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Difficulty: HardE-Commerce and E-Business Models

When an individual consumer sells a second-hand item directly to another individual consumer using a commercial digital marketplace platform, the transaction is classified as a Consumer-to-Business (C2B) model due to the involvement of the business entity operating the platform.

Answer: Answer

Answer

The statement is False. A transaction where an individual consumer sells personal goods to another individual consumer is classified as Consumer-to-Consumer (C2C) e-commerce. The participation of a commercial hosting platform acts only as an intermediary infrastructure and does not reclassify the transaction into a Consumer-to-Business (C2B) model.
The transaction model in electronic commerce is defined by the relationship between the primary transacting parties. When an individual consumer sells a personal item to another individual consumer, the exchange is Consumer-to-Consumer (C2C). The commercial hosting platform acts strictly as an intermediary facilitator and does not change the fundamental classification into Consumer-to-Business (C2B).

Step-by-Step Solution

1
Identify the primary transacting parties involved in the trade
The seller is an individual consumer and the buyer is an individual consumer.
E-commerce transaction models (B2B, B2C, C2C, C2B, G2C) are categorized based on the principal parties initiating and completing the exchange.
2
Analyze the role of the digital marketplace platform operator
The platform operator is a third-party intermediary providing marketplace infrastructure, not the buyer or seller of the item.
An intermediary facilitating communication or payment does not change the underlying legal and economic relationship between the transacting end-users.
3
Differentiate between C2C and C2B e-commerce models
C2C involves individuals trading with individuals; C2B involves individuals offering products, services, or data directly to commercial business organizations (such as freelancers bidding on corporate contracts).
The scenario describes an individual-to-individual exchange, making it C2C rather than C2B.

Key Concept

Classification of E-Commerce Transaction Models (C2C vs C2B)
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Topics

E-Commerce and E-Business Models

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