[Economy] Cash and Carry wholesale trade meaning

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The term "Cash and Carry wholesale trade" has been appearing a lot in newspaper columns nowadays, because of that 'FDI in retail' issue.

Traditional wholesale trade

• An electronics store owner, Jethalal Champaklal Ghada, requests 20 LCD TVs from Sony wholesaler.
• Wholesaler arranges for the truck, sends the LCDs.
• Jethalal need not pay the entire cost-price of 20 LCDs at once.
• He'd keep paying it either in installments or entire sum before next-Diwali or next month or only when those LCDs are sold to a newly opening hotel. (i.e. deals made on credit)

Another example of traditional wholesale:-
sometimes you see a guy with a notebook, making rounds at your local kiranastore or dairy parlor. He'd note down the 'order' from that store owner and after some time, he'd come back in loading-rickshaw full of biscuit, softdrink and wafer packs. And the money is settled on monthly basis.

Cash and Carry wholesale trade

It is different from the traditional wholesale deals in following manner:

• Here Jethalal himself goes to that Wholesaler's warehouse (or sends his henchmen Nattu kaka or Bagheshwar).
• He pays entire cost of all 20 LCDs, at once. (Cash/Cheque/DD etc.)
• He arranges for the truck-transport by himself and takes it back to his shop. (Carry)

Cash n Carry wholesale in India

(here goes copy paste job from Financialexpress)

• In many big cities there are "Best Price Modern Wholesale stores" by Walmart Bharti venture, as 100% FDI is already allowed in wholesale.
• They stock about 6,000 items, including a wide range of fresh, frozen and chilled foods, fruits and vegetables, dry groceries, personal and home care, hotel and restaurant supplies, clothing, office supplies and other general merchandise items.
• These items are available at competitive wholesale prices, allowing retailers and business owners to lower their cost of operations.
• Over 90% of these goods and services are sourced locally, thereby helping keep costs to a minimum, adding to the growth of the local economy and creating job opportunities.