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Wholesaling: DR de Epth I San Kar

Wholesaling involves the sale of goods or services to businesses or individuals who will resell them rather than directly to consumers. Wholesalers differ from retailers in that they focus on business customers rather than consumers, deal in larger quantities, and are subject to different regulations. There are various types of wholesalers including merchant wholesalers, full-service wholesalers, brokers, agents, and specialized wholesalers. Wholesalers perform important functions like selling, transportation, financing, warehousing, and providing market information for businesses.

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0% found this document useful (0 votes)
165 views6 pages

Wholesaling: DR de Epth I San Kar

Wholesaling involves the sale of goods or services to businesses or individuals who will resell them rather than directly to consumers. Wholesalers differ from retailers in that they focus on business customers rather than consumers, deal in larger quantities, and are subject to different regulations. There are various types of wholesalers including merchant wholesalers, full-service wholesalers, brokers, agents, and specialized wholesalers. Wholesalers perform important functions like selling, transportation, financing, warehousing, and providing market information for businesses.

Uploaded by

Meenakshi Anil
Copyright
© © All Rights Reserved
We take content rights seriously. If you suspect this is your content, claim it here.
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Download as PPTX, PDF, TXT or read online on Scribd

Wholesaling

• Wholesaling includes all the activities in selling


goods or services to those who buy for resale
or business use
n ka r
• It excludes manufacturers
th i Sa
and farmers
e e p
D engaged primarily in
Dr are
because they
production, and it excludes retailers.
Differences between wholesaler & retailer

• Wholesalers (also called distributors) differ


from retailers in a number of ways.
1) Wholesalers pay less attention to promotion,
n ka r
th i S a
atmosphere, and location because they are
D ee p
dealing with business customers rather than final
Dr
consumers.
2) Wholesale transactions are usually larger than
retail transactions, and wholesalers usually cover
a larger trade area than retailers.
3) Wholesalers and retailers are subject to different
legal regulations and taxes.
Major wholesaler types
1. Merchant wholesalers: Independently owned
businesses that take title to the merchandise
they handle. r
a n k a
h
2. Full-service wholesalers:
t i S
Carry stock, maintain
ee p
D credit, make deliveries,
a sales force,r offer
D
provide management assistance.
3. Limited-service wholesalers: sell a limited line
of fast-moving goods to small retailers for cash.
Contd…
4. Brokers and agents:
• Brokers bring buyers and sellers together and
n ka
assist in negotiation; they are paidrby the
party hiring them—food th i Sa
brokers, real estate
e e p
Dr D brokers.
brokers, insurance
• Agents represent buyers or sellers on a more
permanent basis.
Contd….
5. Manufacturers’ and retailers’ branches
and offices: Separate branches and offices
dedicated to sales or purchasing.
n ka r
6. Specialized wholesalers:
th i SaAgricultural
assemblers (buy
D e e p
the agricultural output of
Dr
many farms), petroleum bulk plants and
terminals (consolidate the output of many
wells), and auction companies (auction
cars, equipment, etc., to dealers and other
businesses.
Wholesaler functions

• Selling and promoting • Transportation


• Buying and • Financing
n ka r
assortment building • Risk
th i S a bearing
p
• Bulk breaking Dee • Market information
D r
• Warehousing • Management services
and counseling

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