Question

Explain the services rendered by wholesalers to retailers.

Answer 1

1. Financial Assistance: Wholesalers provide financial assistance to retailers by selling goods on credit.
2. Meeting the Requirements: Due to limited capital and lack of space in his facility, a retailer cannot hold a large variety of products.
3. Introduction of New Products: Wholesalers bring new products and their uses to the notice of retailers.
4. Price Stability: Wholesalers reduce price fluctuations by adjusting supply and demand and save the retailers from loss arising from price fluctuations.
5. The economy in Transport: A wholesaler often delivers goods at the door steps of retailers and saves their time and cost of transport.
6. Regular Supply: Wholesalers keep a large stock of varieties of goods and provide a regular supply of goods as per the retailer’s need.