this post was submitted on 03 Jul 2023
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A big part of it is logistics. Amazon lets sellers stash things in their warehouses for matching buyers to products and getting it in their hands quick. This is a role that a forward-thinking UPS or FedEx or, if God were real, the USPS could have filled in America.
They also force people into these programs though and take a huge cut of the revenue.
Imagine if there was a second Amazon. Now imagine if both Amazon one and Amazon two were on the same marketplace, and neither had enough power to force sellers to use their services and take whatever deal they offered. Can you imagine how much that would give sellers the power to set their own prices and control their operations and logistics?