Mastergp
Verified member
We could see that some manufacturers by pass the wholesalers and even the retailers and sell their goods directly to the consumer they are some reasons that may warrant that they include:
Increase in profit:
Manufacturer can increase their profit if they are able to sell their product directly to the consumer.
Ownership of warehouses:
Some large retailer have large warehouse and this can make the manufacturer to by pass the wholesaler.
Cheap product:
Consumers are able to buy product at cheaper prices when the activities of both wholesalers and retailers are cut off.
Presence of technical goods:
They manufacturer can sell directly to the consumers of the goods produced are highly technical and required special specifications example is computers.
Perishable goods:
Middlemen can be eliminated when perishable goods example tomatoes are involved because the goods can easily get spoilt so waiting for the wholesaler nay cause lost or waste.
Increase in profit:
Manufacturer can increase their profit if they are able to sell their product directly to the consumer.
Ownership of warehouses:
Some large retailer have large warehouse and this can make the manufacturer to by pass the wholesaler.
Cheap product:
Consumers are able to buy product at cheaper prices when the activities of both wholesalers and retailers are cut off.
Presence of technical goods:
They manufacturer can sell directly to the consumers of the goods produced are highly technical and required special specifications example is computers.
Perishable goods:
Middlemen can be eliminated when perishable goods example tomatoes are involved because the goods can easily get spoilt so waiting for the wholesaler nay cause lost or waste.
