lastuseraccount123 - You've got it!
In the end it's just a question of looking beyond the BS and applying basic common-sense.
All this mind-numbing mathematical mystification and endless jargon, is designed to short-circuit critical, and evaluative, faculties and distract 'MLM' victims, and casual observers (particularly, regulators and journalists), from a far more simple truth.
Due to many factors (not least exorbitant fixed prices and banal quality) 'MLM' adherents can't regularly retail 'MLM' products to the general public for a profit.
On the contrary, 'MLM' adherents are obliged regularly to buy the products themselves, and attempt to recruit others to duplicate the same economically incestuous system, ad infinitum. The 'MLM' companies launder all payments made by their contractees as 'retail sales' by giving their contractees effectively-unsaleable commodities in return.
In the overwhelming majority of cases, 'MLM retail sales' have really been losing investment payments in classic dissimulated pyramid scams, because they were not based on value and demand, they were based on the false expectation of future reward.