Change set

Pick exam & year, then Go.

Question map
Not attempted Correct Incorrect Bookmarked
Loading…
Q52 (IAS/2026) Economy › Industry, Infrastructure & Investment Official Key

An e-commerce revenue model where the seller has control over pricing but doesn't keep products in stock and instead transfers customer orders and shipment details to a third-party supplier, who then ships the goods directly to the customer, is called:

Result
Your answer:  ·  Correct: A

Explanation

The correct answer is Dropshipping Model.

Dropshipping is an e-commerce retail fulfillment method where a store does not keep the products it sells in stock. Instead, when a store sells a product, it purchases the item from a third-party supplier, who then ships it directly to the customer. The seller acts as a middleman who controls the marketing, storefront, and retail pricing, but never physically handles the product or manages inventory.

  • Affiliate Revenue Model: Involves promoting another company's product for a commission. The affiliate does not control the product's pricing or handle the transaction directly.
  • Transaction Fee Revenue Model: A company receives a fee for facilitating or executing a transaction (e.g., payment gateways or auction sites).
  • Agency Revenue Model: An agent acts on behalf of a principal to sell goods or services, typically earning a fixed commission rather than setting their own retail prices.
How others answered
Each bar shows the % of students who chose that option. Green bar = correct answer, blue outline = your choice.
Community Performance
Out of everyone who attempted this question.
62%
got it right
✓ Thank you! We'll review this.

SIMILAR QUESTIONS

IAS · 2022 · Q96 Relevance score: -3.39

With reference to foreign-owned e-commerce firms operating in India, which of the following statements is/are correct ? 1. They can sell their own goods in addition to offering their platforms as market-places. 2. The degree to which they can own big sellers on their platforms is limited. Select the correct answer using the code given below :

CAPF · 2018 · Q89 Relevance score: -3.49

In a recent deal, a large stake of which one of the following e-commerce companies was acquired by Waim art, an American multinational retailer?

CDS-II · 2014 · Q94 Relevance score: -4.41

A market in which there are large numbers of sellers of a particular product, but each seller sells somewhat differentiated but close products is termed as

CDS-II · 2020 · Q35 Relevance score: -4.92

A market, in which there are a large number of firms, homogeneous product, infinite elasticity of demand for an individual firm and no control over price by firms, is termed as________.

IAS · 1996 · Q51 Relevance score: -5.50

Hawala transactions relate to payments