A streamlined form of retail business wherein the store accepts customer orders but does not keep the products it sells in stock. Instead, it forwards the orders and their shipment details to the third party, which ships them directly to the customer. The biggest difference between dropshipping and the standard retail model is that the selling merchant doesn’t stock or own inventory. Instead, the seller purchases inventory as needed from a third party—usually a wholesaler or manufacturer—to fulfil orders. As a result, the seller doesn’t have to handle the product directly.

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