Which term describes a business entity that operates only on the internet?

The term that describes a business entity that operates only on the internet is "Internet business." This label encompasses various types of businesses that conduct their operations solely online, without a physical storefront. Internet businesses leverage digital platforms to sell products or services directly to consumers, relying on websites, social media, and other online marketing strategies to reach their audience.

Terms like "brick-and-mortar business" refer to traditional companies that have physical locations where customers can visit, which is fundamentally different from internet-based operations. The option "online marketplace" refers specifically to platforms that facilitate transactions between multiple buyers and sellers, such as eBay or Amazon, rather than describing a business that operates exclusively online. "Digital enterprise," while related and often used in broader contexts concerning technology integration, doesn’t necessarily imply operating solely on the internet, as it could involve a combination of online and offline components. Therefore, "Internet business" is the most accurate and precise term for a company that exists and functions completely on the web.