What is a characteristic of pure-play business models?

Study for the Information Technology Applications 203C (ITA203C) FE Test. Utilize flashcards and multiple-choice questions, each with hints and explanations. Prepare effectively for your exam!

Pure-play business models are characteristic in that they originate solely in the digital realm and are not extensions of any physical retail operations. This means they were created and operate without the backing of a traditional bricks-and-mortar business. Companies that follow this model focus entirely on online transactions and services, relying on the internet as their primary sales channel. Examples include online-only retailers or digital service providers that have never operated from a physical storefront.

This model is distinct from those that may use physical locations as part of their operations, as pure-play businesses capitalize on the efficiencies and broader reach of online platforms, often catering to a global audience.

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