Wholesaler
The role of the wholesalerA business that buys products in bulk from the producer, who then sells smaller quantities to retailers and/or consumers. is to buy bulk orders from the manufacturerA person or company that makes something from raw materials or from an assembly of component parts. and divide them into smaller amounts to sell onto the retailerA person or company that sells goods to the public or consumerIn business, a consumer is a person who uses a product and may also buy it..
Costs | Benefits |
Manufacturer will lose some profit to the wholesaler | Reduces transport costs for manufacturer as wholesalers buy products in bulk |
Manufacturer loses control of how the product is sold and marketed | Wholesaler takes on the risk and cost of storing the stock |
The wholesaler may damage the reputation of the manufacturer if the product is not sold correctly | Wholesaler can repackage and label product in smaller quantities meaning less work/costs for the manufacturer |
Costs | Manufacturer will lose some profit to the wholesaler |
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Benefits | Reduces transport costs for manufacturer as wholesalers buy products in bulk |
Costs | Manufacturer loses control of how the product is sold and marketed |
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Benefits | Wholesaler takes on the risk and cost of storing the stock |
Costs | The wholesaler may damage the reputation of the manufacturer if the product is not sold correctly |
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Benefits | Wholesaler can repackage and label product in smaller quantities meaning less work/costs for the manufacturer |