Legal Question in Business Law in India

Re: '' what is the difference between a dealer and a distributor''

There is actually not much differece between the two terms generically. A distributor, however, connotation wise would refer to one who is specifically appointed by a manufacturer to 'distribute' his goods. Distributors would be appointed usually region wise to make for a wide coverage and spread of goods. They would service wholesalers of those goods [ once again appointed by a manufacturer, but for 'local' coverage of their goods]. Wholesalers could be many and appointed citywise.

The term 'dealer' on the other would cover both a wholesaler and/or a 'retailer'. Thus in the channel of trade to ensure wide spread distribution of goods, a manufacturer would have distributers, who would service wholesalers who in turn would service retailers.

Definition of these terms could be seen in "The Drugs [Prices Control]Order, 1995" where the terms appear in the context of distribution of bulk drugs and medicines. Definitions and case law in respect of these terms could also be found in the Sales of Goods Act.