Middlemen companies provide services from one company to either another company or to consumers.
- Car Dealers
- Mobile Wallets
- Food Delivery Services
- Ride-Sharing Apps
- Most online e-commerce website
The reason middlemen can operate is that the source company is too complex for most normal people or companies to understand.
So they make it convenient for people.
But this also is risky if the source company can easily provide the facility themself. Then there is no need for a middleman.
Like when Tesla decided to not sell their cars through a dealership.
Middleman companies in a way act as an affiliate.
- The source company deals with creating the product.
- The middlemen deal with selling the product.