There has been this growing belief that dropshipping on Ebay is not good idea. The main problem with dropshipping on Ebay is to do with the handling of the good. Sometimes dropshippers will run out of stock or suddenly discontinue a product. If sold an item on Ebay already and this happens… well this is where the headache comes. You will need to contact the buyer tell him your out of stock, refund his money and withdraw from the transaction. On top of that you will lose the money from the Ebay listing fee and might even get a negative feedback. This is why some would rather have the inventory on hand when selling on Ebay.
This is true in many cases with dropshippers but dropshipping on Ebay is still very viable in my books. You just need to look for a reliable dropshipper and from my experience they are around, you just have to do your research.