In 20, convenience store operations from seveneleven japan and other subsidiaries in north america and china contributed 37. To provide highavailability of a variety of reasonable quality products at reasonable prices. Discusses the structure of the seven eleven japan supply chain in terms of its facilities network, inventory management, distribution, and information. Pdf making convenient to 7eleven company in the retailing is. The top 10 competitors in 7 eleven s competitive set are ampm, cst brands, blendcard, circle k, citgo, murphy usa, cornelius, stewarts shops, tri par oil co. Success factors 7 eleven in thailand thanee ngaochay is a phd candidate at shinawatra international university, bbd building viphavadi 197 viphavadirangsit rd, samsen nai, phayathai.
Lifeet and 7 eleven 7 11 ibon, in order to understand intelligent stores. Due to the constraints in the number of pages, this book will primarily focus on the fundamental principles of supply chain management. Case study of seven eleven japan company 1611 words 7 pages. Once seven eleven japan decided to provide responsiveness by rapid replenishment, it then structured its facilities, inventory, information, and distribution to support. This presentation is about supply chain strategy in the 7eleven store. Seveneleven japans competitive strategy is to provide customers the reliability to get what they need, exactly when they need it and where they are.
Introduction to supply chain management bus adm351. A 7 eleven may bring to mind thoughts of coffee, gas, and slurpees. Seven eleven japan supply chain uk essays ukessays. Gross profit is equal to net sales minus net cost of goods sold, which is calculated by subtracting costs of inventory loss, disposal of merchandise, and rebates from gross cost of goods sold. Annual sales in billion yen of seveneleven in japan 6. A competitive strategy is how the company tries to meet the needs of the customers while being competitive to other companies. Homework 1 molly harmon homework 1 1 what is seveneleven. Seveneleven japans competitive strategy bus adm351 studocu. Such clustering gave seven eleven japan a highdensity market presence and allowed it to operate an efficient distribution system. Next stop for convenience stores deloitte united states. This gives an insight in the marketing mix pricing strategy of 7eleven stores. What has seveneleven done in its choice of facility location, inventory management, transportation, and information infrastructure to develop capabilities that support its supply chain strategy in japan. Case study of seveneleven japan company 1611 words 7 pages.
Seveneleven japan stanford graduate school of business. A case study of 7eleven japan business model community. Seveneleven japan sej opened its first franchise convenience store in the 1970s, when the. Seveneleven is revolutionising grocery distribution in japan. Nov 17, 2009 read this business case study and over 89,000 other research documents. Seveneleven japan co free download as powerpoint presentation. Case study of seveneleven japan company 1597 words bartleby. Supply chain management 711 japan history 7 eleven is part of an international chain of convenience stores, operating under seven eleven japan co. What benefit does seven eleven derive from this policy. This report aims to recommend strategies for 7 eleven to. This book analyzes japan as a knowledge economy, with a view to providing lessons for the developing world.
Established in 1973, seven eleven japan open its first store in kotoku, tokyo, in may 1974. This case study discusses the meteorological rise of a convenience store chain, seven eleven japan in the japanese retail store business. View homework help homework 1 from supply cha 330 at university of wisconsin, milwaukee. Oct 05, 2015 as 7eleven pointed out, omnichannel, or a multichannel approach to salesfrom the internet to smartphones to physical store sitesis a major part of the chains strategy. This report aims to recommend strategies for 7eleven to consider in securing competitive advantage.
The condition for the seveneleven japan charge royalty and minimum guarantee applies to stores that are open for 24 hours a day. Nov 01, 2002 seveneleven japan was getting three deliveries a day with a delivery cost of between 4 and 6 percent on the dollar. The analysis of strategy planning in facilitating intelligent shop. And it is set up its first store in tokyo in may 1974, it was found by masatoshi ito, the company was first listed on the tokyo stock exchange in october 1979 it had increased its share of the convenience shore market since it opened. Its complete understanding and control of its market and operations based on it support contribute to its sustainable competitive advantage. In january 2018, seven eleven japan became the first retailer in japan to achieve a store count in excess of 20,000. The report contains a detailed swot analysis, information on the companys key employees, key competitors and major products and services.
The retailer was facing competition from walmart and other stores. Seven eleven japan s competitive strategy is to provide customers the reliability to get what they need, exactly when they need it and where they are. It remains hungry for growth and open to new ideas, characteristics that have helped it strengthen its. Established in 1973, seven eleven japan set up its first store in kotoku, tokyo, in may 1974. In the japanese convenience store business lawson has applied format variation the creation and development of branded subformats most intensively and is now implementing multiformat strategy. Toshifumi suzuki, chairman and ceo of seven and i holding co. So it is a very valuable topic to discuss how to use ict in the innovation strategy in a bid to. Asi mismo, las tecnicas acumuladas durante 30 anos. Business model, strategic management, competitive strategy.
The company was first listed on the tokyo stock exchange in october 1979. The study on the reasons for the success of 7 eleven in thailand is started with japan and ended with thailand. Logistics is admitted to be one of the most influential players in any supply chain and those companies who have succeeded in harnessing logistics power, turned it into their main operational tool against its rivals. The innovative distribution system of 7eleven japan the. Sej continues to implement reforms to support continued progress. Seveneleven japans business model since its establishment in 1973, seveneleven japan sej has always closely tracked changes in society and consumer lifestyles and has taken steps to enhance its own operations to meet emerging trends. This presentation discusses the supply chain drivers and associated tradeoffs for each. Background seven eleven is a famous convenience store. Seven eleven japan, which is a subsidiary of itoyokado, is the largest and most profitable convencience store chain in japan, with around 6700 convenience stores, all operating on a franchise basis. Overview of seveneleven japan seveneleven japan has been developing distinct franchise systems, aiming at bringing innovation and dynamism to small and medium sized retail stores, and achieving coexistence and coprosperity with franchisees. Itoyokado and seven eleven japan now owns the southland corporation, the us company which originated the seven eleven concept. Food items classification facilities at the store schematic representation of the supply chain case question discussions. Supply chain management case study 1 seven eleven japan co.
Example swot for 7eleven the marketing study guide. Using cutting edge technology and justintime strategy of supply chain management, they reduce inventory, cut costs, and deliver. Seven eleven japan sej, a franchised convenience store chain, combines several factors to produce worldclass strategy. Scribd is the worlds largest social reading and publishing site. Techniques for analyzing industries and competitors in 1980. Japaneseowned american international chain of convenience. What are seveneleven japans supply chain drivers i. How 7eleven is taking convenience to the next level cstore. When analyzing 7eleven japans advanced and innovative management style, the authors of this book highlight the existence of the integrated information system.
Supply chain management 7 11 japan history 7 eleven is part of an international chain of convenience stores, operating under seven eleven japan co. It was founded in 1927 and now has over 50,000 outlets worldwide. Characteristics of seveneleven japans systems that support basis of a mutual trust relationship. It will cover all the key conceptual areas with short business cases, but is limited in scope on management skill coaching. In the 1970s, convenience stores such as 7 eleven, lawson and family mart began to venture into japan as the countrys per capita gdp reached usd3,000. It is ideal for university assignments or as a template for a business exercise.
Supply chain management case study of seveneleven japan company a. Seven eleven japan co delivery commerce supply chain. Discovering the secrets of the worlds bestrun convenience chain stores ishikawa, akira, nejo, tai on. To certain extent, this book will hopefully contribute to such a development. Established in 1973, seveneleven japan set up its first store in kotoku, tokyo, in may 1974. Describes seven eleven japan s logistics and information systems and how they support its retail strategy. Cluster of 5060 stores supported by a distribution center dc. Seveneleven japan tracks hourly sales trends for individual items and replenishes and changes its assortment of products throughout the day to match its offering with customer demands. Southland and seven eleven japan, harvard business school, case n9795051.
We contrast findings from each case, and so extracted more broadly. Sejs success factors include their franchise arrangements. Seven eleven growth seven eleven unique selling proposition market dominance strategy. Strategic differentiation in the japanese convenience store business. Seven eleven japan tracks hourly sales trends for individual items and replenishes and changes its assortment of products throughout the day to match its offering with customer demands. What has seven eleven done in its choice of facility location, inventory management, transportation, and information infrastructure to develop capabilities that support its supply chain strategy in japan. This case focuses on tanpin kanri, which uses both storelevel human knowledge and product information sharing. One of the reasons of the success of 7 eleven japan or sej comes from the consumerfocused orientation based on information systems use. The customer satisfaction research of 7 eleven stores in hong kong 47. Strategic differentiation in the japanese convenience. Original products of group companies excluding seveneleven japan. Hw 1 homework 1page 6066 1 what is seveneleven japans. Pdf making convenient to 7 eleven company in the retailing is essential to create, maintain and sustain competitive advantage.
The case has been picked up from pearsons scm book authored by peter meindl and sunil chopra. Seven eleven japan realized a phenomenal growth between 1985 and 20. The third largest retail company in the world after walmart and home depot. But the convenience store chain is making some serious moves to digitally transform into a store of the future, exploring e. When analyzing 7 eleven japans advanced and innovative management style, the authors of this book highlight the existence of the integrated information system. A key reason for its success is 7 eleven s efforts to obtain a strategic fit between its competitive strategy and its location, transportation, inventory, and information strategy in the supply chain.
This case study of 7 eleven illustrates how a brand needs to and can benefit from adapting to a local market. This case describes seveneleven japans logistics and information systems, and how they support its retail strategy. Supply chain management case study of seven eleven japan company a. The 7 eleven stores are categorized into three types. Through the use of the market concentration strategy, sej has been able to establish a distribution system and. Strategic differentiation in the japanese convenience store. The main risk for seven eleven is the potentially high cost of transportation and receiving at stores. Seveneleven ceaselessly continues to innovate to meet changing social trends and customers needs based on a unique franchise system that. In 2004 it was owned by the itoyokado group, which also managed a chain of supermarkets in japan and.
Mar 20, 2015 conclusions the information system allowed seveneleven stores to better match supply with demand collaboration with suppliers is enabled through sharing 7elevens data analysis through a program called 7exchangee data system for category management, which suppliers access through secure website, can provide insight that lead to new. Inventory, transportation, facilities, information. The three biggest cvs, seven eleven japan sej, lawson. This growth had been very carefully planned, exploiting the core strengths that seven eleven japan had developed in the areas of information systems and distribution systems. Overview of seveneleven japan seveneleven japan has been. Then it will analyze 7 eleven s marketing model in thailand. Seven eleven does not allow direct store delivery in japan with all products flowing through its distribution center. Doc information system of seven eleven saeed nahian. Its 10,000 stores dominate the convenience retail markets in most of the densely populated prefectures in japan, holding over onethird market share in that industry sector.
Lawsons strategy differs from its competitors in many ways. Background seven eleven, a famous convenience store, was established in 1973 and had its first store in tokyo in may 1974. The customer satisfaction research of 7eleven stores in. The competitive strategy of seven eleven japan is to provide highavailability of a variety of reasonable products at reasonable prices.
Seven eleven japan supply chain analysis term paper warehouse. Seven eleven japan is the countrys largest convenience store chain. Aug 14, 2010 number of stores ofseveneleven in japan 5. The production facilities and temperatureseparated, combined distribution centers serve only seveneleven japan, allowing us to distinguish ourselves from the competition in terms of product development, hygiene, and. A convenience store chain can improve responsiveness to this uncertainty using one of the following strategies, especially for fresh.
Supply chain management introduction the university of texas at. Supply chain performance drivers for seven eleven japan. In 2004 it was owned by the itoyokado group, which also managed a chain of super markets in japan and owned a majority share in southland, the company managing seven eleven in the united states. Seven eleven japan supply chain analysis term paper. Supply chain drivers 1148 words 5 pages supply chain management case study. Case study of seveneleven japan company 1597 words. This swot example for 7 eleven convenience stores is designed to help you understand and structure a swot analysis. What business model advantage differs from competitive. Sejs ability to differentiate its operations from those of competitors.
Grab a free, fresh locally made meal on the go such as chicken parm in dallas for a limited time from participating 7eleven stores. Seven eleven japans fundamental network expansion policy was based on market dominance strategy. Question 4 question 5 seven eleven does not allow direct store delivery in japan but has all products flow through its distribution center. Annual sales in billion yen of seven eleven in japan 6.
Clearly seveneleven japans infrastructure was a tremendous advantage. The goal of this case is to illustrate how a firm can be successful by structuring its supply chain to support its supply chain strategy. How 7eleven digitally transformed into the convenience. Seven eleven japan convenience store chain introduction. The total of the visits number per year for all the japanese people is almost 35 times, that means each japanese go on average 3 times a month to a seven eleven outlet.
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