Why do you need to know the difference? Just avoid them both.
Well, one is legal and one technically is not, so knowing the difference let's you know what, if any, legal options you have should you get super screwed by one.
That's a good reason, thanks!
That diagram is the living embodiment of the "corporate has asked you to identify the difference between these pictures" meme
Isn't the only difference the nomenclature though? You're getting screwed either way if someone is selling you any of this shit anyways...
Run!
Oh yes.. in the US MLM is somewhat legal I think.. Herbalife and such shit...
Yeah - more or less - but a pyramid scheme thrives on recruitment of new members. In case of MLM it's more of a bonus.