Marketplace Vs Own E Commerce

This problem tests how well you can compare distribution channels in consumer products and retail by weighing reach, cost, control, and customer experience. In an interview, you are expected to think through the tradeoff between tapping an existing audience and paying platform fees, versus investing in your own site, marketing, and brand presentation while keeping more control over how the customer shops. Interviewers ask this kind of question to see whether you can reason about business strategy from both a revenue and an operating perspective, and whether you understand how channel choice affects margins, branding, and customer acquisition.