Why Amazon is full of crap

TL;DR

Overall Summary: Amazon deliberately recruited Chinese sellers to maximize product selection and profits, creating incentive structures that reward cheap, low-quality products over brand reputation.

Key Points

• 1.Amazon actively courted Chinese sellers starting around 2015 through programs like "Project Marco Polo" and "Project Dragonboat," seeing them as a massive growth opportunity
• 2.Chinese sellers went from minority to 62% of new Amazon registrations by 2024, now holding over 50% market share
• 3.Amazon's algorithm rewards reviews, sales volume, and advertising spend—not product quality or brand loyalty
• 4.Chinese sellers operate disposably: spam trademarks, copy successful products, abandon failing brands, generate new ones
• 5.A massive mall in Shenzhen houses most major Chinese Amazon sellers, creating an ecosystem with drastically lower costs for logistics, photography, and operations
• 6.Amazon tested curated vs. uncurated marketplaces—the one with more crap performed better due to selection and lower prices
• 7.Amazon profits regardless of quality through advertising revenue, FBA fees, and sheer transaction volume