Drop shipping is a great idea for a work-at-home business. Not only will you get to work in your own home but it is less expensive and you have a lot of market despite the competition.
For those who have no idea what drop shipping is, it is a marketing concept where you as a seller sells goods without having actually stocking up on the items. Instead what you do is to forward the orders of your customers plus the payment for the wholesale price to the distributor or the manufacturer itself. They will be the one who will arrange the shipping of goods making sure that it is blind sent. Meaning, your customers would not even know that the package did not came from you.
This set-up is pretty handy for everyone involve. You as a reseller, gets a profit even if you did not really have to spend anything. What you do is just basically arrange the sale of goods. The wholesaler can get profit from you and others who are doing the same thing because they do not have to establish contacts throughout the world to sell their goods. And the customer benefits from the set-up too because more likely than not, they would get the items for a much cheaper amount than the prevailing market price.
Unfortunately, no matter how good this set-up sounds, the problem is that a lot of scam sites have sprouted and have ruined the experience for many drop shippers. They will post as companies looking for resellers and drop shippers and they will claim that they were the one that manufactured the goods. Some of them, especially those posting in business to business sites are actually either just agents of distributors, reseller themselves and much worst, they can be people looking for ways to scam you.
So if ever you stumble in a site that is willing to give you the cheapest deals, be wary and check first if they have a reputation for being a scam. Not all companies that sell their goods in cheap prices are scam because they may really be wholesalers. But to know for sure, look up the WHOIS of the site and if it is new, think of it as a red flag indicator. This is a big sign that you must not be hasty. Do not trust single testimonials or those that seems super enthusiastic about the site. They can always make accounts to praise their own.
You can earn a lot from wholesale retailing there is no question about it. Just make sure that you do not fall for dubious deals!