This week we saw the release of three major economic reports—overall economic growth, unemployment, and personal income and consumer spending. The results of these reports point to the need for some major changes in the way we live.

When economists look at the economic growth rate, they are trying to determine if the overall growth is strong enough to support a flourishing economy, a stagnant economy or one that will be depressed. The report that came out this week showed a very small growth pace, which economists feel is too weak to lower the unemployment rate. Unemployment overall is still weak, which shows that there aren’t as many jobs being created. Both of these factors are eye-opening and definitely encourage people to pursue the freedom that comes with being an entrepreneur.

One of the bright spots from the reports this week is the big increase in consumer spending. Direct sellers know this all too well and have been able to capitalize by creating successful personal businesses that help consumers find specific products and services that match their needs.

Another key factor to consider is that consumer spending accounts for 70 percent of all economic activity!

To see the full story at USA Today Money, click here.

Inc. magazine has announced its 31st annual Inc. 500|5000, an exclusive ranking of the nation’s fastest-growing private companies. The list represents the most comprehensive look at the most important segment of the economy—America’s independent entrepreneurs.

Direct selling companies included in the list were Stella & Dot at No. 57, J.Hilburn at No. 221, Scentsy at No. 516, It Works! Global at No. 662, YOR Health at No. 1220, Ambit Energy at No. 1305, Initials at No. 1555, 5LINX Enterprises at No. 2900 and Isagenix International at No. 4951.

Started in 1982, the Inc. 500|5000 has become the hallmark of entrepreneurial success.

In order to make the cut for the 2012 Inc. 500, unveiled in the September issue of Inc., companies had to have achieved a minimum of 770 percent in sales growth. The Inc. 500’s aggregate revenue is $15.7 billion, with a median three-year growth of 1,431 percent. The companies on this year’s Inc. 500 employ more than 48,000 people and generated over 40,000 jobs in the past three years.

“Now, more than ever, we depend on Inc. 500/5000 companies to spur innovation, provide jobs, and drive the economy forward. Growth companies, not large corporations, are where the action is,” says Inc. magazine Editor Eric Schurenberg.

The 2012 Inc. 500|5000 is ranked according to percentage revenue growth when comparing 2008 to 2011. To qualify, companies must have been founded and generating revenue by March 31, 2008.

Founded in 1979 and acquired in 2005 by Mansueto Ventures, Inc.is the only major business magazine focused exclusively for CEOs of fast-growing, private companies, and delivers real solutions for today’s innovative company builders. Inc. provides hands-on resources and market-tested strategies for managing people, finances, sales, marketing, and technology.

For more information, visit www.inc.com.

To view the complete list: http://www.inc.com/inc5000/list/2012

Direct sellers Avon, Mary Kay, Oriflame, Natura and Nu Skin are among the companies noted in a new report that suggests direct selling could be the key to riding out the recession in Europe.

A new report by market research firm yStats.com said that many direct selling companies have posted positive outlooks despite the challenging economic situation, and forecasters are seeing an upward trend.

yStats.com’s 2011 report documented solid performances in the French and German markets, generating the highest revenue in European direct selling. An upward trend is expected in the Baltic States for 2012, and forecasts for Poland predict success in the cosmetics and fashion categories.

Overall, cosmetics and personal-care products are the most popular categories in Europe, followed by household goods.

Avon was noted as the top performer in Europe, having generated the highest direct selling revenue. Mary Kay, Oriflame, Natura, Nu Skin, Amore Pacific and Menard Japan Cosmetics were also noted in the report.

To see the full article, click here.

Natura Cosmeticos SA, Latin America’s largest cosmetics company and the No. 4 direct seller in the world according to the DSN 2011 Global 100, was one of several retailers in Brazil to see increases in retail sales during an unexpected jump in June.

According to a story on bloomberg.com, the volume of sales in Brazil climbed 1.5 percent, compared with a 0.8 percent drop in May. It was the biggest rise since January, which had a 3.2 percent increase. The median forecast of 38 analysts surveyed by Bloomberg was for a 0.3 percent decline.

“There’s strength across the board,” said Italo Lombardi, Latin America economist at Standard Chartered Bank. “It’s a good sign. This reinforces the idea that we may be seeing a stronger recovery. We may be leaving this soft patch behind in terms of demand.”

Brazil’s largest retailer, Cia. Brasileira de Distribuicao Grupo Pao de Acucar, saw profits rise 180 percent in the second quarter. Magazine Luiza SA experienced a nearly five-fold growth in second-quarter profits, and Natura saw profits increase 14 percent.

To view the full story, click here.

In early May, Herbalife, the No. 3 direct seller in the world according to DSN‘s 2011 Global 100 list, saw its share price plunge over 35 percent (to as low as $45.55 from high volume trading) when hedge fund manager David Einhorn posed questions regarding reporting of the purchase and use of products and services by salespeople.

Herbalife issued a quick response on the topic of internal consumption, as did the DSA, which reinforced the legitimacy of direct selling and its business model.

Nearly four months later Einhorn has yet to comment further on Herbalife. However, in an article on seekingalpha.com, G. Hudson proffers that Herbalife shorts’ problems could be great buying opportunities for longs.

Shorts, says Hudson, have to come up with a strategy to cover their positions without driving up the share price too quickly. The good news for the longs is that unless the shorts and their reporters can come up with some new and better material to try to drive Herbalife’s stock price back down, Herbalife’s share price will quickly rise back up to and above the $70+ range where it was before the Einhorn debacle. This is an interesting article as Herbalife continues with excellent, record-breaking performances.

To read Hudson’s full article, click here.

With the school year about to begin, Plano, Texas-based AdvoCare is stepping up its support of Operation Homefront, an organization that provides emergency financial and other assistance to families of service members and wounded warriors.

The health and wellness company held a Success School Conference in Fort Worth during which Independent Distributors collected more than 1,400 backpacks and raised more than $27,000 from a Chocolate Mocha Meal Replacement Shake promotion, AdvoCare Accessories sales and donations, all of which will benefit Operation Homefront.

“AdvoCare has been a longtime partner with Operation Homefront, and their commitment to our men and women in uniform is a vital part of the support we provide to military families,” said Amy Palmer, COO of Operation Homefront. “The people of AdvoCare go beyond their generous financial contributions, donating their time and talent as volunteers for campaigns like our Back-to-School Brigade. AdvoCare’s dedication to serving the community shines through in their steadfast support for those who put themselves in harm’s way, and the families they leave behind.”

Iwonne Herrera Salvador, Director of Corporate Relations for Operation Homefront, notes that back-to-school expenses can be a very real challenge and a costly venture for military families. “Through the Operation Homefront Back to School Brigade, military kids in grades K-12 can receive free backpacks and schools supplies. Because of the heartfelt response and amount of backpacks donated by AdvoCare, military families that are experiencing hardships have one less worry on their mind. We’re absolutely thrilled to have them and to stand together with AdvoCare.”

This is the third year that AdvoCare has stepped forward to help Operation Homefront. The company is on target to once again surpass its Platinum-level commitment of $250,000.

“We continue to look for opportunities for Distributors to stand together in support of Operation Homefront,” said AdvoCare Marketing Programs Manager Pete Radicello. “We introduced a coat drive for our Success School in January and saw a tremendous response. The 1,400 backpacks donated during July Success School more than doubled the results of our January drive. They consistently raise the bar and awareness for AdvoCare and this worthy cause.”

A recent interview with Australia-based ANZ Bank Chief Economist Paul Gruenwald signaled good news for direct selling companies doing business in The Philippines: the country’s economy is in a sweet spot, and the future outlook is favorable.

“We’re quite positive on The Philippines,” said Gruenwald. “I just got back from a trip to New York. Investors are very interested. We see an economy that is quite in a sweet spot. We’ve got growth very strong at 5-6 percent and inflation under control.”

Gruenwald noted two structural developments that have led to the favorable outlook: the Aquino government’s efforts to improve public finances and expenditures, and the booming business process outsourcing industry. He also notes that while The Philippines is not entirely insulated from fallout of the euro zone debt crisis and slowing global economy, the country may be stronger than the more open economies of Singapore and Hong Kong.

The Philippines is home to several American-based direct selling companies, including Amway, Avon, Forever Living Products, 4 Life Research, GNLD International, Herbalife, Mary Kay, Nikken, Nu Skin, Reliv and Tupperware Brands.

To see the full article, click here.