Question

Furntech Inc. sells office furniture. The firm procures merchandise from different manufacturers in Canada and sells it to smaller sellers in Lethbridge. Furntech is an example of a:

A.wholesaler.
B.retailer.
C.promoter.
D.producer.
E.manufacturer.

Answer 1

Furntech Inc. functions as a wholesaler by buying products from manufacturers and selling them to smaller sellers, which allows them to distribute larger quantities without producing the goods themselves.

Step-by-step explanation:

Furntech Inc., which procures merchandise from manufacturers in Canada and sells it to smaller sellers, is an example of a wholesaler. Wholesalers play a vital role in the supply chain by purchasing large quantities of goods from producers or manufacturers and then selling them in smaller volumes to retailers, other wholesalers, or institutional buyers.

They do not sell directly to the end consumers. Unlike retailers who sell small quantities directly to the consumers, and unlike producers or manufacturers who create the products, wholesalers, such as Furntech Inc., distribute products without being involved in the production process.