CASE STUDY
An in-depth description of a firm’s approach to an IT management issue (intended for MBA and executive education)
Working Paper: Research Article
Seven-Eleven Japan: Reinventing the Retail Business Model
We describe how Seven-Eleven Japan has successfully established an innovative business model that is changing the retail industry in Japan.
Abstract
This case study describes how Seven-Eleven Japan (SEJ) has successfully established an innovative business model that is changing the retail industry in Japan. The case describes the information-based strategies that have helped SEJ become a top performing retailer in Japan, selling high quality products through an industry-wide supply chain network. With its strong capability to analyze customer requirements, SEJ pursues an integrated strategy, supported by innovative use of information and IT, to control the marketing, merchandising and manufacturing of original products. The case also describes SEJ's development of an integrated retailing information strategy and associated systems. The company's policy of outsourcing most IT capabilities to partners and pursuing advanced IT initiatives has provided SEJ with substantial advantages over competitors. Strategic IT, human and information assets such as store councilors, item-by-item real-time control, industry-wide IT network, and a sophisticated analysis syst...
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This case was written by Kei Nagayama, Management of Technology Program Class of 2003 at MIT Sloan School of Management, working with Dr. Peter Weill, the Director of the Center for Information Systems Research at the MIT Sloan School of Management. This case is for the purpose of management education, rather than illustrating or endorsing any particular management practice. The authors would like to gratefully acknowledge Mr. Toshifumi Suzuki, CEO, Mr. Makoto Usui, Managing Director, and Ms. Yuka Ozaki, Mr. Usui’s assistant, at Seven-Eleven Japan, Co., Ltd., in completing and publishing this case. This case may be reproduced free of charge for educational purposes provided the copyright statement appears.
© 2004 MIT Sloan Center for Information Systems Research. All rights reserved to the authors.
About the Authors
Kei Nagayama, Management of Technology Program Class of 2003 at MIT Sloan School of Management
Peter Weill, MIT Sloan Center for Information Systems Research (CISR)
MIT CENTER FOR INFORMATION SYSTEMS RESEARCH (CISR)
Founded in 1974 and grounded in MIT's tradition of combining academic knowledge and practical purpose, MIT CISR helps executives meet the challenge of leading increasingly digital and data-driven organizations. We work directly with digital leaders, executives, and boards to develop our insights. Our consortium forms a global community that comprises more than seventy-five organizations.
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Commonwealth Superannuation Corp. (Australia)
Cuscal Limited (Australia)
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Doosan Corporation (Korea)
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Fomento Economico Mexicano, S.A.B., de C.V.
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Mercer
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