A vendor asks its business partners to place logos or banners on their Web sites. If customers click on a logo, visit the vendor's site, and make a purchase, then the vendor pays a commission to the partner. This scenario illustrates which business model?
A) find-the-best-price
B) electronic tendering system
C) name-your-own-price
D) online direct marketing
E) affiliate marketing

Question

Quizplus · Accepted Answer

This scenario is describing affiliate marketing, where a vendor pays commissions to business partners (affiliates) for driving sales through referrals from their websites. Customers who click on the logos or banners on the affiliate's website and make a purchase on the vendor's website generate the commission for the affiliate.

A Vendor Asks Its Business Partners to Place Logos or Banners