20-07-2017, 03:05 PM
(20-07-2017, 09:06 AM)Millionfaith Wrote: [ -> ](19-07-2017, 10:29 PM)dreamybear Wrote: [ -> ]The discussions on BWI China model are getting very complicated.
My GUESS is BWI is selling DR Secret products via :
Distributor*(company level) -> Distributor*(company level) .... -> Consumer(Individual) using 663 "concept" .
*salons, shops etc
It is not really considered DS because the tiers are companies(instead of individuals), e.g. Watsons/Guardian chains or Gong-Cha franchises, and these BWI distributors/companies are all over China. It is not commissions at individual level but "sales margins"/"profit bonuses" at company level, incurring company income tax etc. So, the top most level is DMJ(or Chao Yue Ti Xi i think); the PDs are owners whose companies are directly below her company, in other words, all of them have to be business owners. In addition, DMJ's company(salon/shop) may also sell to end users directly(but no tier commissions). All these made her the "top seller".
So, when the DS licence comes for both the various DR products + various China cities, then BWI will convert all the existing distributors/companies as individual members(persons) into the "normal" DS.
Now, the problem is this is treading the fine line of DS/MLM. While BWI wants to recognize its China distributors' achievements, it may warrant unwanted regulator's attention. So it is better to keep a low profile i.e. removing all the videos from the public domain.
BTW, my Chinese is quite rusty so pardon me if the above is already invalidated by the Chinese passages in the earlier threads.
Of course, all these are just dreamybear's theory, pls DOD.
I believe there is a certain degree of non official practice, in business, sometime it is difficult to avoid. The company if choose to close both eyes, it is dangerous. Example OKP, already have prior warning, yet one of their structure collapsed. For BWI, it seems like after several shareholders questioned the IR, the company removed the videos to avoid further speculations. The truth whether the non official practice is conducted by individual agt/disty or encouraged by the company to do so, to me, is unknown. However, I think the company might have some knowledge on it. From the IR response, it appears that BWI is practicing what the competitors had done and still doing, and they ASSUMED it is safe.
Anyway, for those who has already cash out, it is money in the pocket--safe! No one know what is going to happen tomorrow. Besides company risk in BWI, there is still ongoing market risk that one has to bear all the time. Also, there is always opportunities in the market, hence end of the day, who knows who is the greatest winner.
For those who are still invested in BWI, be rational and not bias. Sometime I also tried to justify a risky/bad investment. Nowadays I tried to be more systematic with my strategy, still learning.
Please do your due diligence, above is just my view.
君子爱财,取之有道
Officially, they implied they could close both eyes on their export business.
Unofficially, being the possible mastermind behind it, both their eyes could be wide opened even during sleep.
It is illegal but many think they could get around the rules. 道高一尺,魔高一丈.
Difficult for many to avoid the temptation of reaping exceptional gains quickly – driven by greed.
Bottom line is does BWI have a choice?
If it is illegal – the right choice is obvious - simply don’t do it.
Is it a difficult choice?
For a company with the highest ethical standards – it should be a pretty straight- forward decision.
Does BWI has the freedom to choose its own ethical values ?
But looks what they have chosen.
The risk- reward dynamic of this stock has changed.
The high ethical standard of the company which it preaches is under threat.
As an investor, it is your right to choose to even close your third eye, if you do happen to have one extra - the choice is yours.
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