OEM stands for Original Equipment Manufacturer, and it’s an important term used in the business world. In essence, an OEM is a company that produces components for another business, who then prepares and packages them into their own products which are then sold to end customers. It’s common in the manufacturing industry, where a larger company may purchase components or raw materials from a subcontractor who specializes in particular services or parts. This can help the larger company reduce costs and streamline production. It’s a mutually beneficial relationship, as the original manufacturer gains access to specialized parts and expertise while the subcontractor gains an opportunity to share their products with a larger audience.