An Evaluation of Distribution Strategy on Fast Moving Consumer Goods: The Case of Ambo Mineral Water Share Company

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Date

2014-12

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Addis Ababa University

Abstract

Being one of the fast moving consumer good businesses Ambo Mineral Water Share Company has taken the role of distribution as one of its main focus to achieve its business objectives. The purpose of this research therefore, was to examine distribution management of Ambo Mineral Water Share Company and then identify weaknesses and challenges in its distribution practice. The methodology used was survey questionnaires, interview and secondary data from company’s web site, data base, and brochure. The questionnaires were distributed to respondents selected randomly Descriptive research in the form of frequency distribution has been used and presented in graphs, tables and charts. In due course the research identified some key findings that affected distribution effectiveness in Ambo such as low work moral of its staffs, frequent truck and machine brake down, bad taste of products, bottle and crate shortage and poor distribution management practice in terms of selecting, motivating and controlling channel members in distribution. Finally the research has also put some recommendations such as putting in place preventing maintenance (PM) program for both distribution trucks and machinery, getting the right product at the right time, invest on bottles and crates, motivate own staff as well as all others players in the distribution network and apply a comprehensive distribution management that incorporates defining the distribution objective, design distribution structure, choosing the right distributors and managing them.

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Keywords

Evaluation of Distribution Strategy

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