An evaluation of distribution strategies in the capital equipment market in Zimbabwe : a case of Co-Plant Technology P/L (2009 - 2012 )

Abstract

The aim of the study was to ascertain and draw conclusions on the extent of distribution strategies employed by Con-Plant Technology P/L (CPT). The successful implementation of an effective distribution strategy according to literature requires an organization to; understand the various forms of distribution strategies, appreciate the determinants of a distribution strategy, evaluate the distribution strategies, and discover factors that inhibit the successful implementation of an efficient distribution strategy. Nevertheless, this literature is restricted to the outside world. Hence, the purpose of this study was to fill this research gap by evaluating distribution strategies in the capital equipment market in a Zimbabwean perspective. Furthermore, the business world, nation, and researchers will derive value from the data gathered in this study. A qualitative research approach based on a single case study design of Con-Plant Technology P/L (CPT) was adopted. Purposive sampling strategy was utilized to select fourteen (14) respondents drawn from eight organizations representing senior employees of CPT, customers, OEMs (suppliers), and the designated freight forwarder in the distribution channel. The selected respondents were all related to distribution and would best answer the research questions. Interviews were used to gather evidence using an unstructured questionnaire and the data was analyzed through data displays in the form of content analytical tables to draw conclusions. The study concluded that CPT is strongly commitment to less efficient traditional distribution strategies because management is not fully aware of the forms of distribution strategies available, the management has little understanding of the factors that influences the selection of a distribution strategy, evaluation of distribution strategies is non-existent at CPT, and limited resources inhibits the successful implementation of efficient distribution strategies. In view of these findings, CPT is recommended to adopt hybrid channeling to improve its distribution network and market coverage, employ expertise to articulate marketing functions, secure other sources of finance, and evaluate the contribution of each distribution strategy.