Key Functions Performed by Wholesalers
Why do manufacturers not sell directly to retailers or final consumers? Why use wholesalers at all? In general, wholesalers can more efficiently perform one or more of the following functions.
Providing access to individual retailers. Wholesalers’ sales forces help manufacturers reach many small retailers and business customers at a relatively low cost. They have more contacts, and buyers often trust them more than they trust a distant manufacturer.
Buying and assortment building. Wholesalers are able to select items and build the assortments their customers need, saving them considerable time, money, and effort.
Bulk breaking. Wholesalers achieve savings for their customers by buying large carload lots ...
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