ABSTRACT
This research was conducted to appraise the distribution system of made in
Nigerian paints, which was a study of three selected paints manufacturing
companies in Onitsha, Anambra State. The three selected paint manufacturers
include: Citizen Chemical Industries Nigeria Limited, Ages Enterprises Nigeria
Limited and JACBON Industries Limited. This investigative research was carried
out using questionnaire, interviews and personal observation. The sample size
was determined using Bole’s formula. In this research, one hundred and ninety
six (196) customers/users of the three selected paint companies were sampled out
of a population of three hundred (300). Also, all the thirty (30) distributors of the
three selected paint Companies were administered with questionnaires since they
are few.
The data collected were classified and analyzed using percentage.
Furthermore, hypotheses were tested using Z test statistical measurement. The
major findings are as follows: The customers/users of the three selected paint
manufacturing companies are not satisfied with their present distribution system;
There is need for the introduction of effective and efficient physical distribution
management policy by the selected paint manufacturing companies; Efficient
physical distribution management increases profitability of companies; High cost
of distribution of paint leads to high cost of paints in the market.
Recommendations to readdress the problems were stated. These include: There
should be effective management of physical distribution activities in the companies
and other marketing logistics operations to satisfy the customers. The companies
should be well equipped with all necessary facilities. The management should
source for fund to procure raw materials for continuous production which will
lead to constant availability of the products that will satisfy the customers. The
system of distribution of the companies’ product using mainly the distributors
should be relaxed hence, it does not ensure adequate market coverage as the
products do not get to the numerous customers scattered all over the town. An
intensive distribution strategy (direct, indirect and integrated strategies) should be
adopted.
New delivery vans should be purchased and more salesmen employed by
the companies to sell the products. The management of the companies should
introduce many different sizes of paints products to take care of the different
needs, purposes and uses of their customers. The management should adopt
modern Inventory Control Measures such as the A-B-C Analysis; Two Bin Method
and Economic Order Quantity. Also, adequate warehouses and depots should be
constructed with Store Officers in-charge for proper inventory management.
