The Amazon FBA Business Model Explained August 10, 2020 Share Tweet Share 16 SHARES The Amazon FBA business has been the darling of 2015 and 2016, and will possibly continue to be so as more people find out about this business. You may have heard of it, and you may be wondering exactly what an Amazon FBA business is. An Amazon FBA business stands for Amazon fulfilled-by-Amazon. This is how it breaks down: You set up an agreement with a factory/supplier to provide you a product. You ship that product from the factory (usually from China) to North America. Instead of being housed by you or another warehouse, the product sits in a warehouse owned by Amazon. When people buy your product off Amazon, Amazon “fulfills” the order by handling all of the logistics, including shipping and customer service. “Fulfills” means that Amazon is basically acting as the fulfillment service. A normal fulfillment service stores and ships items on behalf of a product owner whe
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