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7-Eleven Supply Chain Success in Japan

The 7-Dream Company concept of using convenience stores like Seven-Eleven in Japan for package delivery would likely be more successful in Japan than the US due to: - Existing distribution networks of Seven-Eleven stores in Japan - High frequency of customer visits to stores in Japan - Lower marginal cost for customers to pick up packages during visits compared to home delivery

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Shailesh Khot
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471 views3 pages

7-Eleven Supply Chain Success in Japan

The 7-Dream Company concept of using convenience stores like Seven-Eleven in Japan for package delivery would likely be more successful in Japan than the US due to: - Existing distribution networks of Seven-Eleven stores in Japan - High frequency of customer visits to stores in Japan - Lower marginal cost for customers to pick up packages during visits compared to home delivery

Uploaded by

Shailesh Khot
Copyright
© © All Rights Reserved
We take content rights seriously. If you suspect this is your content, claim it here.
Available Formats
Download as PPTX, PDF, TXT or read online on Scribd
  • Supply Chain Evaluation for Seven-Eleven in Japan
  • Comparison of Supply Chain Structures
  • Food Service Distribution Analysis in the United States

5) What do you think about 7 dream company concept for Seven-Eleven in Japan?

From a supply chain


perspective, it is likely to be more successful in Japan or United States? Why?

 Local convenience store is popular in Japan.


 Lower cost alternative to having a package carrier deliver the product at home.

Might be more successful in Japan because of-

 The existing distribution network of seven-eleven.


 Frequency of visits by the customers. The high visit frequency ensures that package are not occupying
valuable store shelf for a long time.
 Frequent visits ensures that the marginal cost to the customers of picking up at a Japanese Seven-
Eleven is small.
6) 7-Eleven is • Pros • Cons
attempting to duplicate  Increase in responsiveness  Product assortment will
the supply chain occur at store those
 Increase in variety of fresh
structure that has increase in time
foods
succeeded in Japan into  Increase in labor cost
the United states with  Reduction in stock out
the introduction of  Increase in distribution  High coordination is
CDC’s. What are the network and support to required between DSD
wholesalers and CDC
pros and cons of this stores
approach? Keep in  Reduction in lead time for  Increasing cost for CDC
mind that stores are also fresh products  Wholesalers may have
replenished by issue as their business will
wholesalers and DSD be impacted
by manufacturers.
7) The United state has • Pros • Cons
food services  Freedom regarding  Less control over
distributor that also distribution control replenishment cycle and
replenish convenience quality of items
 Cost effective
stores what are the pros  Less margins to the
and cons to having our  Distributors Is able to
aggregate deliveries across franchisee as well as to the
distributor replenish manufacturer
convenience stores many competing store
 Less degree of
versus or company like  Reduction in cost of storing,
responsiveness relatively
7-Eleven managing its maintenance and
own distribution distribution of inventory
function?

5) What do you think about 7 dream company concept for Seven-Eleven in Japan? From a supply chain perspective, it is likely
6) 7-Eleven is attempting to duplicate the supply chain structure that has succeeded in Japan into the United states wit
7) The United state has food services distributor that also replenish convenience stores what are the pros and cons to h

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