AN EVALUATION OF THE DISTRIBUTION STRATEGIES FOR THE MARKETING OF PETROLEUM (A CASE STUDY OF OANDO)
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- Recommended for : Student Researchers
- NGN 3000
ABSTRACT
This research was motivated to apprise the evaluation of distribution strategies adopted by Oando Plc for the marketing of petroleum product. There was a problem of the tendency of distribution of those petroleum product to the Northern and Southern which effect to a scarcity of the product in other areas of the country. On the contrary to the problems of this research work, an objective came to be as to ascertain whether there is an effective and efficient distribution of petroleum products, all round the country. The research looked at the relationship between the distribution and the relationship between the distribution strategies and the availability of petroleum products for public use and to find out if there were other factors other than poor distribution strategies responsible for these scare products. The population of this study were the management staff of OANDO PLC petroleum products Ltd and the company’s distributors in Kaduna South metropolis. The researcher collected data from both Primary and Secondary source. Meanwhile, Pilot survey was carried out among nine distributors in Kaduna South, eight of the distributors responded positively to the concerned questionnaires given to them while only one of them responded negatively. Topman’s formular was used to determine the sample size of (150) questionnaires used. Out of which 30 questionnaires were given to management staff of OANDO PLC Petroleum Products Ltd, 25 completed and 120 questionnaires were given to OANDO PLC distributors, 92 questionnaires completed. Stratified sampling technique was used for larger sample of the study. The research instrument was tested for validity and reliability using test retest approach in order to ensuring that the research instrument is error free and capable of measuring what it suppose to measure.
The statistical technique used to test the hypothesis was chi-square at 5% level of significance. The hypotheses were tested to know whether they are researchable or not. Table and percentages was equally used to summarize data collected and the option with highest score was favoured. At the end of the study, the researcher was able to make some findings and recommended among others that the management of OANDO PLC Petroleum Products Ltd should intensify their production activities / capacity by ensuring availability of products at every Depot. Most especially for OANDO PLC crown super 1litre that normally involve rationing, Strengthening of channel of distribution and motivation of production and field sales personnel so that product can be made available to customers as at when needed. Knowingfully well that decision on the choice of distribution channel is one of the cogent and sensitive issues steering at management in recent times.
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