7 Eleven - Essay

4359 WordsAug 3, 201218 Pages
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 of different ways that a convenience store supply chain can be responsive? What are some risks in each case? Based on the practices of Seven-Eleven Japan, the authors have compiled a few techniques which they believe can reasonably increase the responsiveness of the supply chain, as well as their corresponding risks: * Rapid replenishment of goods This is a fairly basic approach to responsiveness, but one which must not be underemphasized. The rapid replenishment of goods in the supply chain is key to achieving a flexible selection of products for the customers, since the store is not…show more content…
Such a strategy will entail a great burden on the local stores labor in terms of “switching” products in mid-operations of the day. Not only will this cause some interruption to their daily activities, but such kind of practice may lead to inconsistency and error if employees are not trained properly to the system yet. Aside from this, such a requirement will also demand a very strict and precise delivery system, since these food products shift every few hours. A late delivery by only a few hours will already mean some missed demand and loss of goodwill from customers. * Consider local area demographics for selection of merchandising mix Local stores should always match their merchandising mix to what the area they are serving is demanding for the most: if the area is highly populated with students, then snacks and cheap meals must always be made available, while if the area caters more to working professionals, then perhaps more healthy and delicious options must be made available. Finding the demographics of the target market is key to understanding how the convenience store will be able responsive to their needs. Implementing such a strategy will entail a lot of prior and continuous research on the store manager’s part since the demographics of an area are expected to change with time. If this is not monitored properly, then there may come a point in time where the merchandising mix of

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