Definition
In retailing, a middleman is a business concern that specializes in performing operations or rendering services directly involved in the purchase and/or sale of goods in the process of their flow from producer to consumer.
In channels of distribution, a middleman is an independent business concern that operates as a link between producers and ultimate consumers or industrial users. There are at least two levels of middlemen: wholesalers and retailers.
A broker is a middleman who serves as a go-between for the buyer or seller. The broker assumes no title risks, does not usually have physical custody of goods, and is not looked upon as a permanent representative of either the buyer or seller.
A jobber is a middleman who buys from manufacturers (or importers) and sells to retailers (i.e., a wholesaler). In the past, the term was used to refer to a dealer in odd lots or job lots.
References
- American Marketing Association, AMA Dictionary.