THE PROBLEM OF LOGISTICS IN MARKETING FAST FOOD IN ENUGU STATE. (A CASE STUDY OF NOURISHA FOOD LIMITED)

CHAPTER ONE

INTRODUCTION

            From many years now, there have been poor logistics management in all aspect of our economy especially in the area of marketing in such a way that its effect has been a set back in the marketing sector.

            The work “logistic” has been a house hold name to a lot of people both undergraduates, graduates, researchers and mere especially people who are activity in the marketing industries. No marketing sector, organization or establishment can thrive without putting much consideration to the problems of logistic, this had led to various marketing agencies to continually map out various marketing strategies to contain the problems of logistics.

            However, because of the vital nature of this problems this project work is being focus on the set back that is usually encountered during the distribution and marketing of fast food, due to logistic problem and also are to the economic important of food to the growth of any motion both developed and undeveloped motion, this work is strictly based on the logistic problem of marketing fast food in Enugu state. Before going further it would be worth while to have an overview of logistics.

According to oxford advanced learners dictionary, logistic is the organization of suppliers and services for any complex operation.

            Logistic is concern with the efficient movement of raw materials from the suppliers to the factory site where they undergo the processing and finally carryout as finished product which are in turn moved to the middlemen and finally to the ultimate consumers.

            Marketing logistics is also defined as a process of managing all activities required to strategically move raw materials, parts and finished goods inventory from vendors between enterprise facilities and to consumers. The objective of logistic is aimed at providing a specified and acceptable level of customers services in order to minimize the cost involved ion moving and storing the products from it production. Logistic programme is the most advanced arrangement in services of economic processes, which bring goods and services from the producers to the consumers. 

1.1              STATEMENT OF THE PROBLEM

The very basis facilities such as refrigerated van, good road network and communication which are recorded  to support marketing activities in fast food are lacking the has caressed some logistics problem which in turned increases the rate of produce of fast food. Although inflation  in fundamentally caused by insufficient supply of essential commodities in relation to demand, it is worsened by the  ineffective distribution of what even stock that is produced, logistic has to be effective and efficient in order to create customers satisfaction and also ensure minimum marketing cost. Where there is a problem of logistic a company may not be able to satisfy its customers and achieve its marketing objectives.

The following are the major logistic problems in marketing fast food Transporting: In the area of transportation roads are often poorly constructed and not well maintained.

Modern communication facilities are not efficient and in most areas not in existence at all, the communication between producers and consumers are delayed. Another problem is time has from the point of production to the point of consumption.

1.2              OBJECTIVES OF THE STUDY

This research is being carried out to find out some solution to problems of logistic in marketing fast food in Enugu State.

1.                  To find out whether there are enough vehicle to supply product to the company’s distribution outlets.

2.                  To sench on how to increase the company’s market share.

3.                  To examine critically the logistic system in the marketing of fast food.

4.                  To find out whether the sales people in various branches encounter the problem in getting suppliers from the factory.

5.                  To find out the company’s inventory problems.

6.                  Highlight the difference between price of fast food in the area of production and in the urban cities where they are sold.

7.                  Highlight the importance of good logistics management in marketing of fast food.

8.                  To find out general logistics problem facing nourisha fast food limited.   

1.3              FORMULATION OF HYPOTHESIS

HYPOTHESIS 1

H₀ marketing logistics as adopted by nourisha food limited do not encourage consumers patronage.

H₁ marketing logistics as adopted by nourisha food limited encourages consumers patronage.

HYPOTHESIS 11

H₀ marketing logistics as adopted by nourisha food limited do not lead to increase market shares of the companies. 

H₁  marketing logisticws as adopted by nourisha food limited lead to increase market shares of the companies.

HYPOTHESIS 111

H₀  marketing logistics do not fight competition in the nourisha food limited.

H₁ marketing logistics fights competition in the nourisha food limited.

HYPOTHESIS 1V

H₀  marketing logistics practice at nourisha food limited do not impacts on their profits.

H₁  marketing logistics practice at nourisha food limited impacts on  their profit.

1.4              SIGNIFICANCE OF THE STUDY

From the economic point of view production is not complete until what is produced gets to the hands of consumers.

This study will be of benefit of nourisha food limited and the case organization. The study will help them to plan their marketing logistic so as to effectively genuine their customers at a reduced cost. It will serve as a service of document to researchers who will be interested in writing on a related topic. It will also enable the company to fin out how the distribution is being made, if their were any problems the will take step to connect the problem to satisfy their customer since the customers are their target market.

            Distributions will be benefited because the product will get to tem at the right time, right place, right quality, and at the right price. This will enable them to sell to the final consumers and also it will ensure that the whole system is working effectively.

The consumers of fast food will equally be benefited if the company adopts the finding of this study. the product will also be available to them at the right time at the right place and at the right price. 

1.5              SCOPE OF THE STUDY

The researcher’s area of concentration centered on nourisha fast food limited Enugu State. The aim of this scope is to find out the logistics problem encounter by nourisha food limited and make useful recommendation for better performance.