptive and misleading trade practices,” with the defense that price-spike problems occur across the industry. As Trump and ACN go separate ways, maybe they both will commit to developing an honest business model that prioritize its customers over profit.
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