I can't understand amazon

As some may know Santa was good to me (well I had been a good boy) and brought me a new Canon lens for Christmas. I wanted a len hood for it but didn't want to pay £30 for the Canon item. I don't normally buy non branded items but after all a non Canon lens hood will do just as good as a Canon one. I was amazed to find one on amazon for £1.67 (now £1.24 here) including free delivery. I ordered one and it arrived this morning (and its works fine and looks the same as the Canon one).

But here's the thing i can't get my head around, It had been posted from China a week ago - the orginal post stamps were still on to the firm in England, who had just stuck a label on to post it on to me.

So taking all the costs in buying from China direct, then all the postage from China to UK, to me, how can this make a profit for anyone? unless the thing costs a few pence in China?