вторник, 8 января 2013 г.

Herbalife is a hidden tax on the poor

I am following the media discussion about Bill Ackman's attack on Herbalife as well as the company's stock price with a lot  interest. Checking all the numbers and facts in Ackmann's presentation is beyond my capacity but intuitively and based on personal experience of some close friends and acquaintances I feel like this company deserves to be wiped out. Their primary sin is: wasting time of mostly underprivileged people or anyone having difficulty finding a job. Herbalife is one reason people who actually have nothing to do pretend being busy. Cause you know what: if you are not busy enough probably you should get busy getting acquainted with this great company - Herbalife. I tend to look leisurely and underprivileged most of the time so great career facilitators love to approach me. Ackman is right on the point: I never heard a single mention of the product the company sells, no powder, no pills. They go straight to the core. Build great career: become Supervisor, Grand Master, Mister Universe, whatever but no mention of magic powder to lose weight or clean your toilet, etc.. HLF representatives usually stay active until threatened by complete social isolation, because no one in their right mind would not buy a physical product from a company selling career opportunity. Who buys all those useless Herbalife boxes then?  I never bought them, but a friend of mine did, shortly before the purchase she had been disarmed by a story about some couple whose life had been a mess until they discovered Herbalife. Thanks to Herbalife they bought a yacht, a house, a Mercedes, etc. The  inventory purchased by my friend stood idle for several weeks until the impossibility of reselling it became so apparent as to compel a wish to justify the purchase by putting it to some good use. Good use it was. My friend took the pills, restricted her diet, jogged and did what people generally do when they are on Herbalife. Guess what? She gained some significant weight instead of losing it. Still it was good so because, if she had been less heavy she would had jogged to find this nouveau riche couple on their yacht and drown them in a see of tears. Now let us consider the practical issue: go long or short HLF? All the good reasons have already been listed elsewhere, I follow the advice of my granma: Whatever you do son, stay clear of Herbalife! As for Carl Icahn and other prominent investors going long Herbalife now, they probably never had to recruit people for Herbalife, because if they did, they would staying in line with their food stamps now instead of gambling on the continuous indifference of FTC.

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