Questions: What type of company purchases raw materials and makes goods to sell? Multiple Choice Manufacturer Retailer - Wholesaler Merchandiser

What type of company purchases raw materials and makes goods to sell?

Multiple Choice
Manufacturer
Retailer
- Wholesaler
Merchandiser
Transcript text: What type of company purchases raw materials and makes goods to sell? Multiple Choice Manufacturer Retailer - Wholesaler Merchandiser
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Solution

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Answer

The answer is Manufacturer.

Explanation
Option 1: Manufacturer

A manufacturer is a type of company that purchases raw materials and transforms them into finished goods through various production processes. These goods are then sold to other businesses, wholesalers, or directly to consumers. Manufacturers are involved in the creation and assembly of products, making them the correct choice for a company that makes goods to sell.

Option 2: Retailer

A retailer is a business that sells goods directly to consumers. Retailers typically purchase finished products from manufacturers or wholesalers and do not engage in the production of goods themselves.

Option 3: Wholesaler

A wholesaler buys goods in bulk from manufacturers and sells them to retailers or other businesses. Wholesalers do not typically engage in the production of goods; instead, they focus on distribution.

Option 4: Merchandiser

A merchandiser is a business that sells goods, often focusing on the presentation and marketing of products. Like retailers, merchandisers do not usually manufacture goods but instead purchase them from manufacturers or wholesalers to sell to consumers.

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