Is networking is also a pyramiding scam??

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i have a lot people who join in networking business.. where you have to be a memver and pay for their products before you can enter in networking process. some are giving their testimonial that they earn a lot of money in a week and they receive payment through check. i have of course a doubt to them.. because i also have known the networking that is already closed after they got more member to paid for they decided to closed and declaired that they bankrupt. have you known this networking also in your country?