7-eleven Franchise case study analysis
Background
7-Eleven is the number one convenience store in the world. The product brand of the 7-Eleven Franchise has been the greatest influence in the culture of the American people. Astonishingly, the foundation of the Franchise took place back in the year 1927 and has evolved over the years to become a global enterprise. Since then, 7-Eleven has been able to franchise its services and activities in over seventeen countries across the globe with over sixty thousand stores being operational (7-Eleven.com N.p). Remarkably, nearly 10,700 Franchise business stores are located in North America. Accordingly, the enterprise operates seven days a week around the clock in the main franchise stores.
In the early years, the corporation started as an ice cream company in the year 1927 in Texas, Dallas where it first coined the concept of a convenience store. Further, it had many other small retail outlets that commenced by selling milk, bread, and eggs as one of the ways of being convenient to their guests. The coining of the name 7-Eleven owes its origin in the year 1946 during which time, the operations of the corporation commenced at 7:00 A.M in the morning and culminated at 11:00 P.M.at night. Initially, the 7-Eleven Franchise Store run under the name of Southland Corporation but changed the name to 7-Eleven in the year 1999 on April, 28, after the approval by the shareholders to change the name. Remarkably, in the year 2005, the 7-Eleven Inc was privatized and became a wholly privatized corporation under the Japan Co., Ltd in Tokyo including its affiliate companies.
Goals
Based on the several challenges that the 7-Eleven Inc. has been facing during its operations, the company has set social corporate responsibility goals to maintain the intrinsic reputation it has gained from its customers throughout the world. Ultimately, the company has been collaborating with the Conservation International which is an NGO that dedicates its efforts to establishing a healthier and more prosperous as well as productive planet through scientific orientation, policies, and collaborations (Corporate Social Responsibility n.p). The other general goal for the 7-Eleven Inc. is reducing the carbon traces in the environment through focusing on energy use and re-use strategies and keeping the communities engaged regarding conserving the environment.
On the other hand, the 7-Eleven Inc. has three main specific goals which are, first, to minimize carbon emission in stores and offices by a rate of 20% by the year 2025. The second goal is to focus energy on the packaging of the footprint by 20% by 2025. Thirdly, the 7-Eleven Inc. purposes to increase the corporate donations to 1% out of the net earnings in a year from 2017 (Corporate Social Responsibility n.p). The most remarkable thing about these specific goals is that they are both testable and measurable. Notably, the 7-Eleven has been capable of reducing utilization of the electric energy in the operations of the store by around 21% in a duration lasting seven years through programs such as LED lighting and energy management systems. Also, to accomplish the goal for regulating energy use, the 7-Eleven Inc. has joined hands with the CI’s Business and Sustainability Council that enhances effective actions regarding the environment (7-Eleven Sets Corporate Social Responsibility Goals n.p). Additionally, the goal of reducing packaging of waste has been at the heart of the 7-Eleven Inc’s program through the creating an eco-friendly packaging all of which are intended to safeguard the environment.
Objectives
As the world’s largest and convenient store, 7-Eleven has various objectives that it works on to ensure that it provides the best service to its clients than any other store around the continent. As such, one of the objectives is to ensure that can address the everyday needs and preferences of their internal and external customers (7-Eleven Profile n.p). To achieve this objective, 7-Eleven Inc. has strategized on an effective size of each store which usually fluctuates from 2,400 to 3,000 square feet. Also, the same objective is achieved through strategic location of the stores at the corners so that almost everyone can easily locate and access them. Further, the 7-Eleven Inc aims at promoting the satisfaction levels of its customers through the establishment of equipment that maintains the natural form of the products as it is possible. Besides, the company aims at ensuring that transactions are made faster and at fair prices in a friendly environment (7-Eleven Profile n.p).
Moreover, the company has also targeted at adopting legal measures that will protect the image and reputation of its name across the globe (7-Eleven Faces More Franchisee Issues n.p). To accomplish this objective, the company will follow procedures duly in a court of law to terminate any unhealthy relationship with any of their franchisees. Ultimately, this objective follows a particular pattern that has seen the 7-Eleven Inc. being sued in the court of law with allegations that the company has stripped them of their stores based on false pretenses. A good example of such pulling factor for the establishment of legal documents by the 7-Eleven Inc. is the Dilip and Saroj Patel who filed legal documents against the company for pressurizing them to give up their stores without compensation (7-Eleven Faces More Franchisee Issues n.p). However, the defendant, that is, 7-Eleven Inc. laid claims that the franchisees were embezzling funds from the company thereby making it not to fully enjoy the rewards emanating from the sales of the products.
Works cited
“7-Eleven Faces More Franchisee Issues”. Convenience Store News, 2017, retrieved from http://www.csnews.com/industry-news-and-trends/corporate-store-operations/7-eleven-faces-more-franchisee-issues.
“7-Eleven Profile – 7-Eleven Corporate”. Corp.7-Eleven.Com, 2017, retrieved from http://corp.7-eleven.com/corp-BAK/7-eleven-profile.
“7-Eleven Sets Corporate Social Responsibility Goals”. Convenience Store News, 2017, retrieved from http://www.csnews.com/industry-news-and-trends/corporate-responsibility/7-eleven-sets-corporate-social-responsibility-goals.
“Corporate Social Responsibility – 7-Eleven Corporate”. Corp.7-Eleven.Com, 2017, retrieved from http://corp.7-eleven.com/corp-BAK/corp-social-responsibility.
