Abstract

In today's competitive business environment, having an effective strategy and an efficient distribution system is crucial for achieving success. Purpose: This study examines the role of distribution efficiency in mediating the relationship between multichannel strategy, business Capabilities, and business performance. Research Design, Data, and Methodology: A quantitative research approach was employed, with data collected through questionnaires distributed to 90 purposively selected culinary business actors in Makassar. Data analysis was conducted using Smart-PLS software. Result: The study shows that a multichannel strategy boosts business performance and distribution efficiency by expanding market reach and optimizing logistics. Distribution efficiency significantly improves business performance, highlighting the need for effective supply chain management. While business Capabilities do not directly impact performance, it enhance distribution efficiency, which then drives business success. Distribution efficiency also plays a crucial mediating role between multichannel strategy, business Capabilities, and business performance. Conclusion: These results underscore the critical role of distribution efficiency in optimizing logistics, reducing costs, and improving operational effectiveness. Strengthening distribution efficiency can enhance market competitiveness and drive long-term business success.