Chapter IV Results and Interpretation

The researchers conducted an interview to gather information from the perspectives of

five (5) students of Father Saturnino Urios University to the focal person of Golden Panda
Cagayan Traders Inc.

After conducting an interview to gather by students, it was found out that Golden
Panda Cagayan Traders Inc. is only a distributor of dairy products in Butuan and Surigao
City. The supplier of their products is direct from the manufacturing plant from Cebu and the
only supplier that they have. After transporting the products from Cebu to Butuan, Golden
Panda Cagayan Traders Inc. deliver them to the retailer’s stores like groceries, bakery and
sari- sari stores in Butuan and Surigao.

The significance of transportation model to the distributor like Golden Panda is that
they physically connects or distribute products to retailers and to their customers. They
ensure that what their customer demanded they can supply it, to ensure customers
satisfaction. It is beneficial to them that their warehouse was located near the city proper and
easy to locate, in which they will be able to deliver their products to the retailers on time and
lesser in transportation cost. Transportation costs are somewhat lower for distributor storage
compared to manufacturer storage because an economic mode of transportation (e.g.
truckload) can be employed for inbound shipments to the warehouse, which is closer to the
customer. Unlike manufacturer storage where multiple shipments may need to go out for a
single customer order with multiple items, distributor storage allows outbound orders to the
customer to be bundled into a single shipment further reducing transportation cost.

The entity encountered some problems in distribution of their products. First, is the
problem with the stocks delivered because when they delivered the goods to every store they
didn’t expect that there would be shortage with the stocks. Second, since their business is
growing, the trucks are now their problem because they only have three trucks to be used in
delivering, so not all stores are being visited by the truck to deliver the goods that they
needed. Lastly, they could not deliver all of the goods on every store because of a flat tire or
an engine failure thus preventing them from getting their daily profit. According to them this
is the major problem they faced during their operation, they have many delayed deliveries
and added expense when repairing and maintaining the trucks.