One phenomenon that initially puzzled the MLMSkeptic is the SEVERE LACK OF UNDERSTANDING by most MLM participants about their own industry. They seem to be completely unaware of the facts, and instead believe in misinformation, such as
- Harvard Business School teaches/endorses MLM (NO THEY DON'T!)
- MLM / Network Marketing Created the Most Millionaires (NO THEY DIDN'T!)
- Having a product means the scheme cannot be a pyramid scheme (WRONG!)
And many more.
It is as if many participants are relying on... "folk wisdom" passed down by their uplines, who are passing misinformation, whether by design or negligence, leading to a game of "telephone" where after a few generations / levels there are no facts left, only misinformation.
That's when I discovered yet another cognitive bias... "the illusion of explanatory depth".
Basically, most people only *think* they know something. This is termed "feeling of knowing" by psychologists, or "FOK". They only follow correlations, and form their own idea about what caused what, even though those can be elaborate ruses or illusions designed to trick them. They actually have NO IDEA how whatever they observed actually works.
Here's one example. Do you know how bicycles work? Are you sure? (Those who can look at a bicycle or ride a bike several times a week can probably skip this test) Without looking it up, draw the bicycle frame, wheels, where are the pedals, and where does the chain go.
Go ahead, draw it. When ready, click "continue".
