Question

what are the fundamental diffrences between consumers markets business markets ,and reseller markets?

Answer 1

The fundamental differences between the consumer market, business market and reseller market are:-

1. The consumer market is where the consumer purchases the goods for the purpose of consumption whereas in the case of business market the goods are purchased for further production and not for direct consumption. The reseller market is different in a way that in this market the buyer purchases the goods for the purpose of reselling it and earning profit on it.
2. In the consumer market, the consumers purchase goods in small quantities as needed for consumption whereas in business market, the company purchases the products in bulk quantities. Also in the reseller market the product is purchased in wholesale which is profitable to the reseller.
3. Other difference between the three is that in consumer markets, the buyer is mainly an individual or may be two but in the case of business markets, a company or brand purchases the goods. In reseller markets, wholesale dealers, distributors or shopkeepers are the buyers.
4. In consumer markets, every type of consumer can be there, old aged, young one, teens and different types of consumers have different preferences for their goods and products therefore the marketing strategy of a consumer market is different from the other two. In business markets, companies make purchases according to their need of products and hence for business markets different marketing strategy is applicable. For reseller market, products in bulk quantities according to the need of the distributor or shopkeeper are purchased.
5. In the consumer market, the product that is purchased by the consumer is directly consumed. In the business market, the product that is purchased by the company goes for further production and after that it is ready for direct consumption. In reseller market, the product that is purchased is again sold to the customers for higher prices as the bulk prices are lower than the selling prices. So in reseller markets, the product is ready for consumption after the distributor or dealer sells it to the consumer.

Let us take an example to make it more clear:-

Suppose you go to a shopping mall to purchase a shirt, the shirt that we purchased is fully stitched and you can wear it whenever you want. This is an example of consumer market.

Now if a big brand of shirt wants to purchase cloth for shirts from a cloth mill, the raw cloth that is purchased for the shirts is in bulk amounts.This is an example of business market.

If a shopkeeper purchases 100 shirt for $15 each from a wholesale market and resells them at $25 each, he is reselling and earning profit on it. This is an example of reseller market.