Management And Business Context For Key Partners In 7-Eleven Company

Key partners in business

Discuss about the Management and Business Context for Key Partners.

Business management is a long lasting process that requires utmost cares of the management all the stakeholders of the organization. It may put forward some complication while during the business operation, which indeed requires firm support of the management to take some nullifying initiatives in response to the problem (Alvarez, 2016). The Chosen Company that is 7- Eleven is an Australian based Company, which operates in the format of convenience stores across the globe in 18 countries. The main purpose of this assessment is to assess the business management of the 7-Eleven Company. The assignment would discuss in brief the key sectors of a business operation, which indeed speak about the potentiality of a Company.

Key partners in business mean very much to a Company. This is because of the fact that companies can never afford to run a business single handed without being relying on any other Company. This is for the reasons that different companies need different materials for their manufacturing works, which indeed is not possible to grow anything on the areas of Company. Key partners for the 7-Eleven Company are several such as Zynga, Coca-Cola, T-Mobile, PayNearMe, American Express, Marvel Group, MOL Group, NEC, Asus and Cott Corporation. It developed its relations with the Zynga aiming the distribution of its products in over 6,500 stores. T-Mobile supplies the Company with the facility to provide new prepaid phones. Coca-Cola helped the Company in promoting during the world cup. It collaborated with Marvel Group for the Hulk movie. It made its partnership relationship with the Asus to avail the market of cloud printing. It joined its hands with NEC to construct an entire network system (Boshyk, 2016).

Key Activities are one of the most important parts of a business operation that tells the potentiality of a Company in relation to the existing market. The 7-Elevevn Company does not only believe in doing business; it rather believes in doing something better for the consumer and the common people. The Company at present has not less than 57,000 stores in approximately around 18 countries. The Company has a belief that the business should never mean that task has been allotted and now start doing the work. It rather believes that business should also be for the reason of humanity betterment. This is for such reasons that the organization is putting extensive cares on its social well-beings such as facilitating educational services, safety of the humanity and revitalization of the people. They also takes care of the youths and they manages different kinds of youth’s oriented programs to facilitate more youth participation in the future (Chang, 2016).

Key Activities

Value Proposition is one of the most important aspects of a business operation that also decides the future prospect of a chosen product. This is one such process that adds value to the manufacturing, which is required for receiving a healthy response from the customers. Their beliefs are to purchase the food and the CPG in a more convenient way. They have also cared for hose customers who have hardly any time to go the stores, they can also avail its products through the Omni-Channel. It delivers the products at the door. The service would enable the customers for having home delivery services in chosen area such as New York, Los Angeles and Chicago (Harper, 2015).

Customer Relationship Management is perhaps the most challenging task, which the companies can ever have. This is because of the fact that it is very tough to judge the perception of customers at the fullest of the levels. This is one thing, which makes things difficult for the organization in satisfying their customer base (van Aken, Berends & Van der Bij, 2012). The Company have a large presence in the world; however, it lacks seriously in terms of understanding the perception of customers. To nullify the problem, they have started a program in the year 2012. The program was first of its kinds for the Company. To meet with the changing requirement, the Company launched several offerings to the customers in the year 2014 such as 7-Eleven mobile, 7Rewards and expanded platform of customer loyalty, which allowed the availing of free beverage against every six cups ordered by them. They also made their app available on both the popular platforms such as Google Play and iTunes (Hiebeler, Kelly & Ketteman, 2012).

Customer Segments are decided quite before the inception of the product in the market. They do an extensive research it eh market before the inception of the product. Their main targeted customers are those who are 30 or more than that as family person are more inclined towards the convenience products. However, they have different kinds of strategies for different countries. They first evaluate the lifestyle of the targeted country then they only incept the most feasible product in the market (Kanji, 2012).

Key Resources are also very important part of a business as the requited materials and all the functionalities need certain resources from where the required material can be made avail. Key resources are one of the very important assets of an organization, there are several key resources that helps Company develop the good image in the market (Porter & Tanner, 2012). The Company first need to realize the importance of allotted tasks. This means that the allotted tasks should be checked for the priority level that which task should get the first priority. After deciding the urgent task, it is very important to have such workforce behind,, which could efficiently respond to the emergency created. This is something, which brings effectiveness in a Company. This also provides competitiveness to the Company in the market. Employee management at the workplace or the organization is a tough task; which needs to be taken care with utmost supports of the management. Human Resource Management is another very important and an integral part of an organization that contributes in the manufacturing of talented graduates. They are the one, which supplies the Company the very important asset for the fulfilment of any task. The Human resource management of an organization needs to be supported by the management with sufficient funding (McCormack & Johnson, 2016).

Value Proposition

Channels are also very important for the fulfilment of operational needs. The officials of the 7-Eleven Company are responsible for the management of orders. Every single store does report to the head centre only (Scott & Davis, 2015). The technology is at the highest position in the 7-Eleven Company as they scan the barcode of the product, which is instantly transmitted to the data warehouse. In addition to this, the centre of operation does check for the reception of scanned barcode of the product, they make it assure that each barcode is sent to the central computer system. These computers have also the responsibility to collect all the orders of the stores, which it then transfers to the respective suppliers. The Company is committed to sell both its products and the licensed brands. It is involved in buying products from both the regional and the domestic suppliers. They also have a system for an automated shipment of the product, which also conducts the recycling of the products. It also offers safe shipping experience to the several customers. Moreover, it also offers high-end safe workplace to its employees (Quattrone et al., 2013).

Cost Structure is also an important asset, which decides the margin of profit for an organization. The variation in it also brings variation in the profitability of the product. The initial observance on the cost structure of the 7-Eleven Company indicates that the initial franchise fee was $1,000,000. The expenses for the training were being accounted for around $9,000. The down payment, which the organization invested for opening its inventory, cost around $20,000. The additional amount, which the opening of the inventory cost, was around $13,200. This could be maximised for up to $48,100. $3000 to $5,000would is applied for the registration of cash funds. The supplies of the store would be around $250 to $2,000. License and permits would cost around $6,000 to $8,000. During the first three months, the additional cost would be needed around $30,000. Hence, the total cost estimation would be around $1,122,100 (7eleven.com.au, 2017).

Revenue Streams gives the earning figure of a Company, which is a very important statement for analysing the potentiality of the operation. In the year 2006, the net earning is around $278, which took a huge jump to reach to $2,470 in the year 2007. It does carry on several activities to reunite the total earnings to the total cash. It allocates a substantial amount of the cash for depreciation and equipment amortization. Some portion of the cash is dedicated to the net loss on the equipment disposal. The cash flow also happens because of reduction in the account variables. The payment for the equipment purchasing would need extra amount of investments. Nevertheless, the process would provide a greater and enhanced revenue stream (Reilly, Sirgy & Gorman, 2012).

Managing a business is a complex process that needs several expertises in most of the departments of the organization. 7-Eleven is an Australian based Company that has several convenience stores across the globe into its credit. The cost structure of the Company is profitable for the Company but it would not entail a greater return on the investment. Moreover, the given parameters to enhance the revenues would help the Company in availing a high profit in returns.

References

7eleven.com.au. 2017. About Our Convenience Stores | 7-Eleven. [online] Available at: https://www.7eleven.com.au/about-us [Accessed 15 Apr. 2017].

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