Which option best defines an intermediary?

Which option best defines an intermediary?

• A. A customer
• B. A manufacturer
• C. Person or organisation that helps arrange arrangements between businesses
• D. A retailer

Answer: (C)

An intermediary is the middleman in the movement of goods who helps connect producers with other organisations and arranges deals, terms, and logistics. This definition fits a person or organisation that helps arrange arrangements between businesses, such as a broker or agent who negotiates contracts or a wholesaler that links manufacturers with retailers. They add value by reducing search costs and handling the complexities of a transaction between businesses. A customer buys for personal use, so they’re not arranging business deals. A manufacturer is the creator of the product, not the go‑between for transactions. A retailer sells to end customers and may sit in the distribution channel, but their primary role isn’t to arrange business arrangements between organisations.

An intermediary is the middleman in the movement of goods who helps connect producers with other organisations and arranges deals, terms, and logistics. This definition fits a person or organisation that helps arrange arrangements between businesses, such as a broker or agent who negotiates contracts or a wholesaler that links manufacturers with retailers. They add value by reducing search costs and handling the complexities of a transaction between businesses.

A customer buys for personal use, so they’re not arranging business deals. A manufacturer is the creator of the product, not the go‑between for transactions. A retailer sells to end customers and may sit in the distribution channel, but their primary role isn’t to arrange business arrangements between organisations.