RETAIL OUTLET LOCATION AND BUSINESS PERFORMANCE IN UYO METROPOLIS

Abstract

This study examined the effect of retail outlet location on business performance within Uyo metropolis, Akwa Ibom State, Nigeria. To achieve this aim, a survey was conducted to collect the required data from the operators of retail outlets in Uyo Metropolis. Being an infinite population, an estimate of 120 retail outlets was made, out of which 90 were purposively selected as the sample size for the study and questionnaires were administered physically. Eighty (80) were duly filled and returned, indicating 88.88% respondents’ rate. Descriptive analysis, Structural Equation Modelling and Relative Importance Index (RII) were utilized for data analysis. Findings revealed amongst others that: (i) location of retail outlets had significant effect on business performance (ii) accessibility to the retail outlet location also had effect on business performance. This could be traceable to the fact that the finest store in the world will not live up to its potential if located where customers cannot and will not travel/drive to shop; and (iii) wrong location of an outlet had the greatest effect on business performance. The researchers conclude that retail location determines business performance. Some recommendations are also offered for the way forward.

Keywords: Retail location, Retail Infrastructure, Business performance, Uyo metropolis.