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Amazon's plan to tackle Temu, Shein? Sell more toothpaste

Economic TimesEconomic Times · 20d
Amazon's plan to tackle Temu, Shein? Sell more toothpaste

Amazon's focus on offering everyday essentials such as toothpaste is impacting its average selling prices, but it serves as a defense against competitors like Shein and Temu that provide goods at extremely low prices from China. While Amazon's stock has seen a 27% increase this year, its market share in apparel has declined due to the expansion of Shein and Temu. However, Amazon's inclusion of everyday household products with quick delivery has proven successful. The strategy of providing cost-saving options and increasing customer spending may lead to further pressure on Amazon's selling prices in the fourth quarter. Walmart and Target are also fierce competitors in the race to lower prices for essentials.

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