"[Amazon makes] every merchant that sells through their platform sign a “most favored nation” guarantee that they will not charge less for their products anywhere else – which means that the price is the same everywhere.
And that’s the heart of the California antitrust case against Amazon: Amazon’s market dominance makes it impossible to survive without offering your products on Amazon; to succeed there, you must turn over 35-45% of your gross to Amazon. That leads to higher prices on Amazon, and, thanks to the most favored nation deal, it pushes those same higher prices to every other retailer."
So basically the price on their website is what the company would charge you if they would want to be a sustainable business (or they’re trying to recoup their losses from selling on Amazon).
I tried to avoid Amazon for a product the other week, by buying direct from the person who was selling through Amazon.
They had their own store.
The prices were 50% more than they were charging on Amazon.
And there’s a reason for that:
"[Amazon makes] every merchant that sells through their platform sign a “most favored nation” guarantee that they will not charge less for their products anywhere else – which means that the price is the same everywhere.
And that’s the heart of the California antitrust case against Amazon: Amazon’s market dominance makes it impossible to survive without offering your products on Amazon; to succeed there, you must turn over 35-45% of your gross to Amazon. That leads to higher prices on Amazon, and, thanks to the most favored nation deal, it pushes those same higher prices to every other retailer."
So basically the price on their website is what the company would charge you if they would want to be a sustainable business (or they’re trying to recoup their losses from selling on Amazon).
Source