Facilitating functions mean financing, risk-bearing, obtaining market information and standardizing and grading.
Facilitating functions are the activities making the performance of the physical and exchange functions smooth. These functions are not directly related to the title exchange or the products’ physical handling. But the system of modern marketing will be impossible without these functions. These are often known as the grease making the marketing machine’s wheels moving. These functions consist of financing, standardization, market intelligence, and risk-bearing.
Marketing intermediaries perform these functions or tasks on manufacturers’ behalf whose products or services they distribute. These include collecting information about the conditions of the market, local advertising, in-store promotions, and anticipating credit for customers.
Some crucial facilitating functions are as follows:
- Financing function: It means the utilization of funds for carrying out different marketing aspects.
- Standardization function: It refers to the uniform measurements’ maintenance and establishment for quality as well as quantity.
- Market intelligence function: It includes the functions of gathering, explaining, and distributing various necessary data to ensure the marketing processes’ smooth functioning.
- Risk bearing function: It refers to the acceptance of the probability of loss in a product’s marketing.
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