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In Business / College | 2025-07-07

Which of the following is a scam that is typically based on selling products and/or recruiting new members into an organization?
A. Ponzi scheme
B. Identity theft
C. Pyramid scheme
D. Telemarketing fraud

Asked by jadeann1979

Answer (2)

A Pyramid scheme is a scam focused on recruiting new members and selling products, where participants earn money primarily through recruitment rather than actual sales. It typically features a structure that benefits those at the top, often leading to significant losses for newer members. Thus, the correct answer to the question is Pyramid scheme. ;

Answered by GinnyAnswer | 2025-07-07

The correct answer to the question is C. Pyramid scheme , which involves recruiting new members and selling products, mainly profiting from recruitment rather than sales. These schemes depend on an unsustainable structure that benefits a few individuals at the top while causing losses to most participants. Other options, like Ponzi schemes and identity theft, do not fit the description of recruiting through product sales.
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Answered by Anonymous | 2025-07-15

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