1.

Explain the service of a wholesaler to a producer

Answer»

The services offered by wholesalers to manufacturers are as follows :  

(1). Information on demand :
The wholesaler inform the manufacturers about the interest for goods and the position of demand in the market.

(2). A large  size of production :  
It is the wholesaler who makes possible the large scale production by providing a manufacturer with bulk order.  

(3). Facility of sales organisation :  
The wholesaler buys the goods in bulk quantity from the manufacturers. The Manufacturer therefore need not to constitute a sales organizations separately.

(4) A facility of Advertisement :  
The wholesaler sells its product and gives advertisement in large quantity.

(5) Financial assistance :  
The wholesaler sometimes, provided the manufacturers with the financial assistance by advancing loans and advance payments for goods

(6) Inventory of goods :  
The wholesaler maintain sufficient stock of the goods with it. The manufacturer ,therefore need not to make a separate arrangement for storage of goods.  

(7) Standardization of goods :  
The wholesaler also discharges the function of grading and developing the standards for the goods.



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