Wholesalers are the middlemen who do nothing but increase the cost of products , comment

No wholesaler provides various services to the producers /manufactures as well as to the retailers.wholesalers are the link between manufacturers and retailers in the production and distribution cycle.

SERVICES OF WHOLESALER TO MANUFACTURERS.
1. Wholesalers enable manufacturers to undertake large scale production
as they purchase goods in large quantities from them.
2. Wholesaler deals in goods in their own name and bear variety of risks
such as the risk of fall in prices, theft, pilferage, spoilage, fire etc.
3. Wholesalers provide financial assistance to the manufacturers by making
cash payment for the purchased goods.
4. Wholesaler provide various useful information regarding the customer
preference, market conditions etc to the manufacturer.
5. Wholesalers help manufacturer in marketing function by purchasing goods
from them and selling them to the retailers.
6. Wholesalers provide the storage facilities also as they hold the goods in
their warehouses/Godowns.
SERVICES OF WHOLESALERS TO RETAILERS
1. Wholesalers make goods available to the retailers, who make them
available to the ultimate customers.
2. Wholesalers help retailers in the marketing of the goods by undertaking
advertising and other sales promotional activities.
3. Wholesalers help retailers by providing credit facility to them.
4. Wholesalers sell goods to retailers in small quantities and thus retailers
do not face the risk of storage, pilferage, reduction in prices etc.
5. Wholesalers do have specialised knowledge and they can help retailers
by providing the same to them. They inform the retailers about new
products, their uses and quality etc.

  • 8
wholesaler only sales the goods in bulk to retailer or for intermediate use which cost less for the retailer as the goods are in more quantity. the prices are increased by the retailer
  • -1
What are you looking for?