if the wholesaler is eliminated, what difficulties do you think the manufacturer would have to face ?
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As we know wholesaler is connecting chain between manufacturer and retailer, but if wholesaler is eliminated following difficulties manufacturer faced:-
1. difficult to target and reach market:- manufacturer has lots of activities like raw material handling, processing, packaging etc but if wholesaler is not in chain it become for manufacturer to connect all retailer in market.
2. cost of product increase:- wholesaler reduce the manufacturer cost of marketing the product as because of its connection with retailer and if manufacturer directly connected with retailer this will increase cost of marketing and distribution cost of production.
3. risk :- now in case wholesaler as mediator company has a risk sharer related to product but without them the whole risk comes on manufacturer.
4.market information:- In coming business market , business is successful only when you know market pattern and without wholesaler it is hard for manufacturer to regular check the market.
5.liquidity and money supply:- when we talk about manufacturing company liquidity play important role and to regular money availability it is hard for manufacturer to transact in small amount and this create havoc to manufacturer.
1. difficult to target and reach market:- manufacturer has lots of activities like raw material handling, processing, packaging etc but if wholesaler is not in chain it become for manufacturer to connect all retailer in market.
2. cost of product increase:- wholesaler reduce the manufacturer cost of marketing the product as because of its connection with retailer and if manufacturer directly connected with retailer this will increase cost of marketing and distribution cost of production.
3. risk :- now in case wholesaler as mediator company has a risk sharer related to product but without them the whole risk comes on manufacturer.
4.market information:- In coming business market , business is successful only when you know market pattern and without wholesaler it is hard for manufacturer to regular check the market.
5.liquidity and money supply:- when we talk about manufacturing company liquidity play important role and to regular money availability it is hard for manufacturer to transact in small amount and this create havoc to manufacturer.
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