17-14.
Pyramid scheme
Pattern description
A pyramid scheme is a business model that recruits members via a promise of payments or services for enrolling others into the scheme, rather than supplying investments or sale of products or services. As recruiting multiplies, recruiting becomes quickly impossible, and most members are unable to profit; as such, pyramid schemes are unsustainable and often illegal.
Inventive problems
The suppliers should build relationship with individual customer, so as to best meet the customer's needs.
The suppliers should build relationships with large groups of customers in order to reduce costs.
The company should be large and have a complex structure to perform a large number of diverse operations for the development, production, and delivery of a complex product to the customers.
The company should be small and have a simple structure in order to:
- reduce the variety and complexity of the company activities;
- focus on a small number of core operations;
- have a small stuff;
- minimize the cost of development, production, sale, and delivery of products to customers.