4 ms·

I don't think the author is using the term "pyramid scheme" correctly.

• bbcbasic 12y ago
  Correct. He is not using it properly. What he is really complaining about is the drop in commission for being a teacher from 90% to 50%. This is coupled with a very poor affiliate scheme that doesn't compensate for that loss.
• curo 12y ago
  Perhaps not, but he points out at least two similarities: - Earlier members get bigger payouts - Udemy is making $0 off the first recruiting member, which would otherwise be unsustainable, if it weren't recovering that money off future members. (members = teachers)
  • bbcbasic 12y ago
    A pyramid scheme means the main way to make money is by recruiting more people to join the scheme. And the only way to obtain the privilege to recruit people is to pay to join. The main way to make money on udemy is by selling courses (your own, or other people's as an affiliate). > Earlier members get bigger payouts I don't see how this is true. > Udemy is making $0 off the first recruiting member, which would otherwise be unsustainable, if it weren't recovering that money off future members It is called a loss leader. Supermarkets do this, they are not pyramids. P.S. I know someone will think it, but it is not a Ponzi either :-)