DEPARTMENT OF TECHNICAL EDUCATION

ANDHRA PRADESH
Name : A.Srinivas Kumar
Designation : Senior lecturer
Branch : DCCP
Institution : Government polytechnic for
women, Nandigama
Year/semester : I year
Subject code : Ccp-104
Topic : Distribution network
Duration : 50 mts.
Sub topic : Organization of home trade

CCP104.77 1
Objectives

On Completion of this period, you would be

able to

 Define home trade

 Mention the various divisions of
home trade

CCP104.77 2
Recap

We know
Channels of distribution :
 Meaning
 importance

CCP104.77 3
DEFINITION OF HOME TRADE

 The trade inside the boundaries of a

country is called home trade
 Trade is done with other states or regions
of the same country
 Goods produced by the producer has to
reach the consumer by passing several
stages

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Division of Trade

Trade

Home Trade Foreign Trade

Whole Sale Retail

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Home trade

 It is done within the country

 Divided into two types
 Whole sale trade
 Retail trade

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Whole sale trade

 Buying goods from producer

 Selling to retailers
 Purchases in bulk
 Sells to various retailers in smaller quantities
 Usually with limited varieties of goods

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Retail trade

 Purchasing from wholesaler

 Selling to final consumer
 Deals with various wholesalers
 Maintains different varieties of stock in
smaller quantities

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Wholesaler is a link between producer
and retailer

 Do not deal directly with consumers

 Performs various functions
 Provides various services to retailers and
producers

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Retailer is a link between wholesaler
and consumer

 Direct touch with consumers

 Knows their tastes and requirements
 Performs various functions and services

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Summary

 In today’s lesson we have learnt about

Organization of home trade
 The role played by Wholesalers in home trade as a
link between manufacturer and retailer.
 The role played by Retailer in home trade as a link
between wholesaler and consumer.

CCP104.77 11
Frequently asked questions

1. What is the definition of home trade?

2. What are the types of trade?
3. Define the term wholesaler?
4. What are the services rendered by the
wholesaler to the manufacturer?

CCP104.77 12