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CS Professional · Artificial Intelligence, Data Analytics and Cyber Security - Laws and Practice · Internet and Other Technologies

Rohan, a Mumbai-based seller, lists handmade products on a third-party online marketplace that connects many sellers with buyers but does not own the inventory. Which e-commerce model best describes the marketplace operator's role?

The operator follows the marketplace model. It acts as a facilitator providing a digital platform where independent sellers meet buyers, without owning the inventory itself. An inventory-based model would require the platform to own and sell the goods directly.

  1. AInventory-based model where the operator owns and sells the goods
  2. BMarketplace model where the operator acts as a facilitator between sellers and buyersCorrect
  3. CPeer-to-peer barter model with no intermediary
  4. DDirect manufacturer-to-consumer model run by the seller alone

Explanation

A marketplace model means the platform provides technology and a venue for independent sellers and buyers without owning the stock. An inventory-based model would require the operator to own the goods, which is not the case here. The other options ignore the intermediary role.

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