Paper 2 · November 2004 · Retail Trade
Why do large-scale retailers buy directly from manufacturers rather than through wholesalers?
AThey have enough capital to buy in bulk and in cash, earning large discounts
BGovernment regulations forbid wholesalers from supplying large retailers
CThey lack the warehousing needed to store bulk stock
DManufacturers refuse to sell to wholesalers at any price
Explanation
Large-scale retailers have enough capital to buy in bulk and in cash, earning discounts.
Derived from ZIMSEC Commerce 7103/02 Paper 2, November 2004, Q2