Factors influencing marketing changes in petroleum industry in Tanzania

The petroleum industry is generally construed to include exploration and production of crude oil, transportation, pipelines, refining and distribution. In the industry’s language, exploration and production segment is called upstream and the rest of activities are called downstream. The study focused on downstream changes and development of this industry, specifically on its marketing activities. In Tanzania, the industry has been changing over years as it has been in many paces worldwide. Marketing factors have greatly contributed to these changes. The main objective of this study was to investigate factors influencing marketing changes in Petroleum industry in Tanzania. Data were collected from individual consumers and Oil Marketing Companies, which were analyzed quantitatively using the Statistical Package for Social Sciences (SPSS) and qualitatively through description. Findings show that there have been changes in some marketing variables. Petroleum Product Prices have increased substantially, Trade Liberalization has caused importation of substandard Lubricants, Integration of Petroleum Products business with Fast Foods, Mini Supermarkets, Banking Services and Restaurants in the petrol stations were among other evident changes. It is recommended among other things, that the Government may sometimes intervene in controlling petroleum products prices since market forces especially demand have no significant influence on supply and hence on price.