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Which is more profitable: domestic or international wholesaling?

Based on the search results, it is difficult to determine which is more profitable: domestic or international wholesaling. However, it is important to note that both domestic and international wholesaling have their own unique advantages and challenges. Here are some factors that can affect the profitability of domestic and international wholesaling:

Domestic Wholesaling

  • Domestic wholesalers can optimize operations such as transportation, insurance, storage, customs, and more to reduce transaction costs[1].
  • Domestic wholesalers can provide easier access to goods for retailers and other businesses within the same country, without the added complexities of cross-border transactions[3].
  • Domestic wholesalers have a better understanding of the local market and can tailor their products and services to meet the needs of local customers[1].
  • Domestic wholesalers face less risk than international wholesalers, as they are not subject to the same risks associated with cross-border transactions, such as currency fluctuations, political instability, and customs issues[1].

International Wholesaling

  • International wholesalers can tap into a larger customer base and potentially increase sales and profits[6].
  • International wholesalers can expand into new markets and diversify their revenue streams[6].
  • International wholesalers can benefit from economies of scale and reduce costs by purchasing goods in bulk[6].
  • International wholesalers face increased competition from local and international suppliers[3].
  • International wholesalers require significant investments in inventory, warehouses, logistics, and more[3].

In summary, the profitability of domestic and international wholesaling depends on several factors, including transaction costs, access to markets, understanding of local customers, risk, competition, and investment requirements. Both domestic and international wholesaling can be profitable, but it depends on the specific circumstances of the business.


[1] https://samsinstitute.com/asset/5d4492eabb38f

[2] https://www.econstor.eu/bitstream/10419/157660/1/The%20Role%20of%20Wholesalers%20in%20International%20Distribution.pdf

[3] https://www.shiprocket.in/blog/wholesaling-vs-retailing/

[4] https://www.referenceforbusiness.com/encyclopedia/Val-Z/Wholesaling.html

[5] https://leadflow.com/blog/pros-cons-of-wholesaling-real-estate

[6] https://www.dealmachine.com/blog/benefits-of-wholesaling-real-estate-vs-traditional-investing


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