1.0 Introduction 7 Eleven or also known as 7-11‚ is part of an international chain of convenience stores. 7 Eleven is the world’s largest operator‚ franchisor‚ and licensor of convenience stores with more than 50‚000 outlets. 1.1 Objective and Scope The purpose of this report is to analyze and evaluate 7 Eleven’s marketing strategies and practices to demonstrate that 7 Eleven is “marketing-oriented”. The scope of the report includes PESTEL analysis and Porter’s 5 Forces analysis to confirm its threats
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CENTER FOR INFORMATION SYSTEMS RESEARCH Sloan School of Management Massachusetts Institute of Technology Cambridge Massachusetts 7-ELEVEN Japan Co.‚ Ltd.: Reinventing the Retail Business Model Kei Nagayama and Peter Weill January 2004 CISR WP No. 338 and MIT Sloan WP No. 4485-04 2004 Massachusetts Institute of Technology. All rights reserved. Research Article: a completed research article drawing on one or more CISR research projects that presents management frameworks‚ findings and recommendations
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4. Seven-Eleven does not allow direct store delivery in Japan but has all products flow through its distribution center to reduce the number of vehicles required for daily delivery service to each store‚ even though the delivery frequency of each item was quite high. At the distribution center‚ delivery of like products from different suppliers was directed into a single temperature controlled truck. Each truck made deliveries to multiple retail stores. None of the distribution centers carried any
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7 Eleven Inc. Case Study ------------------------------------------------- ------------------------------------------------- ------------------------------------------------- 7-Eleven experienced years of success both home and abroad. In North America they were successful as a ‘typical’ convenience store selling gasoline‚ convenience items and their flagship ‘Big Gulps’ and ‘Slurppees’. While there were many 7-Eleven stores in North America‚ the dispersion of stores was not dense like
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supply chain strategy in Japan can be described as attempting to micro-match supply and demand using rapid replenishment. What are some risks associated with this choice? One risk would be more transport visits that will increase transport costs and decrease efficiency. And there is opportunity cost risk‚ where supply and demand will not match (for example: a group visit) which results in not being able to afford wide demand fluctuation. 3) What has Seven-Eleven done in its choice of facility
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Case: 7-Eleven Japan Co. Table of Contents Question 1: 3 Question 2: 3 Question 3: 4 Question 4: 4 Question 5: 4 Question 6: 4 Question 7: 6 Question 1: A convenience store chain attempts to be responsive and provide customers what they need‚ when they need it‚ where they need it. What are some different ways that a convenience store supply chain can be responsive? What are some risks in each case? A convenience store can be more responsive by doing exactly what Seven-Eleven
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Uncertainty: because the product is new‚ demand is uncertain c) Provide high level of service quality Risk associated: high cost: staff‚ training high Implied Demand Uncertainty: customer expectation becomes high over time 2. For Seven-Eleven Japan‚ when trying to micro-match supply and demand using rapid replenishment‚ they can face the following risks: High cost of transportation: this choice require frequent delivery and a large number of trucks visiting a store per day‚ since each truck
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Seven-Eleven’s supply chain strategy in Japan can be described as attempting to micro-match supply and demand using rapid replenishment. What are some risks associated with this choice? 3. 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? 4. Seven-Eleven does not allow direct store delivery in Japan but has all products flow through its
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|Answer for question 1 |4-6 | |5 |Answer for question 2 |6-7 | |6 |Answer for question 3 |8 | |7 |Conclusion |9
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need it. This allows for centralization of cooking capacity and low levels of inventory‚ but increases the cost of replenishment and receiving. 2. The main risk for Seven-Eleven is the potentially high cost of transportation and receiving at stores. 3. 4. Seven-Eleven does not allow direct store delivery in Japan but has all products flow through its distribution center to reduce the number of vehicles required for daily delivery service to each store‚ even though the delivery frequency
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