Amazon and Shein attempt to draw in new suppliers with investment opportunities as the two compete for market dominance.
It’s more important than ever to keep your vendors a secret. Shein is hungry for suppliers, and their rapid expansion is keeping Amazon on its toes.
Increasingly, this means Amazon and Shein are vying for new ways to incentivize suppliers with lucrative investment opportunities to earn their business.
In a news post, Shein announced “its intention to invest a total of US$70 million over a five-year period to empower and support its supplier community, with initiatives focused across facility enhancements, technology advancements, training and upskilling, and services for the community.”
Amazon feels the pressure to keep up with the strides of Shein, who are rising rapidly in the US, and they are not afraid to sweep the rug from under Shein’s feet.
According to an article by Gong Zhe of CGTN, “Amazon’s Global Selling branch launched its first innovation center in Shenzhen City, south China’s Guangdong Province, to help more Chinese businesses reach the global market.”
This is a significant move by Amazon because much of Shein’s supplier network is also based in Shenzhen, which may lure some suppliers away.
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