A merchant is a private or legal person who provides services or goods to customers. Every merchant offers its services in accordance with laws. 

There are some types of merchant activities exist: 

  1. A wholesale.
  2. Dropshipper.
  3. Retail.

One creates a product, while others buy for the lower price and sell for a higher one. All these activities are characteristics of a merchant.

Every person who owns a business is a merchant too. 

wholesaler is an intermediary who buys in bulk from a distributor and resells at wholesale price to a retailer. Wholesalers may specialize in a particular type of product, such as women’s shoes, or have a wide range of products for retail in various industries. Wholesalers who sell only non-competitive products are distributors.

distributor is an independent agent agreeing with a manufacturer to sell its products to wholesalers or retailers. Distributors often face restrictions from manufacturers and are not allowed to trade other product lines or competing products, but this frequently depends on the type of industry and the agreement that has entered into force. As a rule, distributors own a vast amount of goods

 A Retailer is a business owner who sells products directly to consumers for consumption, not resale. To make a profit, the retailer must find a wholesaler or distributor who sells the products at the right price and in the right quantities. Typically, retailers make money by buying products from wholesalers in small amounts at a wholesale price and reselling them at a relatively high price to cover advertising costs and other expenses