The Assessments of Major Factors that Affect that affect Channel Integration on Ethiopian Garment/Textile Sector in the Case of Addis Ababa
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Date
2014-05
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Addis Ababa University
Abstract
The main purpose of this research is to identify the major problems that challenge companies to
integrate with the channel partners this research is designed in order to assess the major factors
which are road blocks for the successful collaboration of channel members. This was done by
taking nine variables from different literatures on supply chain management practices. These
were grouped in to nine parent variables and under each category there are 4-7 sub- factors that
can explain the parent factors. The researcher used a simple random probability (lottery system)
to select its final sample size (35) out of 59 garment and textile companies which are located in
Addis Ababa. In order to analyze the collected data SPSS version 21 was employed. The result
shows that companies which are engaged in producing fabric items are more affected by order
handling, suppliers, sales persons and corporate image. On the other hand, garments are
affected by order handling; price and product quality. These factors became major challenges
while companies are trying to integrate. In order to be competent in the local and the
international market as well, companies are expected to improve their internal performance.
For instance quality of their products, images of their company, reducing their lead time,
revising their pricing strategy, reducing turnover rate and managing orders properly are among
the recommendations forwarded by the researcher
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Keywords
supply chain integration, garment, textile