I will try to outline the idea of selling on ebay with dropshipped goods.
Here is my though on this topic: a dropshipper offers certain products and they need people to advertise the items and attract potential buyers. You can become a seller/dealer for this item and sell it on eBay or your own website. After you sell an item you contact your dropshipper, pay the wholesale price and then the dropshipper will send the product to your customer. The biggest advantage of this model is simple. You don't have to invest in the product before you sell it. So you can start up a business rather easy and for little or no money. The items that you can carry is only limited by your time and effort. Just think of the time you will save by not having to pack and ship the item.
The biggest issue that comes with using dropshippers is that the winner of the auction thinks that the item they just won is an item you have. Disappointing the customer because your dropshipper ran out of stock can make dropshipping a unpleasant experience for you and the buyer. If your customer is dissatisfied they will give you negative feedback. If this happens allot you can say goodbye to your eBay business.
That is why it is so important to know your droppshipper and trust them. Or you could look at buying wholesale but that subject is for another time.
Another thing to remember is the cost of shipping is usually higher when the dropshipper ships it rather than if you ship it. So be sure to figure this into your listing.
And lastly and most importantly most dropshippers are
selling themselves on ebay so the market could be saturated before you even list your first item. So please do your homework.
One more thing you should be aware of is that most dropshippers will charge you a set up fee to buy/sell there items.
Below are some well respected drop shippers. If you wish to join a online community and learn from others I would suggest SaleHoo. Link is below.
Hope this helps.