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Company Analysis of 7-11 Japan - Case Study Example

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"Company Analysis of 7-11 Japan" paper analyzes the Japanese convenience store giant, 7-11, and their supply chain management by case studying it. 7-11 was established by the Ito-Yokado group, which was founded by Masatoshi Ito and the first 7-11 store was set up in Koto-Ku, Tokyo, in 1974. …
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Company Analysis of 7-11 Japan
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Download file to see previous pages Although many factors go into product manufacturing, services to the end customers will always remain a primary motive. And today’s customer demands, products, and services that are at the right time with perfect quality, and it is here the supply chain management comes into the picture. Actually, in 1972 itself, Ito approached the American concern, Southland Corporation about the possibility of opening Seven-Eleven convenience stores in Japan. After rejecting his initial request, Southland agreed in 1973 to a licensing agreement. In exchange for 0.6 percent of total sales, Southland gave Ito exclusive rights throughout Japan, and in1974, the first Seven-Eleven convenience store was opened. And in the course of time, the situation changed upside down, with the Ito-Yokado group acquiring a 70% stake in the Southland itself.

1. A convenience store chain attempts to be responsive and provide customers what they need when they need, where they need. What are some different ways that a convenience store supply chain can be responsive? What are some risks?

Various factors decide the customer’s purchase of products from a convenience store. And as, the customer only decides, the products to buy, the time to buy and store to buy, it is the duty of the convenience stores to be in a prepared state, to welcome the customer, when the customer makes that decision. That is, every customer will have different product needs and it is based on the lifestyle of the customer. And with each customer having different lifestyles, the list of products needed by the customer will be a never-ending one. And the convenience stores should respond to this situation by studying the customer preference and buying patterns and make available all that products through a well-maintained supply chain. But the inherent risk with this response is, the customer preference may change due to some factors, and making available all the products could result in overcrowding of the racks. ...Download file to see next pagesRead More
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