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MKTG227-- 7-Eleven case

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Kelly H

on 8 March 2013

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Transcript of MKTG227-- 7-Eleven case

Why so different matter of habit U.S VS Taiwan Model Going to Market Globally Product&service in Taiwan location in U.S 7-Eleven: Adaptation of convenience stores to new marketing environment Group D
Siqiu Huang
Yuan Tian
Yue Wang
Qiutong Wu Budapest Dallas
Texas Chain of high-end stores , target consumers : housewives

No longer target to the price-sensitive housewives but the young urban professionals

reinforce the concept at the level of technology position Taiwan U.S Store design Taiwan U.S
 Products are basic to modern living
•fast food, frozen foods, drinks, instant noodles, newspapers, magazines and cigarettes • “Designed to stay on the fringes”- served as a sources for supplementary shopping

• created the concept of convenience stores

• opening 24 hours

• customer groups  white-collars : less time to go shopping

• products and services make daily lives easier • Difficult to conform to the U.S. model of stores of standard size, format and floor plan

• Average area smaller, at 700 square meters, ¼ of the store areas in U.S. standard format
areas: 2,400~ 3,000 square meters
floor plan

 Founded in 1927, Dallas, Texas selling ice blocks; then selling milk, eggs and bread
 In 1946, opening time: 7 am ~ 11pm
 In 1962, extended opening time to 24 hours in Austin ,Texas
 First international storeCanada, 1969
 Late 1970s~ early 1980s, opened in Australia, Sweden, Taiwan, Hong Kong, Singapore, Guam, Malaysia and the Philippines. (2,500 stores) Product&service in U.S the same as U.S for the conformity

retained the U.S model but more localization
• Stopped stocking less frequent purchases such as pots, saucers …but served hot dogs instead
• Taking steps to provide a local flavor in its stores, Eg: Tea egg, baozi, fantuan,biandang..

Service innovations i bon –daily service all in one pay-at-pickup service--E-shopping helper Wi-Fi access point, prepaid phone card and monthly phone plans—Telecom Coffee Counter—Fresh food/Drinks Sitting areas—Rest/Meal/Space for community Taxi services—Private label goods location in Taiwan  Separated from each other for long distances
 Areas where people concentrated e.g. street corner
 wide rural areas - population density low Mainly in the residential communities, within the city centers

not in residential communities but in city centers in high-density locations no night market night market night market Life style buy in bulk daily purchase daily Purchase fresh warm food and pickle fast food and pasta fresh and warm food Shopping Habit Eating Habit Taiwan UK South Korea Cultural Differences social & cultural differences geographically localization local food, store location, travel planning innovation Pre-ordering, Delivery and Pick up, Telecom, i-cash, Coffee Counter, Seating Areas, Taxi services South Korea Horizontal Vertical Vertical Property zoning 487/square kilometer 255.6/square kilometer 634/square kilometer Demographic: Population density Taiwan UK Geographic Differences UK South Korea Taiwan ※Business Hour ※Labor costs: LAST PREVIOUS HIGHEST LOWEST TREND Economic Differences The operation format of 7-Eleven in Taiwan can be expanded to South Korea but not the UK.

Cultural, geographical and economic differences or similarities should be taken into account when considering expanding business to other regions. Conclusion
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