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The main function of the wholesaler to the manufacturer is?

The main function of the wholesaler to the manufacturer is?

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Answers (4)

3 months ago
This is an important function of wholesaler. A wholesaler usually buys goods on cash from the producers and sells on credit to the retailer. In this way, he provides financing facilities to trade transactions. The wholesaler bears all the trade and financial risks of the business.
mizta smart
3 months ago
wholesaler keeps the goods in
warehouse. He sells them to the
retailers who are often scattered over a
large area. The retailers contact the
wholesaler when goods are sold and
this process continues over the years.
The wholesaler thus helps in the
dispersion process of marketing.
3 months ago
1. Assembling:
The wholesaler buys different goods
from different manufacturers and
assembles them in his warehouse for
the purpose of selling it to the retailers.
2. Storage:
After arranging and assembling the
products procured from the producers,
wholesaler stores them in his
warehouse. The products assembled
and kept in stock by the wholesaler are
distributed in desired quantities as and
when required by the retailers.
Since there is always a time-lag
between production of an item and its
final consumption, the manufactured
goods are to be stored carefully till they
are needed by the retailers. Thus,
wholesaler ensures proper storage in
order to save the goods from
deterioration and also to make these
goods available when they are needed.
3. Grading and packing:
The wholesaler does the job of grading
by sorting out goods according to their
quality and then packs them in
appropriate containers suitable for sale
to the consumers.
4. Facilitating disbursement of goods
and sales:
Wholesalers sell their goods to the
retailers who are scattered far and
wide. Retailers approach them for
further replenishment when their
stocks are exhausted. At this stage,
wholesalers come forward to help the
retailers by providing requisite quantity
and quality of goods needed by them.
Thus, wholesalers help manufacturers
in distribution as well as selling of
goods and commodities.
5. Transportation:
Wholesalers provide transportation
facility to retailers by transporting
goods and commodities from their
warehouses to the retailer’s shop.
Further, since wholesalers buy goods in
large quantities, they can avail,
economy in freight on bulk purchases,
(e.g. transportation cost can be
6. Financing:
Wholesalers provide financial assistance
like credit facilities to the retailers as
and when they are in need of it.
7. Risk bearing:
Wholesaler takes the risk by taking
ownership of the goods. They also
assume all risks of failure to sell goods
and of change in the prices of goods
due to change in demand. Thus,
wholesalers bear all the trade and
financial risks of the business.
8. Provide Market Information:
Wholesalers provide valuable market
information regarding the trends and
changes prevailing in the market both
to the producers as well as to the
retailers. The retailers are informed
about the quality and type of goods
available in the market for sale,
whereas producers are informed
regarding the changes in tastes, and
fashions of the consumers. This enables
the producers to produce the goods in
conformity with the taste and fashion
of the consumers.
OJ James
1 day ago
Main function of wholesaler to manufacturer

1. To buy bulk goods from manufaturer so that manufacturing can still continue
2. To keep bulk product in warehouse
3. To help manufaturer advertise:
A producer will not have much time to advertise his/her product but through the wholesaler information about the product get to different retailers from different places
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