A more thorough explanation:

Definition: The price at which a product is sold in large quantities to retailers or other businesses, typically at a lower cost than the retail price.

Example: A manufacturer of t-shirts sells their products to a retail store for $5 per shirt. The retail store then sells the same t-shirts to customers for $15 each. The $5 price is the wholesale price, while the $15 price is the retail price.

The example illustrates how the wholesale price is the cost at which a product is sold to businesses that will then sell it to customers at a higher price. This allows the businesses to make a profit while still offering a competitive price to customers.