Wholesaling, also known as distributed. It is an intermediate stage between the origin of a good or service. Its ultimate distribution to an end-user through retail trade channels. Despite the emergence of so-called wholesale clubs aimed at the consumer market, wholesale trade typically involves business-to-business transactions.
More dramatic evidence of wholesaling’s impact on the economy is that in 1997 these activities generated sales, an amount equal to one-half of U.S. gross domestic product.
However, durable goods involve more businesses, more workers, and higher payrolls.
TYPES OF WHOLESALERS
Strictly speaking, although a wholesaler may own or control retail operations, wholesalers do not sell to end customers. Wholesalers are extremely important in a variety of industries, including automobiles, grocery products, plumbing supplies, electrical supplies, and raw farm produce.
Wholesaling involves that part of the marketing process in which intermediaries, i.e., those between the producer and the end consumer, buy and resell goods, making them available to an expanded buyer’s market over an expanded geographical market area. As middle agents, wholesalers are only effective when the price they charge for goods and services is less than the value placed by customers.
The three types of wholesalers are:
agents, brokers, and commission merchants;
manufacturers’ sales branches and offices.
They go under many different names, such as wholesaler, jobber, distributor, industrial distributor, supply house, assembler, importer, exporter, and many others.
Agents, produce broker, and commission merchants are also independent middlemen who do not (for the most part) take title to the goods in which they deal but instead are actively involved in negotiatory functions of buying and selling while acting on behalf of their clients. Some of the more common types go under the names of manufacturers’ agents, commission merchants, brokers, selling agents, and import and export agents.
Some of them also wholesale allied and supplementary products purchased from other manufacturers. If you want products at wholesale price then Lancaster wholesalers can help.