What is the Wholesaler function?

Answer 1

what are the functions of the retailer and wholesaler in the distribution of goods and services

AnswerFUNCTIONS OF A WHOLESALER

The primary functions performed by the wholesalers are as follows:

i. He assembles varieties of goods from different producers. In case of agricultural goods, he collects small quantities of goods from numerous small-scale producers and store in his godown.

ii. He stores the assembled goods in proper warehouse till the goods are sold. Warehousing or storing of goods fills up the time gap between the production and consumption.

iii. He distributes the assembled goods to the retailer or to the consumer directly. He thus helps in the dispersion process of marketing.

iv. He helps in the transportation of goods form the place of production to his godown and to the retailer.

v. He provides financial assistance to the retailers by supplying products on credit.

vi. He helps in proper grading of goods as per quality, size and colour.

vii. He involves all the risks associated with the ownership as he makes bulk purchases and makes arrangement for assembling and warehousing.

FUNCTIONS OF A RETAILER

Retailers perform a number of functions. These are:

· The retailer buys a variety of products from the wholesaler or a number of wholesalers. He thus performs two functions like buying of goods and assembling of goods.

· The retailer performs storing function by stocking the goods for a consumer.

· He develops personal contact with the consumers and gives them goods on credit.

· He bears the risks in connection with Physical Spoilage of goods and fall in price. Besides he bears risks on account of fire, theft, deterioration in the quality and spoilage of goods.

· He resorts to standardization and grading of goods in such a way that these are accepted by the customers.

· He makes arrangement for delivery of goods and supply valuable market information to both wholesaler and the consumer.