Drop Shipping – Easy money?

drop-shipping-flowcart

As shown in the graphic above, Drop Shipping allows the retailer (a real shop, or online store)  to take orders and payments but not keep sales stock, the order (and customer delivery details) is passed on to the the manufacturer or a wholesaler, who then ships the goods directly to the customer.
As in normal business practice, the retailer effectively sells at a marked up price to that of his manufacturer or a wholesaler (the drop shipper).
Interesting concept – obviously a reliable drop shipper is required.