There are of course people who just put up finished goods without modification, and "reseller" is a descriptive term in those cases. That activity violates the

There are of course people who just put up finished goods without modification, and "reseller" is a descriptive term in those cases. That activity violates the terms, so these people eventually get banned. In my experience this is a tiny sliver of the activity that gets described as "reselling." In other cases people assemble items from raw materials (e.g. from Alibaba) in ways that may not strike you as particularly creative, but it's kosher when it comes to the site's rules. American sellers do the same thing and have been since the site's inception. Only the Chinese folks who do it wind up in critical news articles with the "reseller" label, though. If you see sellers described that way and they don't get banned, they have most likely gone through a documentation process whereby they explain their work with dated photos and other materials. Etsy sellers are highly motivated to flag their competition when they think there's a term violation, and real resellers don't last long. Disclaimer - I don't work for Etsy anymore.