The Market is not in place, it is in constant development based on the needs of the population. Wholesale trade – activities on sale of goods with services to those who acquires them for resale or further use (Assembly, processing). It is an important element ensuring the acceleration of the process of turnover in the market. Products moving through distribution channels, there is a synchronization of production and consumption.
The role of the state
One of the main economic objectives of any country is the restructuring of wholesale trade, which contributes to the development of small business. Experts notice that recently decreased the amount of large turnovers. Therefore, another important challenge is to reverse the decline of these operations. Warehousing needs restoration. It is necessary to build new facilities with modern equipment to restore and reconstruct the places of storage of the goods that already are. Public policy solves another important problem, which depends on wholesale trade. This development and improvement of the competitive environment, avoiding monopolies, the promotion of domestic products.
In the market this type of trading plays a different role. Relative to those who deliver the goods, there are the following functions:
- the Concentration and development of commercial activities.
- Investment security sales.
- Reducing business risk.
- the Transfer of ownership of products.
With respect to entrepreneurs of small retail organizations allocate other tasks which are solved by the wholesale trade. These are functions:
- delivery of products.
- Storage and stockpiling.
- Assessment of demand.
- Convert the existing range (production) in the trade.
- Consulting services, information services.
- Loans of enterprises engaged in retail sales.
Wholesale trade – a large network of organizations with different form of ownership. It will improve not only creates the conditions for reform, but also contributes to the stability of market consumption. Trade performance depends on wholesalers. Even if you have a large capital manufacturers often spend money to develop production, not the sales organization. Retailers, offering customers a wide range of products, are usually purchased by the party from a particular wholesaler, and not parts from different companies. It is believed that the most important is the wholesale trade of goods associated with the supply of stores of a wide and complex range of products. Enterprises that produce products profitable to sell in large quantities without any additional sorting for certain queries. Not every large company has facilities and people to transform range from industrial to commercial. The way out of this situation – services wholesale sales.
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