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It is ideal for university assignments or as a template for a business exercise. It was founded in and now has over 50, outlets worldwide. The parent company is now ranked as the fifth largest retailer in the world. Seven and I Parknshop swot analysis are headquartered in Japan.
The trading name of 7-Eleven was established in to reflect the then trading hours of 7am to 11pm. Link to their website: Obviously, being a convenience store, their primary benefit to consumers is that commonly purchased products are located at nearby stores.
Therefore, greater market coverage through a greater number of outlets will provide increase convenience to more consumers. Overall brand equity 7-Eleven is generally perceived as the market leader by consumers in the convenience store sector. This brand equity translates into customer loyalty and reduced price sensitivity and, therefore, continued stability of revenue streams across its outlets.
Individually branded products In addition to having a strong overall brand, 7-Eleven also has several branded product offerings. The most famous of this are probably the Slurpee and the Big Gulp.
In some countries they also have other branded offerings such as Movie Quik in the United States.
Franchised model Many of the 7-Eleven stores throughout the world are franchised. This provides to strengths for the organization — the first being that they can continue to grow the number of outlets throughout the world without having significant capital requirements, as the franchisee is typically responsible for the setup costs of the outlet — and the second advantage being that the stores are run by motivated individuals who have a profit incentive for the store to perform well.
Diversity of income Because the overall chain of 7-Eleven operates in multiple countries, the parent company has essentially diversified its income streams across multiple markets. While this can also be a weakness, it also provides a strength of stability of income as a downturn in one particular country is unlikely to impact their overall financial results to a significant extent.
Weaknesses High rental costs Due to the need to locate the 7-Eleven outlets in very convenient locations, they are likely to incur higher rental costs as a result.
This higher operating cost structure will mean that they will need to adopt a price premium approach. There are some consumers who are happy to pay a little bit more for convenience and speed of purchase, however other budget-conscious consumers a more price sensitive.
As a consequence of these higher costs, 7-Eleven will be required to have higher price offerings in order to protect their margins. Franchisees Although the overall franchised model is a strength as indicated above, running a large team of franchisees throughout the world is also a weakness.
This is because it removes some element of direct control of the day-to-day operation of each outlet and passes it to the franchisee. In addition, a management team is required to recruit, train and monitor the various franchisees, which also adds to the overall cost structure on an operational basis.
Opportunities Continued market development As with many chains of small retailers, one of the obvious ways to grow their business is through market development. This means increasing the number of stores they have in existing markets and cities and increasing the number of countries that they operate in.
While there is potential to cannibalize sales of existing outlets, much of this concern is passed to the franchisee and does not necessarily affect the parent company. Increased product offering In many of the 7-Eleven stores, there would be physical capacity to increase the product range and offering.
This provides the opportunity of being able to offer a greater selection of both physical products, as well as services, such as ATMs, cellphone cards, and perhaps even car insurance. Certainly in some countries, 7-Eleven has expanded into offerings of wine, beer, fuel, ATMs, coffee, donuts, pizza, sandwiches and so on.
Exclusive product offerings 7-Eleven has managed to form some strong relationships with key manufacturers that have strong brands. An example here is Gatorade, where certain flavors are only offered through 7-Eleven stores.This SWOT example for 7-Eleven convenience stores is designed to help you understand and structure a SWOT analysis.
It is ideal for university assignments or as a template for a business exercise. Company Overview. 7-Eleven has its head office in Dallas, Texas, USA. It was founded in and now has over 50, outlets worldwide. Beginning by performing a SWOT analysis, business owners can learn more about the firm’s external factors by doing PEST, STEEP and STEEPLE analysis.
Parknshop Swot Analysis SWOT analysis From Wikipedia, the free encyclopedia Jump to: navigation, search A SWOT Analysis is a strategic planning tool used to evaluate the Strengths, Weaknesses, Opportunities, and Threats involved in a project or in a business venture or in any other situation of an organization or individual requiring a decision in pursuit of an objective.
STEP 4: SWOT Analysis of the Swot Of Parknshop HBR Case Solution: SWOT analysis helps the business to identify its strengths and weaknesses, as well as understanding of opportunity that can be availed and the threat that the company is facing. The Retailer Analysis on Park'n Shop consists of Four sections.
1. The Analysis of Parkn Shop. This section consists of 23 Parts, about pages, plus over research issues covered in the Excel spreadsheets and online links.
The Competitive Environment for Parkn Shop, which consists of about pages plus the Excel spreadsheets & online . Oct 09, · Conducting a SWOT analysis of your business will enable you to make a solid strategic plan for your business's growth.
Here's how to get started/5().