Herbalife internationally is an US-American company, which drives Kosmetika and info. materials out by means of structure selling.

Enterprise

Herbalife was created in February 1980 by Mark Hughes and began with the selling of Herbalife in the USA. 1982 he gained a conversion of two million dollar and expanded after Kanada.1986 went the company to the stock exchange. The firm founder Mark of Hughes died in the year 2000 at the age of 44 years. The circumstances of its death are disputed (see below).

According to own data Herbalife 2001 gained a conversion of 1.7 billion dollar, 2004 a conversion of 2.2 billion dollar.

Herbalife is led since 15 December 2004 at the New Yorker stock exchange (NYSE) under the contraction "HLF ". In the first quarter of the yearly 2005 the enterprise with a net turnover of 327,1 millions US dollar registered an increase of 14,8% in relation to the same period of the previous year. The proportionate turnover increase in Europe amounted to 5.8%. The current conclusion numbers for 2005 are not present.

Products

Herbalife sells products to weight control, food auxiliary means and hygiene. As an offerer within the ranges "health, health care, complete nutrition with all micro nutrients, fight against predominance, and Antiaging "positions itself the enterprise on the market of the Wellness products in the industrial nations.

The product range offered by Herbalife is constantly developed further in co-operation a scientific-medical advisor committee. This committee belong among other things David jack (scientist, founder the center for human Nutrition to the UCLA) and Louis J. Ignarro (Nobelpreis for medicine 1998) on, as well as Dr. Marion Flechtner Mors, they work since 1989 to the medical university clinic in Ulm, to which the treatment the predominance a long tradition have. As diplomierte it leads the research group predominance there.

Herbalife products are decorated with the seal Marks of the Hughes Cellular & Molecular Nutrition Laboratory at the center for human nutrition at the University OF California, Los Angeles (UCLA). This university department is gesponsert by Herbalife and is itself among other things with the confirmation of a positive value of industriellen successor products of Sojaproteinen, in addition Herbalife counts, for which human nutrition concern.

Herbalife products become as "internal nutrition "(nutrient-rich meal replacement, food auxiliary means) and "outside nutrition "(Kosmetika) markets. Over the contents materials become, except which denomination of micro nutrients does not publish and "herbs ", data.

Selling

The marketing system of Herbalife exists according to own data out world-wide "over 750.000 independent advisors ", who are organized in a network marketing system (also structure selling or multi-level marketing). The dealers - or "advisors "- are often on to recognize on clothes and vehicles attached, I Herbalife Stickern. 2005 were examined and certified the enterprise in 60 countries.

As is the case for other structure selling, the marketing system of Herbalife is based on the fact that the customers themselves become again salesmen for the products. For the conversion of the retailer receives not only it a commission, but also that, which enlisted it before. So that such a pyramid structure functions, the product margin must be high. The salesmen are independent and in its work and time employment only itself responsible.

Since the products of Herbalife are consumption products, above all continuous users are looked for as a target group. A goal of the business is the long-term use by the customers, which is after firm name also because of the fact that a result or a result of the use can occur usually only after a longer Anwendnung.

The first task one "Herbalife partner "is accordingly the structure of a personal customer master. The retailer wins new prospective customers for the products, by single or group presentations is the prospective customers themselves again buyers to become. In practice there are very differently large customer masters. According to data of Herbalife a number of 20-50 supplies per month realistic with an appropriate expenditure of time and circle of continuous subscribers is.

Retailers receive a money back warranty for not sold products, which are to facilitate the step for them for purchase decision. The selling partner is factor and can, on the basis in the German-speaking countries valid laws for the commission sales, which return Herbalife to not set off products. A financial risk by missing paragraph develops if the selling partner does not adhere to the return solution given by the manufacturer.

In the remuneration system of Herbalife there are different authorization stages so mentioned. On basis of the classification in this system the discount is specified with the product purchase of the retailer. Around "supervisor status "to attain must reach the retailer uniquely 4,000 "points of volume "or two times 2,500 "points of volume "in two following each other months. These "points of volume "are an internal accounting unit for conversions of Herbalife dealers and correspond approximately with the respective national currencies. "An advisor "with "supervisor so mentioned status " , which bought thus already goods in the value of 4.000 "points of volume "or euro, in the consequence deduction receives a 50-prozentigen.

According to data of Herbalife salesmen can be gained, with a monthly expenditure of time by 30-50 hours, up to 900-2.800 "€ per month; presupposed the appropriate number of buyers and/or dealers is enlisted, who buy for their part products.

The number of retailers is neither regional nor in the respective country by defaults by Herbalife reduced. Also Internet is used as sales platform, whereby often also several dealers unite.

Legal

According to the Federal Office for police of Switzerland Herbalife is to be enlisted so long no illegal snow ball system, as long as it is more lucrative for the salesman to sell separately the product as subordinated salesmen. An offence was so far not proven Herbalife. The pressure on the salesmen, who attend frequently to no other activity, is nevertheless high. Legally Herbalife products may as food replacement, however not as cures (e.g. as slimness means) angepriesen to become in Switzerland.

In Germany can be punishable network marketing in the sense "§ 16 exp. 2 UWG (law against the mean competition) (2004 ago: "§ 6c UWG). Despite frequent suspicion, Herbalife were proven also in Germany so far no explicitly illegal methods.

In Austria companies, which operate network marketing, in the committee direct sale of the chamber of economics are organized. The chamber of economics promotes direct sale by the WIFI in own courses "- chance for the future "this possibility of an independent occupation. The number at and insolvencies of Herbalifeberatern is nevertheless high.

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