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by gav
2618 days ago
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> Amazon is accused of using sales data belonging to companies selling products on their platform to help them select 10,000s of products to clone and sell in direct competition to their vendors. At the risk of being accused of whataboutism, _everyone_ does this. The big-box stores go direct to China, often to the same factories that their intermediates were using. Walmart doubled-down on a direct-to-factory approach starting in 2010, moving from 20% to 80% direct with cost savings of 5-15%. Your grocery store sells private-labelled goods. This market is expected to reach $220 billion by 2020. The weakening of established brands has enabled large merchants to leverage sales data to drive product lines that provide good/better/best options to the consumer. The fact that Amazon started to sell their own products shouldn't have been a surprise to anyone in the industry. Ten years ago the complaint from brands was "big box stores are killing us", now it's "Amazon is killing us". Pointing out that Bezos is the world's richest man and claiming he's exploiting people is a tired ad hominem attack. |
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