Functions of Wholesale trade: To the retailers and consumers

To the retailer

• The wholesaler:
• Buys in bulk from several manufacturers and producers.
• Breaks bulk for retailers i.e. sells goods to retailers in smaller quantities.
• Provides retailers with a wider choice of goods obtained from different manufacturers/producers.
• Receives complaints and suggestions from retailers which they then pass on to manufacturers and producers.
• Stores goods
• Are conveniently located near retailers.
• Evens out the flow of goods especially for seasonal goods like apples.
• Blends, brands, packages and bottles goods before they sell them to the retailers.
• Delivers goods to the retailers.
• Advises retailers on display techniques and store layout.

To the consumer.

• Ensures a steady flow of goods to consumers.
• Prevents wild fluctuations in prices of goods.
• Advertises goods.
• Provides a variety of goods.
• Informs consumers on new products.
• Takes consumer complaints to producers.

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