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The Curious Case of Amazon’s Own New Tool Brand: Denali

The Curious Case of Amazon’s Own New Tool Brand: Denali

Amazon’s Denali tool brand is a shift in strategy, as the company moves from relying solely on third-party sellers to developing its own private-label brands. Denali, launched in 2018, offers tools and home improvement products exclusively to Amazon Prime members. The brand’s debut had mixed reactions, with speculation about Amazon aiming for market dominance or increased profit margins. Launching Denali allows Amazon to control the entire supply chain, reduce costs, differentiate itself, and capture more profits. However, there are risks related to product quality and backlash from third-party sellers. Overall, Denali represents a strategic change for Amazon, and its future performance and expansion in other categories will be worth observing.

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