Question

What are the characteristics of wholesale trade?

Answer 1

Main characteristics of Wholesale Trade:

1. Wholesaler acts as a link between producer and retailer.
2. A wholesaler works with big amounts of products.
3. A wholesaler is usually focused on a single product line. For instance, stationery, food grains, and so on.
4. Wholesaler invests large amounts of capital in maintaining a stock of goods.
5. Generally, the margin of profit of wholesalers is low. A wholesaler is the first intermediary in the distribution chain.