Microsoft Azure Solutions Architect Expert AZ-305 Practice Question

Azure AD B2B collaboration lets external users authenticate with their home Azure AD credentials while appearing as guest accounts in the Contoso tenant. Because the guests exist in Contoso's directory, the same Conditional Access and MFA policies that protect employees can be applied to the guests when they access the App Service. The customer organizations still manage the identities themselves, as credentials and lifecycle remain in the home tenant.

Azure AD B2C is aimed at consumer-facing scenarios and would create a separate directory that Contoso would have to manage and secure independently, making it harder to apply the same Conditional Access policies. Registering the application as multi-tenant without guests leaves policy enforcement to each customer's tenant, so Contoso could not guarantee consistent controls. Azure AD Domain Services is unrelated to web-based single sign-on and would not satisfy the requirements.