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The term OEM (original equipment manufacturer) manufacturesproducts or components which are purchased by another company and retailed under that company's brand name. For instance, with an automotive part, the OEM designates a replacement part made by the manufacturer of the original part.  The purchasing manufacturer would then re-brand the product.  In addition, on the economies scale, OEM parts rely on the ability to drive the cost of production. Another term for OEM is value added.

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