Features
There are several features of Wholesale Trade are as follows :
There are several features of Wholesale Trade are as follows :
1) Connecting Link :
1) Connecting Link :
The wholesaler is connecting link between the manufacturer and the retailer. He buys in large quantities from the manufacturer and then sells in smaller lots to the retailers.
The wholesaler is connecting link between the manufacturer and the retailer. He buys in large quantities from the manufacturer and then sells in smaller lots to the retailers.
2) Specilises in one line of Goods :
2) Specilises in one line of Goods :
In many cases, they deal in just one item. for instance, a clothe wholesaler will specialise in selling only clothe and that too, only suitings or only sarees and so on.
In many cases, they deal in just one item. for instance, a clothe wholesaler will specialise in selling only clothe and that too, only suitings or only sarees and so on.
3) Large Capital :
3) Large Capital :
The wholesalers requires large investments. This is because he has to stocks large quantities of items. He also requires large capital because he offers credit to the retailers.
The wholesalers requires large investments. This is because he has to stocks large quantities of items. He also requires large capital because he offers credit to the retailers.
4) Provides service to Manufacturer :
4) Provides service to Manufacturer :
The wholesaler provide a number of services to the retailers, such as providing wholesaling facilitues, finance, market information, etc.
The wholesaler provide a number of services to the retailers, such as providing wholesaling facilitues, finance, market information, etc.
5) Provides services to Retailers :
5) Provides services to Retailers :
The wholesaler provides a number of services to the retailers, such as supply of required stocks at the right time, providing credit facilities etc.
The wholesaler provides a number of services to the retailers, such as supply of required stocks at the right time, providing credit facilities etc.
6) Large sales Turnover :
6) Large sales Turnover :
Since the wholesalers deals in large quantities and sells in smaller lots to a number of retailers. the sale turnover is quite high in terms of volume and value.
Since the wholesalers deals in large quantities and sells in smaller lots to a number of retailers. the sale turnover is quite high in terms of volume and value.
7) Type of Goods :
7) Type of Goods :
The wholesaler may deal in raw material, semi-finised goods. However, in most of the cases, a wholesaler deals in finised goods.
The wholesaler may deal in raw material, semi-finised goods. However, in most of the cases, a wholesaler deals in finised goods.
8) Price Stabilisation :
8) Price Stabilisation :
The wholesalers maintain price stability by balancing supply and demand factors. whenever, goods a demanded, he sees to it that they are supplied in adequate quantities
The wholesalers maintain price stability by balancing supply and demand factors. whenever, goods a demanded, he sees to it that they are supplied in adequate quantities