Question

In: Economics

What value do wholesaler add to the channels of distribution?

What value do wholesaler add to the channels of distribution?

Solutions

Expert Solution

The wholesaler determines the product, location, prices, and service that meet the needs of suppliers and customers. This way they add value to marketing. Wholesalers can reproduce or modify a product subject to market changes. This way he can add value. The wholesaler also provides value added services such as packaging, remodeling and treatments.   If a wholesaler can add more value to its subscribers, it can also charge those customers. He can add value to the service offered by the wholesaler, from the manufacturer to the distributor .Wholesalers buy bulk products from manufacturers and sell them in small quantities to retailers. Wholesalers have an important place in marketing channel setup.


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