7-Eleven Case Study

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Republic of the Philippines

AURORA STATE COLLEGE OF TECHNOLOGY


Brgy. Zabali, 3200 Baler, Aurora, Philippines

SCHOOL OF ARTS AND SCIENCES

OPERATION MANAGEMENT IN HOSPITALITY INDUSTRY

A Case Study on

BARRAMEDA, PAULA ANN B.


DACUMUS, VIVIEN D.
DE LEON, MARIZ N.
LAÑA, JOHN LESTER S.
MARQUEZ, JOHN DENVER B.
NIDOY, ARVIN B.
(BSHM-3D)

JOHN ALDWIN OLIVAR (INSTRUCTOR)

DECEMBER 01, 2016 (DATE ACCOMPLISHED)

I. INTRODUCTION
 Historical Background of the Company

Philippine Seven Corporation (PSC) was established in 1982 and acquired the
license to operate 7-Eleven stores in the Philippines from Southland Corporation.
The company grew slowly in its early years, but later transferred the license to its
affiliate, Phil-Seven Properties Corporation (PSPC), in 1988. PSPC leased
commercial properties and constructed retail store buildings, leasing them to PSC
on a long-term basis. In 1996, the SEC approved the merger, and PSPC was
absorbed by PSC as the surviving entity. PSC listed its shares in the Philippine
Stock Exchange and established Convenience Distribution Inc. (CDI) to provide
logistics planning and services. In 2000, foreign entities, including Malaysian
investment company PCSL, purchased 50.4% of PSC's outstanding capital stock,
strengthening its organizational structure and operating systems. A new affiliate,
Store Sites Holding, Inc., was established to own land properties. PSC's area
license to operate 7-Eleven stores in the Philippines was renewed in 2007 for
another 20-year term.

PSC offers various benefits to its employees, including retirement benefits, health
insurance, and recognition programs. The company also provides training and
development programs for employees, including a Leadership Academy and
Mentor's Leadership Training Program for Senior Management and Officers. In-
house trainings cover leadership skills, products, negotiation, change
management, retailer initiatives, and operating procedures. PSC faces risks in the
retail industry, including competition, brand reputation, and business operations.
The Audit & Risk Committee ensures internal control activities and financial
management functions. PSC monitors competitors in the CVS industry, with an
estimated market share of 28.5% in store count and 2.4% in sales value.

 Vision
“Our vision is to be the best retailer of convenience for emerging markets.”
The company aims to be the best retailer in the industry. Based on its data, the
company has already fulfilled the best retailer in its said vision. The company also
provide various trainings and development programs for employees. Right wages
and benefits including health insurance are given to its employees.

 Mission

“To make daily easier by providing modern convenience.”


This statement is a testament that they fulfilled their mission statement. The
company allows the consumers to buy quality at a convenient approach.
Therefore, the firm follows their mission but it’s not clear if they satisfy the
consumers.

 Philosophy
The company aims to be the first choice convenience for the customers by
providing quality and fast service from all of their stores. 7-Eleven has always
been obsessed with customer serving and that what make the company a trusted
retailer.

 Goals and Objectives

- To be the top option for clients seeking convenience at any time or location
- The company wants to be customer-focused and attending to the concerns of
others.
- Delivering what people want, when, when, and how they want it is something
they can always count on.
- Collaborating with local and national groups to deliver aid where it is most
needed

 Organizational Chart
Figure 1. 7-Eleven organizational structure

II. NATURE OF THE BUSINESS


Food and Drinks

The company offer numerous products such as coffee, slurpees, hot foods, alcohol and non-
alcoholic drinks with different brand name and assures the quality of each products that the
consumers seek to procure.

Loyalty Program

Customers are rewarded for each peso purchased through 7-Eleven's 7Rewards program.
Eco-friendly Packaging

When feasible, 7-Eleven uses eco-friendly products, cuts back on content, and uses less
plastic.

Service Kiosk and App

7-Eleven provides other services including bill payment, load purchasing, e-money addition,
and CLiQQ use.

III. SIGNIFICANCE OF THE STUDY


The study aims to provide more information that is needed regarding with the chosen
business. It is a descriptive type that aims to present reliable information about the business.

IV. PRESENTATION OF DATA


 Core Competencies

 Competitive Advantages

 Target Market
 Operations

- Research and Development

 Strategies
 SWOT Analysis

V. CONCLUSION

( on your own ideas. Occupying 1 page.)

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