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Essay heading: Seven eleven Japan Co.
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Business |
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| Date added: |
May 8, 2003 |
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5 / 1135 |
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WHAT ARE SOME RISKS ASSOCIATED WITH THIS CHOICE?
The main risk for Seven-Eleven is the potentially high cost of transportation and receiving at stores.
3. WHAT HAS SEVEN-ELEVEN DONE IN ITS CHOICE OF FACILITY LOCATION, INVENTORY MANAGEMENT, TRANSPORTATION, AND INFORMATION INFRASTRUCTURE TO DEVELOP CAPABILITIES THAT SUPPORT ITS SUPPLY CHAIN STRATEGY IN JAPAN?
All choices made by Seven-Eleven are structured to lower its transportation and receiving costs...
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For example, its area-dominance strategy of opening at least 50 to 60 stores in an area helps with marketing but also lowers the cost of replenishment. All manufacturing facilities are centralized to get the maximum benefit of capacity aggregation and also lower the inbound transportation cost from the manufacturer to the distribution center (DC)...
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