How Does Drop Shipping Works?

The Dropshipper posts/lists the products in their store which may be in a marketplace or their own website.
Customer will place the order and pay them the amount asked by the Dropshipper.
Dropshipper/Store Seller will place the order/buy from the suppliers who then ship directly to customers.
This reduces inventory costs and lets store seller focus on marketing and customer service, while suppliers manage logistics and product management.