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Pansy Bednar

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3y ago

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The revenue model in which a company receives commission based on the volume of transactions made is called the model?

The revenue model in which a company receives a commission based on the volume of transactions made is called the "transaction fee model" or "commission-based model." In this model, businesses earn revenue by charging a percentage or fixed fee for each transaction facilitated, making it common in industries like e-commerce, real estate, and financial services. This approach aligns the company's earnings with the volume of business conducted, incentivizing them to drive more transactions.


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What is Amazon revenue model?

Amazon's revenue model primarily revolves around e-commerce sales, where it generates income by selling a vast array of products directly to consumers and through third-party sellers on its platform. Additionally, it earns significant revenue from subscription services, such as Amazon Prime, which offers members benefits like free shipping and streaming services. Amazon Web Services (AWS) contributes a substantial portion of the company's revenue through cloud computing services. Advertising services also play a growing role, allowing brands to promote their products on Amazon's platform.


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