Final answer:
The business model described is a multi-sided platform, where a firm acts as an intermediary between sellers and buyers, distinct from the concept of bundling which involves selling combined products or services for a better price.
Step-by-step explanation:
A business model in which a firm acts as an intermediary to connect multiple sellers to multiple buyers is known as a multi-sided platform. This model is different from bundling, where a firm sells two or more products as one package to provide a better price for consumers. The concept of an intermediary is crucial here, as they facilitate transactions between parties that may not directly connect with each other, similar to a bank acting as a financial intermediary between savers and borrowers.
The business model in which a firm acts as an intermediary to connect multiple sellers to multiple buyers is called a marketplace business model. In this model, the firm provides a platform or marketplace where sellers can list their products or services, and buyers can browse and make purchases. A well-known example of a marketplace business model is Amazon, where various sellers can sell their products to millions of buyers on the platform.