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Green Distribution Management and Environmental Sustainability of Small and Medium-sized Enterprises (SMEs)

Babatunde, B. O., Ajayi, E. O., Animasaun, O. O. and Badiru, N. I.

ABSTRACT

Small and Medium Enterprises (SMEs) operating in the market today are underperforming in terms of production (goods/services) and the main delivery period, i.e., time to market. The procurement has also failed to maximize supply chain value while enhancing projected return and reducing expenses. The purpose of this study is to evaluate the green distribution management and environmental sustainability of Small and Medium-sized Enterprises in Nigeria, with specific reference to Oyo State. The methodology used in this study was a survey. Out of the total population of 4,520 small and medium-sized enterprises (SMEs) in Oyo State, a sample size of 10% (455) was drawn using a stratified random sampling technique. The questionnaire was used to gather primary data for the study and analysed using regression analysis with the aid of SPSS 22.0. The result revealed that green distribution influences the environmental sustainability of SMEs (r2 =0.454 p <0.05). The study concluded that green distribution management practices have a significant influence on the environmental sustainability of SMEs. From the findings, it was recommended that SMEs should embrace green distribution management practices since it has the capacity to the environmental sustainability, improve environmental performance, SMEs should pay utmost attention to green distribution strategy through frequent engagement in production processes free from the emission of harmful substances and uses of environmentally friendly packaging.

 

KEYWORDS: Green distribution management, Environmental sustainability, SMEs