Earlier quoted context omitted.
> One day Amazon is going to get smacked with such a lawsuit resulting in billions in punitive damages, then and only then will you see real effort on their part to curb this behavior. Amazon has been sued many times over similar things. The precedent is very strong. They win every case because they are not the seller. Unless the law changes, there is little hope of this happening like you expect.
Amazon is a direct beneficiary though. I’m not sure why they are not the seller. In that case can’t they just setup shell companies to sell shoddy, fake, or illegal items, take 99% of the profit, and claim they are not the seller?
Yes, Amazon could setup shell corporations, but if they got tracked back to Amazon, that would be the end of the company. Why not just setup a bunch of side businesses producing and selling legal things (like their batteries, clothes, etc. brands) and collect all the profit there, while allowing others to setup shell corporations and sell the illegal things? That way they collect some profit from the latter, but without any risk to the company. And, in fact, that’s what they do.