Inventory Management Practices and Business Sustainability in Retail Supermarkets in Ibadan

This study investigates the relationship between inventory management practices and business sustainability among retail supermarkets in Ibadan, Oyo State, South West Nigeria. Retail businesses in Nigeria face mounting pressures from inflation, foreign exchange volatility, and supply chain disruptions, all of which make efficient inventory management increasingly critical to sustaining operations. Ibadan, as the commercial hub of the Southwest, hosts a growing supermarket sector that provides a useful context for studying these dynamics. This study employs a descriptive survey design and administers questionnaires to 102 supermarket managers and stock controllers across 18 registered retail outlets in Ibadan. Inventory management variables include reorder point analysis, stock turnover ratio, dead stock management, and supplier lead time management. Business sustainability is assessed using operational continuity, customer satisfaction, and revenue stability indicators. Pearson correlation and regression analysis are used. Results indicate that systematic stock turnover management and reliable supplier relationships are the strongest predictors of business sustainability in the sampled supermarkets. Dead stock accumulation was negatively associated with sustainability outcomes. The study concludes that professional inventory management systems are essential for the long-term viability of retail businesses in Ibadan. It recommends that supermarket operators adopt point-of-sale integrated inventory software and establish supplier evaluation frameworks to reduce stock wastage and improve supply chain reliability.

Keywords: inventory management, retail supermarkets, business sustainability, Ibadan, stock control.