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by desiarnezjr 999 days ago
Distribution channels are endless, and as large as Amazon is, they are only one amongst many, albeit with plenty of vertically integrated advantages.

In the case of a firepit, local consumer channels would likely be speciality shops, hardware and big box with probably a couple of layers of distribution and logistics in between. That market however is more likely to offer $500-$1000 firepits, because that's the way it WAS before Amazon, ALi, etc etc opened up new digital channels to drive down volume, manufacturing and up quantity (which eventually results in either greater margins or lower prices).

Those same non Amazon channels will also sell Joe FBA's $200 firepit as well, perhaps for $400 using those other channels.

To access and operate a business around those traditional / other channels however is nowhere near as simple as "order 50 of these on Ali" + "sell these as FBA on Amazon" = $profit.

It's a lot of work. I wouldn't necessary call Amazon a shortcut, but it's a path to market that is easier, but at a cost.