| |
| |
|
Ethics Information |
|
|
|
What is a Ponzi Scheme?
This is for those who don't believe me when I talk about the dangers of "mystery money" schemes. The terms "pyramid scheme" and "Ponzi scheme" are used almost interchangeably. However, the scheme for which Charles Ponzi is most remembered was not a pyramid. If you aren't aware of the story of Ponzi, you'll likely find it familiar. This man promised to double your money in 90 days, and he kept his promise -- until the day he was arrested for fraud. He had created such a personal mystique that he continued to receive money from new investors while in prison. How could someone with so many satisfied customers end up in prison? Because fraud is fraud no matter the results. Ponzi claimed to be investing peoples' money and giving them the proceeds. What he was actually doing was giving peoples' money to people who had previously "invested" in order to make it seem like everything was OK. Meanwhile, he was living a lavish lifestyle while he was millions of dollars in debt. He had no trouble getting the ever-increasing numbers of opportunity-seekers necessary to fund his business. He probably would have kept it up for many years if the government hadn't stepped in. Therefore, the lessons learned by those who wished (and wish) to follow in Ponzi's footsteps are... * Hide the money trail better. * Improve the illusion of selling a real product or service. * Don't promise anything. It's very difficult to prove that a chain letter originated with a certain person. Many pyramid schemes are organized in such a way as to conceal who is at the top. If there is an actual product or service being sold, it's difficult to prove that the main purpose of being in an organization is to recruit others (and their money). Finally, hype it up, but don't get too specific. You can't get sued for disappointing someone. Are these the lessons that should be learned from Ponzi? No. If Ponzi was good at anything it was lying. A lesser con artist trying to do what he did would have been run out of town long before millionaire mode set in. Also, things are different now. If you want to set up your own Ponzi operation, you have a lot of competition and a very savvy audience for your sales pitch if you choose to do it online. A simple Google-based investigation of your Internet trail can allow a scambuster to publish your entire history of crime on his home page for the world to see. Also, the Internet provides ways of making Ponzi amounts of money legally and with less effort. Let's all just stop giving out money to the scammers and trying to emulate them. Make the Web a better place. Mike Jolley is a writer and programmer who recently turned to Internet marketing and publishing full time, with a big focus on business ethics. Find him and his other articles at http://www.onlinehonesty.com
MORE RESOURCES:
Ethics - Google News |
|
|
|
RELATED ARTICLES
Conflict: Not Necessarily a Bad Thing I got yelled at tonight. Not the type of yelling that someone does when you've done something to tick someone off, but the kind of yelling that was a swift kick in the pants about something that I'm NOT doing. Brain Development and Due Process DUE PROCESSAfricans, especially Nigerians are stereotyped on the internet and offline in foreign countries as corrupt, cheats and thieves.Whenever I have to introduce myself to foreign contacts, whether online or offline, I must make visible effort to prove my contact wrong, because he or she instantly sees me as a scammer-419, another Nigerian cheat or thief. Diversity I know that diversity has been a big topic of conversation ever since the early 1990s when research supported the demographics that by the year 2000, 85% of the entering workforce would be female, African-American, Asian-American, Latino, or new immigrants. The fact that white males would be a minority entering the workplace was a wake up call for corporate America. Top 10 Principles for Positive Business Ethics This morning, I read about a company using on-line auctions to defraud customers. Last week, I consulted on an ethics complaint where a business coach betrayed a client's confidentiality. What is a Ponzi Scheme? This is for those who don't believe me when I talk about the dangers of "mystery money" schemes.The terms "pyramid scheme" and "Ponzi scheme" are used almost interchangeably. The Social Implications of Computing Directed by Mark Harrison, "Visions of Heaven and Hell" is a three-part cautionary tale come documentary commissioned by Channel Four, that warns of the impending infiltration of technology and pessimistically endeavours to communicate the sentient of an old Buddhist proverb which states "To every man is given the key to the gates of heaven; the same key opens the gates of hell." and within computerisation lies such a key thought a dismal set of apprehensive predilections. The Deception Perception: Pay No Attention to the Man Behind the Curtain The Deception PerceptionWithout a doubt, people would rather do business with someone they know, like, and trust. Credibility is critical. Business Ethics: An Oxymoron An oxymoron: the juxtaposition of contradictory words or concepts. That is what we have with the term "Business Ethics". Ethics? How To Take the Measure Business When asked to write a small piece pertaining to ethics and integrity in the business world, my first inclination was to draw on personal experience.Everyone has bad experiences to relate. Business Ethics: How The Sales Function Can Transmit Company Values I recently got a "thank-you" call from a man who read my new e-book Buying Facilitation."Boy," he said, "this method sure helps me close more deals and make more money. Business Ethics: An Oxymoron? Why do I believe good PR and business ethics are inextricably linked? It comes down to definitions. Ethics is learning what is right and what is wrong and then doing the "right thing. Ethics in Business...A Lost Art While watching Face the Nation one Sunday earlier this year, Bob Schiffer discussed the airline industry, his mother and ethics in business. Like Bob, I think it is a sad commentary today, that we have to police businesses. The Only Thing You Get for Free in Life is Hungry! My grandfather was a very wise man. Simple but wise. Six Reasons to Give If you run a business, you undoubtedly feel many pressures on your time and money. Why would you want to add "giving to the community" to your "to do" list? Here are six reasons . Communicable Corporate Diseases Hurting Business Sexcess! Enron Executive goes to prison for 10 years, Martha Stewart is under house arrest, and Bill Clinton averages $150,000 per speaking engagement.It all comes down to decisions on the fly, no pun intended. Enron's Ultimate Victim: Ethics FROM the 'MORAL HIGH GROUND', where we imagine ourselves, the Enron fiasco should have come as no surprise. Enron is simply a quintessential example of the degradation of principles such as trust, loyalty and ethical standards. The Armaments Industry and Holy (?) Roman Emperors "The time for fixing every essential right on a legal basis is while our rulers are honest and ourselves united. From the conclusion of this war we shall be going down hill. Financial Projections in Business Plans One of the most difficult sections to write in a business plan is the proforma and financial sections. After all it is most difficult to what exact costs you will incur or what level of sales volumes are actually achievable. Dont Hate Them Because Theyre Beautiful Tonight I'm going out with two extremely impressive ladies who I am introducing to one another. They are both GORGEOUS, in their mid 20s and both incredibly intelligent. Ethics in Business - Please Have Some Is your business ethical?What I mean is "Does your business do the right thing when faced with that decision?" It's a simple question, which many businesses struggle with. I just don't understand the struggle part?I have worked for companies that believed they were ethical, and really have no clue.
|
| home | site map |
| Web Site Development - Search Engine Marketing: Dream Team Media |
