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Should 7-Eleven enter in emerging markets or not?

7-Eleven is renowned as a world’s largest franchisor, operator and licensor of Retail (convenience stores) with more than 50,000 outlets in 16 countries with largest markets in Japan (15,000), the United States (8,200), Thailand (6,800), Singapore, Canada, Indonesia, the Philippines, Hong Kong, Malaysia and Taiwan. The company is originated in 1927 in Dallas Texas by Joe C. Thompson, Jr., (one of the founder and later became president and chairman of the Southland Corporation). The idea was initiated back in 1927 when “Uncle Johnny” Jefferson Green starts selling basic grocery stores convenience items like, eggs, milk and bread from the ice house in several locations opened in Dallas area especially on evenings and Sundays when other grocery stores and general merchandisers were out of reach or closed.

Uncle Johnny was in a view to provide customers what they wanted and when they needed. Later, Joe C. Thompson, Jr., start selling the product line at other ice-dock locations thus convenience retailing was born. Over the time, customers got familiar with this new idea and then company increased its owned retail ice-dock retail stores with more than 60.

The mission of 7-Eleven in other words is to provide comfort and ease to its customers by being available where they need, whenever they need. While the vision is to be the freshest food available, day in and day out.

7-Eleven offerings private label products like Slurpee beverage, Big Gulp beverage Cup and other products include: coffee, sandwiches, prepared foods, gasoline, dairy products and various beverages.

DISCUSSION QUESTION

Which product line (existing or new ones) you would suggest to 7-Eleven if it enters in Pakistan through licensing? Will it be successful or not? Provide justifications to support your answer.

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  • 7-Eleven is known in the United States as a convenience store chain where customers can grab snacks, drinks and other everyday products on the go. In most parts of the world, it is a no-frills store with little emphasis on decor. But in Indonesia,7-Eleven has been positioned as a trendy spot where young people spend time, surf the Internet and meet friends. This case study of 7-Eleven illustrates how a brand needs to and can benefit from adapting to a local market.

    It's one of the hippest places to hang out in Jakarta. And it isn't some trendy new French restaurant in a Dutch-era heritage building. Instead, thousands of people in the Indonesian capital spend their evenings sipping coffee or beer on pavement tables at their neighbourhood 7-Eleven, the international convenience store synonymous with anytime, on-the-go shopping in most parts of the world.

    Indonesia's 7-Elevens are, clearly, a long way from the original concept behind the world's largest convenience store chain. "At 7-Eleven, our purpose and mission is to make life a little easier for our guests by being where they need us, whenever they need us," says the company's website. And that's what it has been doing all over the world since the first convenience store was born after a Southland Ice Co employee in Dallas started selling milk, eggs and bread from an ice dock in 1927.

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