Retailers and merchant wholesalers are examples of intermediaries that do which of the following?

Question

Quizplus · Accepted Answer

Retailers and merchant wholesalers take title to a product, meaning that they legally own the product and can sell it to customers. They are examples of intermediaries in the distribution channel that help move products from producers to end consumers. They may also create temporal (time-related) and spatial (location-related) discrepancies, but this is not the defining characteristic of these intermediaries. Additionally, they may use consumer promotions to increase sales, but again, this is not what defines them as intermediaries. Finally, intermediaries such as retailers and wholesalers may benefit from economies of scale, which allow them to reduce their per-unit costs as they handle larger volumes of product.

Retailers and Merchant Wholesalers Are Examples of Intermediaries That Do