This actually happened to some restaurants who found their service on DoorDash. The restaurant owners were able to make a fine profit out of DoorDash’s arbitrage scheme.
Don’t worry. If Amazon decided to undercut by selling at a loss, they would absolutely put it in their ToS that retailers cannot exploit this loophole and they would sue to enforce their ToS.
These manufacturers never signed any ToS, and the most Amazon could do to retaliate would be to de-list the product that they never asked to be listed in the first place.
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