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When eBay and Amazon.com cut out the majority of middlemen that normally would participate in the exchange process, it is an example of ________?

1) deregulation
2) reverse auctioning
3) reintermediation
4) disintermediation
5) diversification

User Edwinner
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Final answer:

Disintermediation is when eBay and Amazon.com eliminate traditional middlemen in the exchange process, enabling direct interactions between buyers and sellers.

Step-by-step explanation:

When eBay and Amazon.com cut out the majority of middlemen that normally would participate in the exchange process, it is an example of disintermediation. Disintermediation is the elimination of intermediaries in a supply chain, such as wholesalers or retailers, allowing direct interactions between producers and consumers. In this case, eBay and Amazon.com act as intermediaries, connecting buyers and sellers directly through their online platforms, reducing the need for traditional middlemen.

User Crazycrv
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