7 Eleven PEST Analysis

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7 Eleven PEST Analysis

1.1 CompanyBackground(7-Eleven)

7-Eleven, founded in 1927 in Dallas, Texas, is the world’s largest operator and licenser of convenience stores with more than 21,000 units worldwide and nation’s largest independent gasoline retailers. The name 7-Eleven was originated in 1946 when the stores were open from 7am to 11pm. Today, offering customers 24-hour convenience, seven days a week is the cornerstone of 7-Eleven’s business.

1.2 Customer-Orientated Factors

7-Eleven focused on 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, safe and friendly shopping environment. Each store’s selection up to 2,500 different products and services is tailored to meet the needs local customers.

7-Eleven is expanding its food offerings to bring consumers a proprietary line of daily-prepared and daily delivered item and baked goods. However, its also offers consumer a number of convenience services designed to meet the unique needs of individual neighbourhoods including fax machines and automatic teller machine.

1.3 Major Players and Competitors

The major players of retailing industry include Coles , Franklins and 7-Eleven. Obviously, Coles and Franklins are the major competitors of 7-Eleven. Coles is a full service supermarket operating 431 stores throughout Australia, its offers

customers convenient shopping that aims to fulfil all of their expectations and requirements under one roof. A major focus for Coles has been to tailor store product ranges and concepts to meet the needs of the local residents.

Franklins is Australia largest discount supermarket, it has a well-established reputation as “the discounter”. The major aim for Franklins is to ensure that the important factor of freshness and quality is established within their discount-orientated format.

1.4 Target markets within the Retail Sector

From here, we can see the differences in the target markets of 7-Eleven and the competitors. As mentioned above, 7-Eleven is focused on meeting the needs of convenience-oriented.

Coles also holds great onus on the customer satisfaction as it offers customers cheap, broad and convenient shopping. Franklins on the other hand concentrates more on price factors, appealing to custome...

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...adually granted extra freedom in regards to trading hours, milk bars began their slow decent towards extinction and 7 Elevens have started to relocate inner city where supermarkets a few and demand is high.

2.3.2 Government Legislation Regarding Tobacco Sales

The Victorian ‘Tobacco Act 1987) was the first broad tobacco legislation and aimed to reduce smoking prevalence. The Act states ‘A person must not sell a tobacco product to a person under the age of 18 years.” (Human Service Western Region Tobacco Project Report) As part of this Government intervention, penalties were introduced with the maximum penalty for breaching the provision being $1000 first offence, $2000 second offence and possible loss of tobacco license for subsequent offences. Tobacco sales make up a large percentage of convenience stores sales (Refer to 5.????) and this Government crackdown on cigarettes which has continued to be prevalent has in some respects increased cigarette sales. The state government has acknowledged and concluded “A Disproportionate number of cigarette sales to minors occurred at milkbars and service station convenience stores compared to supermarkets, newsagents, and tobacconists.)

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