Wholesale purchasing refers to the practice of buying goods in large quantities directly from manufacturers or distributors. This approach allows businesses to obtain products at a lower price per unit compared to retail purchasing. Retailers, for example, often engage in wholesale purchasing to stock their stores with inventory at reduced costs, which can lead to higher profit margins. Typically, wholesale buyers must meet minimum order requirements and may need to provide a business license to qualify for wholesale pricing. This method is common in various industries, including food, clothing, and electronics, where bulk buying is essential for maintaining competitive pricing.