Amazon 3P seller/manufacturer here: this is what they mean and do when they say your margin is their opportunity. It means people can't just go to China, lock

Amazon 3P seller/manufacturer here: this is what they mean and do when they say your margin is their opportunity. It means people can't just go to China, lock down a manufacturer, and sit easy for years flipping the same old product without actively trying to push the product forward. Amazon will play the same game with you, and they have the advantage of sales data + a willingness to drive traffic over profits. In a similar spirit, they also do this to distributors who basically order case packs from manufacturers then list them on Amazon -- once you reach a certain volume Amazon contacts the manufacturers themselves and cut you out. I wouldn't be surprised if Amazon starts building their own factories after awhile to replace out manufacturers -- vertical integration is their playbook.