http://www.jig.co.uk description" content="Wholesale gift prices to suit all retailers. We have thousands of wholesale gifts and furniture to choose from. As gift wholesalers we offer cash & carry or online buying convenience.
1. It is a growing trend in these recent times that businesses (ranging
from petrol stations to pound stores and even high street chain
stores) offer a range of small gifts such as toys which can be
purchased at a relatively cheap price.
These items can often be sold by these firms in order to provide a
slight increase in their income as well as providing their customers
with a slightly cheaper alternative to the relatively more expensive
alternatives.
2. These gifts are potentially very good examples of items which could
be purchased either in bulk or in wholesale by a business owner from
providers or producers of such items.
The purchase and sale of Wholesale Gifts is a very good example of
the principle known as ‘Economies of Scale’.
3. As even a novice student of even the most rudimentary elements of
business studies or economics would know, the principle of
‘Economies of Scale’ is a key element of business procedures that are
conducted by virtually every entrepreneur, customers and business
owners even though they may not be fully aware of its proper title at
the time.
Perhaps the most commonly used example of the ‘economies of scale’
principle is that of a business purchasing and selling items in bulk or
wholesale.
In terms of Wholesale Gifts, the best example is perhaps the
purchasing of gifts for a business’s employees at Christmas where the
business owner may purchase a large quantity of gifts (for example
bottles of wine which, when a box of bottles is purchased, is typically
cheaper than buying a large number of bottles individually).
4. In perhaps the most basic terms, this process involves a business
purchasing a large amount of certain items (such as Wholesale Gifts)
at a typically lower unit price per item than if the same quantity were
to be purchased individually.
The practice of ‘bulk buying’ is also perhaps most commonly used by
supermarkets where ‘multipacks’ of certain items (such as food, drink,
toiletries, and household cleaning materials) are sold at a far lower
price than if the same number of such items were sold individually
and purchased by customers.
These deals are highly sought after by customers and, if advertised,
can also greatly attract a larger number of new consumers.
5. It should be mentioned, however, that if a firm cannot guarantee that
they can sell all of their stock which would be purchased through bulk
buying, it would be unwise for them to purchase items wholesale
using economies of scale.
JIG.co.uk