WHOLESALE TRADE
Hey Everyone, Hows this New Monday
Morning to you, isn't is beautiful and full of promises and answered prayers.
LOLZ, Yes it is. Well Let's get straight to out topic for today.
WHOLESALING is a business activity which involves buying of goods
in bulk from the Producer and selling in small quantities to the Retailers as
well as other merchants. Wholesaling is included in the Channel of
Distribution.
FUNCTIONS OF THE WHOLESALER TO THE
PRODUCER:
a. The Wholesaler purchases Goods
in Large Quantity From the Producer.
b. He makes Space Available for
further Production by Buying and Clearing the goods from the Producer's
Warehouse.
c. In a Situation where the
Producer doesn't have a Warehouse, He offers to have the Manufactured Goods
moved to his own warehouse to enable more Production by the
Manufacturer/Producer.
d. He keeps the Producer informed
of the Market Situation from information he gathered from the Retailers,
Consumers and Middlemen.
e. He pays the Producer promptly
for his Goods in order not to slow down further Production.
FUNCTIONS OF THE WHOLESALER TO THE
RETAILER:
a. He advises the Retailer on the
Goods to buy and the ones not to buy.
b. He offers Credit facilities that
is , allowing the Retailer take goods on Credit from him to pay later.
