What Advantage Does Amazon Get by Creating Its Own Branded

question 7

Multiple Choice

What advantage does Amazon get by creating its own branded products?

• A) Allows the firm to cut out some of the costs that would otherwise go to a branded supplier.
• B) Gives Amazon even more negotiating leverage with suppliers.
• C) Allows Amazon products revealed on site and in the firm's product search results to eliminate costly advertising and other awareness-building spending that many rival products invest in.
• D) Reduces reliance on well-known suppliers that otherwise sell commodity products.
• E) All of the above

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Definitions:

StdDev

Standard Deviation, a measure of the amount of variation or dispersion in a set of values.

Median

The central number in a series that divides the upper half from the bottom half.

StdDev

A rephrased term for standard deviation, indicating the degree to which individual data points in a set diverge from the mean value.

Mean

A mathematical average of a set of numbers, calculated by adding them all together and dividing by the number of numbers.