How do online marketplaces empower small businesses?

Online marketplaces empower small businesses primarily by providing access to broader audiences. This connectivity enables small businesses to reach potential customers that they might not be able to access through traditional retail channels. By listing their products or services on platforms with existing user bases, small businesses can enhance visibility and ultimately increase sales.

These marketplaces typically attract significant traffic, allowing small enterprises to leverage this audience without the need for extensive marketing efforts or large customer acquisition budgets. Additionally, online marketplaces may offer built-in features for marketing, analytics, and customer engagement, further facilitating growth and enabling small businesses to compete with larger retailers in a crowded market.

In contrast, the other options present scenarios that do not contribute positively to the empowerment of small businesses. Restricting customer bases and centralizing sales operations would actually limit opportunities and flexibility, while high commission rates would diminish profit margins, making it harder for small businesses to thrive. Therefore, the most beneficial aspect of online marketplaces for small businesses is their ability to broaden market reach and accessibility.