State any four services rendered by a wholesaler to a retailer.

Short Answer Questions · Q4

Q. State any four services rendered by a wholesaler to a retailer.

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✓ Free question

A wholesaler renders several distinct services to the retailers it supplies, of which any four fully answer this question:

Breaking bulk — makes goods available in lot sizes a small retailer can actually afford and store, instead of forcing the retailer to buy factory-scale quantities.
Credit facility — extends credit to retailers, many of whom operate on thin working capital, easing their cash-flow burden.
Wide assortment under one roof — stocks the products of several different manufacturers within a line, letting a retailer fulfil most of their buying needs for that line from one source.
Market guidance — advises retailers on new products, prevailing prices and fast-moving lines.
Storage relief — since the wholesaler holds the bulk stock, the retailer does not need large godown space of their own.
Quicker, more local delivery — being geographically closer to the retailer than a distant factory, the wholesaler can typically deliver replacement stock faster.

✓Final answer

Any four of: breaking bulk into affordable lots; extending credit; offering a wide multi-manufacturer assortment; providing market/price guidance; relieving the retailer of storage; and quicker, more local delivery of replacement stock.

Same / Similar Concept — real previous-year questions on the same or a closely similar concept, not this exact question.

CBSE 2024Set ANNUAL2 marks
$Q. Write a short note on: Wholesaler$
›Reveal solutionSolution

A wholesaler is a middleman who purchases goods in bulk from producers or manufacturers and sells them in smaller lots to retailers, serving as the link between the producer and the retailer and providing services such as bulk-breaking, storage, finance and risk-bearing.

Wholesaler

A wholesaler is a trader who deals in large quantities of goods. He buys goods in bulk directly from manufacturers or producers and sells them in comparatively smaller quantities to retailers. He normally deals in a limited range of goods but in large volume. By collecting goods from many producers and distributing them to many retailers, the wholesaler bridges the gap between production and retailing. He also stores goods, grades and packs them, provides finance (credit) to retailers, bears the risk of price fall and provides market information to producers.

✓Final answer
$A wholesaler is a trader who buys goods in large (bulk) quantities from manufacturers or producers and sells them in smaller quantities to retailers, acting as the link between the producer and the retailer. He provides services such as bulk-breaking, storage, grading, finance (credit) to retailers and risk-bearing.$
CBSE 2020Set ANNUAL2 marks
$Q. Write a short note on: Who is Wholesaler ?$
›Reveal solutionSolution
A wholesaler is a middleman who buys goods in bulk from producers and sells them in smaller quantities to retailers, linking the producer and the retailer.

Who is a Wholesaler?

A wholesaler is a trader or middleman who purchases goods in large quantities directly from manufacturers or producers and sells them in comparatively smaller quantities to retailers. The wholesaler does not usually sell directly to the final consumer. This is a 2-mark AP Inter 2nd-year Commerce previous-year question.

Key points:

Acts as a link between the producer and the retailer.

Buys in bulk and sells in smaller lots (bulk-breaking).

Usually deals in one or a few lines of goods.

Requires large capital and storage (warehousing) facilities.

Provides services such as storage, transport, finance (credit) to retailers, and risk-bearing of price fall.

✓Final answer
$A wholesaler is a middleman who buys goods in large quantities from manufacturers and sells them in smaller quantities to retailers, acting as a link between the producer and the retailer.$

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Q.State any four services rendered by a wholesaler to a retailer.

Concept understanding — Wholesale Trade — Meaning, Features and Services

Wholesaler

Q.State any four services rendered by a wholesaler to a retailer.

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