Warehousing
A warehouse is a building for storing goods. Warehouses are used by manufacturers, importers, exporters, wholesalers, transport businesses, customs, etc. They are usually large plain buildings in industrial parks on the outskirts of cities, towns or villages.
A warehouse may be defined as a place used for the storage or accumulation of goods. The function of storage can be carried out successful with the help of warehouses used for storing the goods.
Warehousing can also be defined as assumption of responsibility for the storage of goods. By storing the goods throughout the year and releasing them as and when they are needed, warehousing creates time utility.
Functions of Warehousing:-
- Storage
- Price Stabilization
- Risk bearing
- Financing
- Grading
- Packing
Benefits from Warehouses:-
- Regular production
- Time utility
- Store of surplus goods
- Price stabilization
- Minimisation of risk
- Packing and grading