International Journal of Business and Social Science

ISSN 2219-1933 (Print), 2219-6021 (Online) DOI: 10.30845/ijbss

Efficiency in the Kenyan Purified Bottled Water industry: A Channel Intensity Strategy
Ouma, Denis; Ombui, Kepha; Kagiri, Wairimu Assumpta

 Guided by the resource dependency theory and the contingency theory, this research sought to assess the relationship between channel intensity and distribution efficiency. Through systematic sampling 287 respondents were chosen from employees of Aquamist limited in two distribution centres.The study used channel length and width as variables. This was illustrated using a case study of Aquamist Limited, a firm in bottled water purification and distribution. The data obtained were presented using cross tabulation and pie charts. The findings reveal that (i) distributors of purified bottled water preferred short and direct channels of distribution (ii) The number of distributors were inversely related to market coverage (iii) The expansion of channel intensity took tacit forms. The study recommends that while going for direct channels distributors need to employ agile distribution intensities to safeguard market coverage. Moreover new differentiated and branded bottled water products need to be pushed through the existing channels to enjoy economies of scale if channel expansion was not an option.

Full TexT: PDF