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Amazon Is Poised to Unleash a Long-Feared Purge of Small Suppliers
- Thousands of mom-and-pops will lose bulk orders from company
- Amazon denies a ‘large-scale’ vendor reduction is taking place
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Two months ago, Amazon.com Inc. halted orders from thousands of suppliers with no explanation. Panic ensued -- until the orders quietly resumed weeks later, with Amazon suggesting the pause was part of a campaign to weed out counterfeit products. Suppliers breathed a sigh of relief.
Now a larger, more permanent purge is coming that will upend the relationship between the world’s largest online retailer and many of its long-time vendors.