What is the primary focus of a wholesaler in the supply chain?

The primary focus of a wholesaler in the supply chain is distribution. Wholesalers serve as intermediaries between manufacturers and retailers, facilitating the movement of goods from producers to various points where they can be sold to consumers. Their key role involves purchasing large quantities of products directly from manufacturers and then distributing these products to retailers in smaller quantities, which makes it easier for retailers to stock their stores without needing to manage large inventories.

By specializing in distribution, wholesalers help streamline the supply chain process. They often manage storage and inventory, reducing the burden on manufacturers and retailers. They also play a crucial role in ensuring that products are delivered in a timely manner and are available where and when they are needed. This efficient distribution can lead to cost savings and increased availability of products for consumers.

The focus on distribution distinguishes wholesalers from other entities in the supply chain, such as retailers, who are more concerned with direct sales to consumers, or manufacturers, who primarily concentrate on product development and production.