Term
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Definition
| - transactions in which products are bought for resale, for making other products, or for general business operations |
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Term
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Definition
| - an individual or organization that facilitates and expedites wholesale transactions |
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Term
| What does a Wholesaler do? |
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Definition
- handles the physical distribution of goods
- furnishes channel information to facilitate and manage the supply channel |
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Term
Profile of:
Merchant Wholesalers |
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Definition
- full service
- rack jobbers
-drop shippers
*** take title to goods*** |
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Term
Profile of:
Agent Wholesalers |
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Definition
- brokers
- auction companies
- import-export agents
***bring buyer and seller together*** |
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Term
Profile of:
Sales Facilities |
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Definition
- branches (carry stock)
- offices (don't carry stock) |
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Term
Characteristics of:
Merchant Wholesalers |
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Definition
* full and limited services
- independently owned
- takes title to goods (assume no risk of ownership)
- often classified by product-line
(dairy products, drugs, hardware) |
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Term
| Typical Merchant Wholesale Services |
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Definition
1. Buying
2. Assorting
3. Subdividing
4. Selling
5. Transporting
6. Warehousing
7. Financing
8. Market Information
9. Management Assistance |
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Term
Wholesale Service:
-Buying |
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Definition
| - acting as a purchasing agent for customers |
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Term
Wholesale Service:
- Assorting |
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Definition
| - buy from many suppliers to develop an inventory that meets customer needs |
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Term
Wholesale Service:
Subdividing |
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Definition
| - buying in large quantities; selling in small quantities |
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Term
Wholesale Service:
- Selling |
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Definition
| - providing a sales force for producers to reach small retailers and other businesses |
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Term
Wholesale Service:
Transporting |
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Definition
| - making quick, frequent deliveries to customers; reducing customers' risks and inventory management |
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Term
Wholesale Service:
- Warehousing |
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Definition
| - store products in facilities that are nearer to customer locations than manufacturing plants |
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Term
Wholesale Service:
- Financing |
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Definition
| - grant credit to customers; aid producers by ordering and paying for products before customer purchases |
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Term
Wholesale Service:
Market Information |
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Definition
| - supply new product info and promotional materials to customers and supply producers with competitive info |
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Term
Wholesale Service:
- Management Assistance |
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Definition
| - furnish customer support; and assist small customers with inventory control allocation of shelf space and financial management |
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Term
Characteristics of:
Agent Wholesalers |
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Definition
1. independently owned
2. do not take title to goods
3. actively negotiate sale or purchase of product offerings |
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Term
Characteristics of:
Manufacturers' Sales Facilities
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Definition
- owned by manufacturer
- operated by manufacturer
- perform sales function |
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