What is dropshipping?

Dropshipping is a business model in which the seller doesn’t hold the inventory.

  After receiving an order, the online seller contacts his supplier, who ship the item directly to the customer.

The difference between dropshipping and  the standard retail process is that the seller doesn't need  to stock products.

Who holds the  stock then? 

The dropshippers source products from online marketplaces such as Aliexpress, Amazon, Walmart, Chinabrands, etc, who stock the goods. Then they list these items to other eCommerce platforms.