What type of business purchases finished goods for resale?

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The correct answer is merchandising because this type of business focuses on purchasing finished goods from manufacturers or wholesalers and then reselling them to consumers. Merchandising businesses do not engage in the production process but instead act as intermediaries in the supply chain, bringing products to the retail market.

In contrast, retailing typically involves selling those finished goods directly to consumers in smaller quantities, while wholesaling involves purchasing large quantities of finished goods to sell to retailers or other businesses. Manufacturing is concerned with the production of goods from raw materials rather than the resale of finished products. Therefore, merchandising embodies the key characteristic of buying completed goods specifically for resale, distinguishing it from the other types of businesses listed.

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