JAMB 2021 Economics · Question 20
Which of these is not usually the function of a wholesaler?
Options
- A.Branding
- B.Storage
- C.Transport
- D.Advertising
Answer: A. Branding
Explanation written with AI and checked against the answer key
Step 1: Analyze the question We are asked which option is NOT usually a function of a wholesaler. A wholesaler is an intermediary who buys goods in bulk from producers and sells them in smaller quantities to retailers.
Step 2: Recall the concept Typical functions of a wholesaler:
- Buying in bulk from manufacturers and breaking bulk into smaller lots for retailers
- Storage/warehousing: holding goods until retailers need them
- Transportation: delivering goods to retailers
- Advertising/promotion: helping to promote the producer's goods to retailers
- Granting credit to retailers
- Giving market information to producers and retailers
- Risk bearing: bearing the risk of price changes, spoilage and theft
Step 3: Check each option
- A. Branding: Branding (creating the name, label, logo and identity of a product) is mainly the job of the manufacturer/producer. Wholesalers usually sell goods already branded, so this is not a typical wholesaler function.
- B. Storage: A core wholesaler function. ✔
- C. Transport: Wholesalers move goods from producers to retailers. ✔
- D. Advertising: Wholesalers commonly assist in promoting goods. ✔
Step 4: Answer
Tip: Remember that wholesaler functions are about moving and holding goods (bulk-breaking, storage, transport, credit, information). Anything to do with creating or designing the product (such as branding and packaging design) belongs to the manufacturer.
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