Case Study of Seven-Eleven Japan Company

1597 WordsMar 27, 20137 Pages
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…show more content…
Hardware system including graphic order terminal, scanner terminal, store computer and POS register were included in each Seven-Eleven stores in 1994. The information system improved matching supply with demand. Store staff could adjust the merchandising mix on the shelves according to consumption patterns throughout the day. The identification of slow and non-moving items also allowed a store to convert shelf space to introduce new items. 2. How would you characterize the competitive strategy of Seven-Eleven Japan? Do you agree that Seven-Eleven Japan has achieved very good strategic fit between its competitive and supply chain strategies? Why? I would characterize the competitive strategy of Seven-Eleven Japan as to provide convenience, high availability of a variety of reasonable quality products at reasonable price level. I agree that Seven-Eleven Japan has achieved very good strategic fit between its competitive and supply chain strategies. First, to understand the customer and supply chain uncertainty, when customers go to Seven-Eleven to purchase products, they are usually in a hurry and for convenience purpose of a nearby store rather than looking for the lowest price necessarily. Second, to understand the supply chain capabilities, Seven-Eleven Japan replenishes its stores with breakfast items in the morning, lunch items in the

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