limited-service wholesaler

Limited-service wholesalers are a type of merchant wholesaler that offers fewer services to customers and suppliers, primarily to reduce costs. These wholesalers emerged to streamline the distribution process.

Examples of limited-service wholesalers include:
* Cash-and-carry wholesalers: Handle a limited selection of fast-moving goods, sell on a cash-only basis, and do not deliver.
* Truck wholesalers (jobbers): Sell and deliver goods directly from their vehicles, often for cash, carrying a limited range of semiperishable items.
* Drop shippers: Do not hold inventory or handle merchandise. They take orders and have manufacturers ship directly to consumers, often operating in bulk industries.
* Rack jobbers: Manage nonfood items like housewares for drug and grocery retailers, providing delivery, shelving, and inventory services.
* Producers' cooperatives: Owned by farmers, they assemble farm produce for sale in local markets and share profits.

These wholesalers play a crucial role, especially in less-developed countries where they are often the primary means of trade.12