An Appraisal of Logistics Performance in the Nigerian Retail Sector: A Study of Shoprite in Sokoto State
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Background of the Study
The retail sector in Nigeria has witnessed significant growth in recent years, driven by urbanization, rising consumer demand, and the entry of international retail chains such as Shoprite. Logistics performance is a critical factor in the success of retail businesses, as it directly impacts product availability, cost management, and customer satisfaction (Ogunleye & Bello, 2023). Effective logistics ensures the timely delivery of goods, reduces operational inefficiencies, and supports the overall competitiveness of retail operations.
Shoprite, one of Africa’s largest retail chains, operates multiple outlets across Nigeria, including Sokoto State. However, logistics performance in Sokoto faces unique challenges due to infrastructural deficits, geographical constraints, and supply chain disruptions (Adamu et al., 2024). Addressing these challenges is crucial for ensuring seamless operations and meeting the expectations of a growing customer base in the region.
Despite the recognized importance of logistics in the retail sector, limited studies focus on its performance in Nigeria, particularly in less urbanized areas like Sokoto State. This study examines the logistics performance of Shoprite in Sokoto, shedding light on factors affecting efficiency and proposing strategies for improvement.
Statement of the Problem
Logistics inefficiencies remain a persistent challenge for the Nigerian retail sector, impacting supply chain effectiveness and customer satisfaction. For Shoprite in Sokoto State, logistical challenges such as poor road infrastructure, supply chain disruptions, and limited access to advanced technology hinder operational performance (Ibrahim & Adeyemi, 2024). These issues lead to delays, stockouts, increased operational costs, and a reduced ability to meet consumer demands.
While logistics is critical to the success of retail businesses, there is a lack of comprehensive studies addressing its performance in northern Nigeria. Most existing research focuses on major cities, leaving regions like Sokoto State underexplored. This study aims to fill this gap by appraising logistics performance in Shoprite's Sokoto operations, identifying key challenges, and providing actionable recommendations.
Objectives of the Study
- To evaluate the logistics performance of Shoprite in Sokoto State.
- To identify the key challenges affecting logistics operations at Shoprite in Sokoto State.
- To propose strategies for improving logistics performance in the Nigerian retail sector.
Research Questions
- How is logistics performance assessed in Shoprite’s Sokoto State operations?
- What challenges affect the logistics operations of Shoprite in Sokoto State?
- What strategies can be adopted to enhance logistics performance in the Nigerian retail sector?
Research Hypotheses
- H0: Logistics performance at Shoprite in Sokoto State is not significantly efficient.
- H0: Key challenges do not significantly affect logistics operations at Shoprite in Sokoto State.
- H0: Proposed strategies do not significantly improve logistics performance in the Nigerian retail sector.
Scope and Limitations of the Study
This study focuses on Shoprite’s operations in Sokoto State, with an emphasis on evaluating logistics performance and identifying related challenges. The study is limited to the retail sector in Sokoto State and does not extend to other retail outlets or regions in Nigeria. Constraints include access to proprietary data and the generalizability of findings to other retail businesses.
Definitions of Terms
- Logistics Performance: The efficiency and effectiveness of logistics operations in meeting business and customer requirements.
- Retail Sector: The segment of the economy comprising businesses involved in the sale of goods and services to consumers.
- Supply Chain Disruptions: Unexpected events that hinder the flow of goods and services within the supply chain.
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