Internal Trade Quiz

Trade Fundamentals

• The term for buying and selling goods and services within a country's geographical boundaries is domestic trade.

Objectives of Trade

• The main objective of trade is to facilitate the exchange of goods and services, allowing nations to meet consumers' needs and desires while improving economic efficiency.

Role of Wholesalers

• Wholesalers act as intermediaries in the supply chain by purchasing large quantities of goods from manufacturers and selling them in smaller quantities to retailers or businesses.
• They help reduce the burden on manufacturers by handling storage, inventory management, and distribution.

Purpose of Wholesale Trade

• Wholesale trade focuses on buying and selling goods in bulk, enabling retailers to acquire products at lower prices and provide access to a wider array of products.
• It streamlines the supply chain by aggregating products from various manufacturers, simplifying the purchasing process for retailers.

Large Scale Production Enablers

• The ability of manufacturers to undertake large-scale production is facilitated by economies of scale, which lower the average costs of production as output increases.
• Access to raw materials, advanced technology, and efficient supply chain management also enables large-scale operations.