SEVEN ELEVEN INC.

Furkan Çakır

Göksu Akoğlu

Mert Esenli

Content

Basic Facts History Around the World Mission & Vision Fun Facts Products & Services Position in the Market Strategies & Tactics SWOT Analysis

Basic Facts

7-Eleven, Inc., is the world's largest operator, franchisor

and licensor of convenience stores.

Founder : Joe C. Thompson

Current CEO: Joseph DePinto

more than 43,500 stores

more than 45,000 employees

Revenue: 17,000 billion US dollar

Net income: 2,000 billion US dollar

History

1927: Founded in Dallas, Texas, when an employee of Southland Ice Company, Joe C. Thompson, started selling milk, eggs and bread from an ice house.

1946: All stores were open from 7 am to 11 pm, hence the company began to use the 7-Eleven name.

1952: 100th store opening 1960: 500th store opening 1963:1,000th store opening 1974: First 7-11 convenience store opened in Tokyo.

History In 1980: The company ran into financial difficulties, selling

off its ice division, and was rescued from bankruptcy by Ito-Yokado Southland Corporation entered into bankruptcy protection.

In 1991, IYG, The Japanese company gained a controlling share of 7-Eleven,acquired 70% of Southland’s common stock.

2005: Ito-Yokado formed Seven & I Holdings Co. and 7-Eleven became its subsidiary.

2011: Celebrated the opening of 40.000th store at its hometown, Dallas.

MissionAt 7-Eleven, we are on a mission to make life a little easier for our guests.VisionOur Vision Is to Be the Best Retailer of Convenience.

Mission and Vision

Around the World

* http://corp.7-eleven.com/AboutUs/InternationalLicensing/tabid/115/Default.aspx

Fun Facts Enough fountain drinks are sold at 7-Eleven stores in a

year to fill Walt Disney World’s Typhoon Lagoon twice.

Approximately 25 percent of the U.S. population lives

within one mile of a 7-Eleven store.

7-Eleven stores sell almost 38 million gallons of fountain

drinks a year – enough to fill approximately 51 Olympic-

size swimming pools.

closed, 7-Eleven is hopping.  Christmas is one of the

biggest sales days of the year for the convenience chain.

7-Eleven adds another store to its worldwide operations

every 3-½ hours.

Fun Facts

7-Eleven has the largest ATM network of

any retailer in United States.

Ho Ho Ho!  The day most retailers are

Products and Services

Services Payment of Bills Payment for internet shopping Oil and gas services Automobile parts and services ATMs at almost all the stores Meal Delivery service for aging

population of Japan Ticket Sales, Photocopying Pick up location for parcel delivery. Video rental service

Products Food Items

FreshHotOff the Shell

BeveragesColdFrom the fridgeHot

Magazines Soaps, Detergents etc. Game, Software

Products and Services

Chilled temp items

Sandwiches, sweets, milk

Warm temp items

Box lunch, rice balls, fresh bread

Frozen items

Ice cream, Ice cube etc.

Room temp items

Canned food, Instant noodles etc

Products and Services

Products and Services• Fresh food

Sandwich Salad Fruits

Of the Shelf

Candy Chips Snacks Frozen

Products and Services Beverages

• Big gulp is a soft drink that is produced by Coca-Cola

• Slurpee is known to be contemporary, cool and fun. The colorful chilled beverage is strongly associated with lightly carbonated fruit flavors.

Play

Electronics Gaming Movie Rent

Products and Services Services

• Photocopy

• Fax

• Mobile reloads

• Internet Games reloads

• ATM; AmBank ATMs are at selected 7-Eleven stores nationwide.

Equipped with MEPS more banking facilities to come.

Prepaid DebitCards Play,Gift,Music Cards

Position in the Market 7-Eleven, primarily operating as a franchise, is the

world's largest operator, franchisor and licensor of convenience stores, with more than 40,000 outlets, surpassing the previous record-holder McDonald's Corporation in 2007 by approximately 1,000 retail stores

In 2008, 7-Eleven was named as the No.1 overall franchise by Entrepreneur, beating out Subway, which had held the number one spot for 15 years. In addition, they were also ranked No.2 in Low Cost Franchises

In a four-week period, customers visit a 7-Eleven store

an average of 17 times, 80 percent of their total trips to

any convenience store.

Position in the Market

7‐Eleven factors are

considered as

contributing factors for

customer satisfaction

The performance of 7‐

eleven can continue to

sustain the

achievements

The IP Analysis

Position in the Market

• 7-Eleven learn from the highly successful Japanese unit, whose

keiretsu model of tight partnerships with suppliers was unique

within.

• By relying on an extensive and carefully managed web of suppliers to carry out many day-to-day functions, the Japanese stores were able to

Reduce their costs and

Enhance the quality of their operations

Refuse rapid growth

Strong profits.

• Evaluated strategic functions such as product distribution,

advertising, & procurement, identify outside partners with greater

expertise & scale

Strategies & Tactics

Market is getting very competitive, pressure on both revenue & margin 7-Eleven needed to cut its operating costs substantially, expand the range of its products and services, increase the freshness of food items. 7-Eleven had always been vertically integrated, controlling most of the activities in its value chain

launched a business review aimed at tightening operations, rebuilding competitive advantage, and perhaps divesting a few noncore businesses.

The core of the business, was merchandising skill—the pricing, positioning, and promotion of gasoline, ready-to-eat food, and sundries for consumers driving cars.

Company operated its own distribution network, delivered its own gasoline, made its own candy and ice. It even owned the cows that produced the milk it sold.

Managers were required to do lots of things other than merchandising—store maintenance, credit card processing, payroll, and IT systems management.

They realize that the company could be best-in-class in every one of those functions.

Strategies & Tactics

Strategically vital set of capabilities—in-store merchandising, pricing, ordering, and Customer

data analysis

Reduced its capital assets & overhead while streamlining its organization.

Reduced head count 28% from 43,000 in 1991 to 31,000 in 2003 and flattened its

organizational structure, cutting managerial levels in half from 12 to six.

Strategies & Tactics

STRENGHTS

• Geographic presence

• Strong brands

• Franchise system

• Convenience

WEAKNESSES:

•  High margins

• Limited assortment offering

• Not perceived as a place to buy a complete

meal

• Not a first choice destination for shoppers

OPPORTUNITIES:

• Fresh food offering

• İncrease share of meals (i.e.;

breakfast,lunch,dinner)

• Private label development

• Growing demand for organic products

THREATS:

• İntense competition

• Low consumer confidence

• Regulatory issues

• C-store competition and other small-box

retailers

• Higher shrinkage on fresh food could potentially

impact margins

SWOT Analysis