The central buying office is a structure grouping together a set of stores that can be distributors, wholesalers or retailers. These stores are therefore affiliated or members of the buying group.
As its name indicates, the central purchasing office is responsible for centralizing the purchase of products. It buys directly from producers or suppliers, then resells the products to its members.
Being affiliated to a buying group has an economic advantage. Indeed, the products are more affordable because the plant buys them on a large scale and therefore benefits from a preferential rate. Generally, each buying group is specialized in a specific sector.
While some are dedicated to the food industry, others may buy and sell exclusively household appliances, pharmaceuticals, etc.