Supply Chain Resilience and Competitive Advantage of Petroleum Marketing Firms in a Deregulated Downstream Market: Evidence from South-South Nigeria

Abstract

The deregulation of Nigeria's downstream petroleum sector has fundamentally altered the competitive landscape, compelling marketing firms to reconfigure their supply chain strategies to sustain viability. This study examines the relationship between supply chain resilience dimensions — visibility, logistics flexibility, and supplier relationship robustness — and competitive advantage among petroleum marketing firms in South-South Nigeria. Drawing on Resource Dependence Theory (Pfeffer & Salancik, 1978) and the Dynamic Capabilities Framework (Teece et al., 1997), the research adopted a cross-sectional survey design with a sample of 384 respondents drawn from management and operational staff of 25 petroleum marketing companies across Rivers, Bayelsa, and Delta States. Data were analysed using descriptive statistics, correlation analysis, and multiple regression techniques. Findings reveal that supply chain visibility (β = 0.312, p < 0.01), logistics flexibility (β = 0.287, p < 0.01), and supplier relationship robustness (β = 0.341, p < 0.001) each exert significant positive effects on competitive advantage, collectively accounting for 58.4% of its variance. Supplier relationship robustness emerged as the strongest predictor, underscoring the strategic importance of depot and refinery partnerships as domestic refining capacity expands. The study contributes a validated empirical model linking supply chain resilience to competitive outcomes in a deregulated context, offering practical implications for marketing firms navigating operational volatility, infrastructure deficits, and shifting supplier dynamics.