QNet has closed its office in Tajikistan and it will continue its activities in the country through local limited liability company, TAKT-Service.
The announcement on liquidation of QNet’s office in Tajikistan was published on March 18 this year.
A source at QNet’s office in Tajikistan says they have concluded a contract with local company, TAKT-Service. “QNet will continue its activities in the country through this company,” the source said.
Meanwhile, residents of Tajikistan have accused QNet of deceiving the population and creating a network pyramid scheme.
QNet, formerly known as QuestNet, GoldQuest, and QI Limited, is a Hong Kong based direct selling company owned by the QI Group. The company sells a variety of products including energy, weight management, nutrition, personal care, home care, luxury goods, and fashion accessories. QNet was founded in Hong Kong by Vijay Eswaran in 1998. It promotes its products on its website.
The company”s marketing strategy follows a direct selling and multi-level marketing model, depending on independent representatives to refer its products to consumers and receive compensation based on the sales volume of their referrals and the sales volume of other independent representatives in their teams who are arranged in a binary fashion.
It has offices in some Asian countries such as Indonesia, Philippines, United Arab Emirates, Thailand, Taiwan and Vietnam and franchise companies in India and Turkey and it also operates or has operated in other countries.
Many governmental entities have described QNet”s business model as a simple pyramid scheme: early entrants earn money, and as the number of Independent Representatives (IRs) increases, finding more IRs to join becomes difficult or impossible; IRs that join late do not earn enough to cover their first outlay and the model collapses.