What does the term "merchant" signify in the context of Electronic Commerce?

In the context of Electronic Commerce, the term "merchant" primarily refers to a business entity that sells goods or services electronically. This encompasses a wide variety of businesses that operate online, ranging from large retail companies to small local shops that have opted to sell through e-commerce platforms.

Merchants are integral to the electronic transactions process as they provide the products or services that consumers seek. Their primary role is to fulfill customer orders, manage inventory, and handle the delivery of products or the provision of services in an electronic format. Additionally, merchants utilize various online payment systems to facilitate transactions, ensuring that customer payment information is processed securely.

The other options describe different roles in the e-commerce ecosystem, but they do not align with the definition of a merchant. For instance, a bank that processes transactions focuses on the financial aspect of e-commerce rather than the selling of goods or services. An individual consumer represents the purchasing side, not the selling side of commerce. Lastly, a platform that monitors transaction validity is more concerned with security and fraud prevention rather than engaging in sales activities. Thus, option B accurately encapsulates the definition of "merchant" within Electronic Commerce.