{ "docId": "019dd923-622c-750b-8b9b-9e6bdedc5eed", "docSlug": "f39479b88775", "documentTitle": "Herbalife, Ltd. (HLF)", "authorId": "01_Pershing_Square", "authorName": "William Ackman", "documentKindSlug": "activist-deck", "documentKindLabel": "Activist deck", "sourceTypeSlug": "activist_investor", "sourceTypeLabel": "Activist investor", "presentationDate": "2015-08-01 00:00:00", "orientation": "landscape", "aspectRatio": 1.3333334, "pageNumber": 27, "pageCount": 63, "prevPage": 26, "nextPage": 28, "slideType": "quote_slide", "function": "expose_contradiction", "density": "dense", "nDataPoints": 0, "notes": "The slide uses a direct quote to expose the mechanics of a multi-level marketing structure, specifically highlighting the distributor's own awareness of the 'pyramid' perception.", "elementsJson": [ "headline_text", "callout_box", "quote_block" ], "metadataConfidence": 1, "imagePath": null, "slideHref": "/slides/019dd923-622c-750b-8b9b-9e6bdedc5eed/27", "deckHref": "/decks/019dd923-622c-750b-8b9b-9e6bdedc5eed", "deckJsonHref": "/decks/019dd923-622c-750b-8b9b-9e6bdedc5eed.json", "deckAnchorHref": "/decks/019dd923-622c-750b-8b9b-9e6bdedc5eed#slide-27", "components": [ { "bbox": { "h": 0.08, "w": 0.9, "x": 0.05, "y": 0.17 }, "kind": "callout", "text": "One Distributor summarized the importance of recruiting this way:", "attrs": null, "subkind": "primary", "toolName": null, "toolSlug": null, "confidence": null, "componentId": "cf6cb86e-c491-4866-b952-70423d86dcea", "frameworkName": null, "frameworkSlug": null }, { "bbox": null, "kind": "callout", "text": "Some of you might think we are doing pyramid sales. Probably you would feel this way.", "attrs": null, "subkind": null, "toolName": "Visual emphasis", "toolSlug": "visual-emphasis", "confidence": null, "componentId": "019dd953-64cf-7128-a32f-7f0cf7bf6fb8", "frameworkName": null, "frameworkSlug": null }, { "bbox": { "h": 0.03, "w": 0.9, "x": 0.05, "y": 0.82 }, "kind": "paragraph", "text": "- Mr. Quiran Chen, Hefei", "attrs": null, "subkind": "paragraph", "toolName": null, "toolSlug": null, "confidence": null, "componentId": "b8eb48b1-6045-4087-9867-2579d41d2125", "frameworkName": null, "frameworkSlug": null }, { "bbox": { "h": 0.35, "w": 0.9, "x": 0.05, "y": 0.46 }, "kind": "quote", "text": "6 years ago I funded only 1 club. I invested 60,000 RMB to open a club in Guangzhou. Since then 50 clubs have opened under me. None of these clubs were funded by me. But because I contributed to these 50 clubs, everything about these 50 clubs is connected to me. Herbalife pays me a consultancy fee. . . . I have realized financial freedom and time-freedom. Frankly speaking, I can stop working now. But the clubs that have opened under me will not stop. They will still open their doors tomorrow, my income will not stop. With our constant hard work, even if I don't work hard, these clubs will develop new clubs, so we will have 500, 5,000, 50,000 clubs. Some of you might think we are doing pyramid sales. Probably you would feel this way.", "attrs": null, "subkind": "testimonial", "toolName": null, "toolSlug": null, "confidence": null, "componentId": "a5c8d84c-90ff-4015-b099-16a0317ecbd8", "frameworkName": null, "frameworkSlug": null }, { "bbox": null, "kind": "quote", "text": "6 years ago I funded only 1 club. I invested 60,000 RMB to open a club in Guangzhou. Since then 50 clubs have opened under me. None of these clubs were funded by me. But because I contributed to these 50 clubs, everything about these 50 clubs is connected to me. Herbalife pays me a consultancy fee. . . . I have realized financial freedom and time-freedom. Frankly speaking, I can stop working now. But the clubs that have opened under me will not stop. They will still open their doors tomorrow, my income will not stop. With our constant hard work, even if I don't work hard, these clubs will develop new clubs, so we have 500, 5,000, 50,000 clubs. Some of you might think we are doing pyramid sales. Probably you would feel this way. — Mr. Quiran Chen, Hefei", "attrs": null, "subkind": null, "toolName": "Authority citation", "toolSlug": "authority-citation", "confidence": null, "componentId": "019dd953-64cf-7128-a32f-81e352922d5d", "frameworkName": null, "frameworkSlug": null }, { "bbox": { "h": 0.04, "w": 0.9, "x": 0.05, "y": 0.36 }, "kind": "source-note", "text": "Source: Distributor Meeting at an Herbalife Store in Hefei, October 25, 2013", "attrs": null, "subkind": null, "toolName": null, "toolSlug": null, "confidence": null, "componentId": "1be96e6c-911a-4b4f-bc65-f68bbdbb593e", "frameworkName": null, "frameworkSlug": null }, { "bbox": { "h": 0.05, "w": 0.9, "x": 0.05, "y": 0.08 }, "kind": "title", "text": "Distributors Emphasize the Importance of Recruiting", "attrs": null, "subkind": "headline", "toolName": null, "toolSlug": null, "confidence": null, "componentId": "761b4cfb-3b40-4963-872f-9f2b81a3bd57", "frameworkName": null, "frameworkSlug": null } ], "metrics": [], "tools": [], "frameworks": [ { "name": "ceo-quote-contradiction", "slug": null, "matchId": "e4d8ad18-a756-400a-8d5d-88cedaf4749c", "evidence": "The slide uses a direct quote from a distributor to highlight the 'pyramid' nature of the business model, effectively using the subject's own words to critique the operation.", "confidence": 0.95 } ], "arcBeats": [ { "to": 40, "from": 21, "beatId": "31e4d38f-88af-46db-8180-c465d762921a", "arcName": "Overcoming the Monster", "arcSlug": "overcoming-monster", "beatName": "The Struggle", "beatSlug": "overcoming-monster-the-struggle", "evidence": "The presentation presents evidence of Herbalife's struggles to comply with Chinese law, including contradictions in their own documents.", "position": 2, "confidence": 0.8, "parentBeatName": "Development", "parentBeatSlug": "development" } ], "loops": [], "imagePathAlt": null, "thumbSrc": null, "thumbSrcAlt": null, "locked": true }