what does oem mean

OEM stands for "Original Equipment Manufacturer". It refers to a company that produces non-aftermarket parts and equipment that may be marketed by another manufacturer. OEMs make parts to sell to value-added resellers (VARs) . Although some OEMs make complete items for a VAR to market, they usually dont determine the finished product. OEMs usually focus on business-to-business sales, while VARs sell to the public or other end-users. OEM parts often compete with generic, aftermarket, replacement parts. In the automotive industry, OEM typically refers to the manufacturer of the original equipment, that is, the parts which are then subsequently assembled and installed during the construction of a new vehicle. In contrast, aftermarket parts are those made by companies other than the OEM, which might be installed as replacements.