Apparently Amazon is now discounting certain products from its third-party sellers (warning auto-start video) in order to make a sale on its website. Of course, undercutting your competition is not new in the retail space. Items affected with the price cut will be designated with a “discounted provided by Amazon” message on the site. The company will absorb the difference price and still pay its sellers the listed price of the product.



Marketing the items at lower prices, however, risks angering Amazon’s third-party sellers, who instead could list their products elsewhere online. The move has drawn attention within Amazon Services’ seller forum.

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Source: [H]ardOCP – Amazon Undercuts Competition Through 3rd Party Sellers