This paper will discuss the significance of cooperation between supply chain companies and its components. In addition, it will analyze how this effects the outcome in distribution focusing on companies in the steel pipe industry. In sum, theory 1 was chosen since as a result of hierarchical regression analysis communication, IT, partnership, and success monitoring, which are all components of the supply chain cooperation, are proven to affect the absolute distribution success positively. According to the standardized beta coefficient the most important factor for distribution success is communication, followed by IT, partnership and lastly success monitoring. Moreover, according to theory 2, communication, IT, partnership and success monitoring all affect relative distribution success positively. Most important factors are communication, IT, partnership, success monitoring. Thus, since the most crucial factor in deciding both the absolute and relative distribution success is communication, steel pipe companies are advised to execute strategic use.