Case Study of Seven-Eleven Japan Company

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Supply Chain Management
Case study of Seven-Eleven Japan Company

A. Background
Seven-Eleven, a famous convenience store, was established in 1973 and had its first store in Tokyo in May 1974. It was found by Masatoshi Ito while he thought that superstores were the wave of the future after a trip to the United States.

The company was first listed on the Tokyo Stock Exchange in October 1979. During 1985-2009, the numbers of store and its annual sales experienced tremendous growth that the number of stores increased to 12753 and annual sales increased to 2785 billion yen. At the moment, Seven-Eleven Japan was the world’s largest chain in term of retail outlets.

The idea of convenience store was very popular immediately through the …show more content…

This practice makes the Seven-Eleven supply chain very responsive.

Third, to achieve the strategic fit, the combination of roles is efficient and flexible at each stage. For example, the suppliers only start the production after they received the orders from each store and the transportation of distribution trucks is for the exclusive use of Seven-Eleven Japan only.

For the new product development, Seven-Eleven has added new products and services consistently. Services such as bill payment services, selling ski-lift pass vouchers and ATM attracted customers in and exploited the excellent information infrastructure and the fact that customers visit Seven-Eleven frequently. For marketing and sales, Seven-Eleven has emphasized convenience with easy access to stores and availability of a wide range of products and services. For operations and distribution, Seven-Eleven focused on having a high density of stores, being very responsive, and providing an excellent information infrastructure.

3. What are the pros and cons of adopting the similar supply chain structure of Seven-Eleven Japan in the United States?

Seven-Eleven U.S. has begun introduce the Combined Distribution Center daily delivery of fresh-prepared foods around 2000. By partnering with multiple food companies, the convenience store will be able to offer fresh products and delivered once a day.

For the pros side,

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