In a channel of distribution, who are considered intermediaries?

Intermediaries in a channel of distribution play a crucial role in connecting manufacturers or producers to the end consumers. This category includes wholesalers, suppliers, and distributors, who facilitate the movement of goods from production to the market.

Wholesalers purchase large quantities of products from manufacturers and sell them in smaller amounts to retailers or other businesses, thereby bridging the gap between the larger-scale production and the final sale to consumers. Distributors, on the other hand, often have exclusive rights to sell a product within a certain area and help manage the logistics and storage of products, ensuring they reach retailers effectively.

This answer highlights the importance of intermediaries in enhancing efficiency within the distribution chain by reducing the number of transactions and providing specialized services such as storage and transportation, which ultimately supports businesses in reaching their target markets seamlessly.