Which of the following statements is true about wholesalers?
A) Wholesalers and the functions they perform are unnecessary in the marketing channel.
B) While wholesalers can be avoided, the functions they provide are necessary.
C) Eliminating a wholesaler will always decrease distribution costs.
D) Wholesalers typically sell their products to end customers.
E) Most marketing channels have at least two wholesalers involved in the distribution of goods.

Question

Quizplus · Accepted Answer

Wholesalers can be avoided by manufacturers, but the functions they provide, such as bulk buying, warehousing, and distribution, are necessary in the marketing channel. Eliminating a wholesaler may not always decrease distribution costs since wholesalers can provide cost-saving benefits. It is not necessarily true that wholesalers sell their products to end customers, and not all marketing channels involve two wholesalers.

Which of the Following Statements Is True About Wholesalers