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7-Eleven in Taiwan

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Nayantara Sama

on 18 November 2013

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Transcript of 7-Eleven in Taiwan

"Meeting the needs of convenience-oriented customers by providing a broad selection of fresh, high-quality products and services at everyday fair prices, speedy transactions and a clean, friendly shopping environment."
7-Eleven in Taiwan
Founded in 1927 in Texas
Sold ice blocks initially
Called Tote'm stores; Name changed to 7-Eleven in 1946
Convenience Store Concept
Initially, concept was only meant for use in USA
Difficult to replicate the structure outside USA
Shaped around how Americans shopped
Meant for supplementary shopping - to pick up daily items that had run out
International Expansion:
Keep local community in mind
Address local needs
Stock local products
USA v. Taiwan
7-Eleven in Taiwan
Phase III
i-Bon: E-commerce kiosk that enables payment of bills, fees, parking tickets, travel reservations, and more
Delivery and pick-up services
7-Moblie: phone cards/monthly phone plans
Targeted seniors by creating small seating areas
Taxi calling services
Business Format
Chains separated by long distances
Located in street corners (where people congregated)
Located mostly in rural areas
Floor plans are consistent across chains
World's largest operator and franchiser of convenience stores
Annual sales of more than $62 billion
36,400 franchises outside USA
Japan has the largest number of stores
7-Eleven in Taiwan
Phase I
Priority was to establish good relations with American partner
Located in residential areas; targeted to housewives
High costs from buying property instead of renting
Phase II
Moved stores to city/urban areas; target young professionals
Sold local goods and US products (Slurpy)
Started selling fresh food that could be consumed immediately
Retained US model by selling fast food, frozen food, drinks, magazines, and cigarettes
Also turned to IT
Provided local flavors:
(breakfast buns),
, and
(hot, microwaved meal)
Put them in direct competition with
street vendors

Competitive advantage comes from targeting more customers (seniors), offering more services (IT, cab services, delivery), coffee counters
Generally striving to reduce life's inconveniences
"Whatever bothers customers is our business opportunity."
Service Differentiation
Full transcript