You think intermediaries (e.g. dropshippers)
can't add value to a supply chain?
These days, don't Chinese companies mostly list the products on Ebay and Amazon themselves? Just today I ordered something on Ebay and got a paypal receipt for my payment to 覃尚田.
I don't see what value an extra intermediary adds in that situation?
Dropshippers add range and access to market segments the manufacturer, or wholesellers, cannot ofer. These dropshippers are able to go after small customers with low order volumes. So they indirectly add value by increasing revenue.
they also cut out other middlemen like wholesellers and brick-and-mortar retailers. Done well, and at scale, this could be one of the more serious thrats for Amazon in the future.
> These days, don't Chinese companies mostly list the products on Ebay and Amazon themselves?
Yes, it's pretty standard to find the same company with store-fronts on AliExpress, Ebay and Amazon. It's sometimes worth checking for differences in prices though due to lag in updating each catalogue.
I don't see what value an extra intermediary adds in that situation?