There are doninant genes and indominant genes. When different genes combine, the dominant one decides the phenotype. If there is no dominant, the indominants decide what will the phenotype be like. When you mate the same wolves, these indominant genes combine and make a new phenotype (you can think of that as physical appearance).
So let’s mate the same wolves:
Aa × Aa —> AA, Aa, Aa, **aa**
_Note: I oversimplifed the process so it is easy to understand._
These all are different genes. And there is a wolf with a different phenotype.
This process happens repeatedly for years and new breeds show up.
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