DISTRIBUTION STRATEGIES AND CUSTOMER SATISFACTION IN MANUFACTURING FIRMS

DISTRIBUTION STRATEGIES AND CUSTOMER SATISFACTION IN MANUFACTURING FIRMS

CHAPTER ONE
INTRODUCTION
1.1 Background of the Study
As industries engage in production of goods and services, they need to make them available to consumers at the
right time right place and at the least cost (price).All these cannot be without effective and efficient system put in
place. Distribution strategy is the transfer of products from one place to another or from one manufacturer such
as wholesaler, retailer, agents and other means such as transportation, communication warehousing etc. (Jobber
2002). Distribution contributes no profit to companies account.
However, without satisfactory distribution drastically which could lead to over stock, due to low sales or
patronage of consumers, redundancy in production due to shortage of low material.Dangote group of company
was founded in 1977 with the formation ofAlco International Limited. Subsequently Dangote Nigeria Limited
wasincorporated during the 1980s and 1990s, the group ventured into theimportation of sugar, milk, flour, fish,
rice, cement and iron rods, later,the group embarked on the haulage business, which started with 60struck under
Dangote transport.
Dangote industries limited was incorporated in-order to sustain thegroups market leadership in trading
commodities and to expand intomanufacturing of food, clothing and build materials,
Focus was placed on the following; sugar refining, flour milling, pastaproduction, salt processing, bulk cement
bagging, oil and gasexportation, real estate, propylene bag manufacturing, haulage, textiles,maritime operations
and telecommunications. The technical departments specialize through its branches and the stores of approved
dealer through the century in the sales and servicing of a wide range of technical products. The company acts
through this department as major stockiest and supplier of a comprehensive industry and all types of lighting
fitting including water industrial.
Ø The general merchandise department with connection through leading manufacturers in Nigeria and all
over the wide range of hardware.
Ø The report service department offer warehouse and delivery services to local manufacturers. This
enables them to maintain better stock at all major centers for supply to their distributors

DISTRIBUTION STRATEGIES AND CUSTOMER SATISFACTION IN MANUFACTURING FIRMS