Analysis Of Marketing Efficiency And Profitability Of Vegetable Oil In Abia State

ABSTRACT

a This study focused on marketing efficiency and profitability of vegetable oil

in Abia state. It specifically examines the factors that influences marketing

efficiency; the nature of price spread and margins and the socio-economic

profile of marketer/traders of vegetable oil in the study area. Respondents

were selected from the zones using multistage random sampling technique

while data were collected with pretested and structured questionnaires.

Analytically, the study employed descriptive statistics, price spread and

multiple regressions and the results showed the presence of inefficient

market in the study area as depicted by higher price spread in Umuahia

and Ohafia especially. It equally revealed that traders in the area are

mature adults, active and productive; mostly married male with bloated

household size of average 7 members per household. They are also fairly

experience in the business. Also, age, education, household size and

income emerged as major determinants of marketing efficiency of

packaged water in the area. This study therefore supported the need to put

in place a very robust effective measure in order to eliminate wasteful

marketing cost or competence of market structure and improvement in

infrastructural development as a means of enhancing marketing efficiency