7-ELEVEN’s Japanese Parent Posts Record Profits… Again
7-Eleven franchisees may be struggling in the U.S., but there were smiles in the boardroom in Tokyo as Japan’s Seven and I Holdings Co Ltd, owner of the 7-Eleven convenience store chain, posted a 9.5 percent rise in first-quarter profit.
According to Reuters, “Seven and I has been generating annual record profits for two years, but the first-quarter result marked its first record high for that specific period since 2007.”
7-Eleven’s Japanese parent has been profiting from its aggressive store expansion strategy, even as 7-Eleven franchisees complain that new stores being opened too close to existing franchises is cannibalizing their sales and threatening their survival.
“…buoyed by an expansion of its store network,” Reuters reported, 7-Eleven’s Tokyo-based parent “left its full-year operating profit forecast for the year to February unchanged at a record 340 billion yen ($3.41 billion), in line with forecasts.”
“Seven and I’s shares… have surged nearly 60 percent since mid-November…”
Well, even though U.S. 7-Eleven franchise stores are being seized both by federal authorities and by questionable terminations by the franchisor, at least the Japanese investors are happy!
Also read:
7-ELEVEN Franchisee Tariq Khan: Villain or Victim?
7-ELEVEN: Is 7-Eleven a Good Franchise to Own?
7-ELEVEN Franchise Owners Complain, Allege Churning
7-ELEVEN Franchises Raided by DOJ, Homeland Security
7-ELEVEN Downplays Japanese Ownership
7-ELEVEN Franchise Lawsuits 2013
WHAT DO YOU THINK? ARE YOU FAMILIAR WITH THE 7-ELEVEN FRANCHISE PROGRAM AND ITS TOKYO-BASED PARENT? SHARE A COMMENT BELOW.
TAGS: 7-Eleven, 7-Eleven franchise, 7-Eleven lawsuit, 7-Eleven lawsuits, 7-11 franchise, 7-11 lawsuits, 7-11 complaints, Seven and I holdings, Seven Eleven Inc., convenience store franchise, 7-Eleven litigation,
3.41 Billion Dollars in profits and stores in the United States that have needed new floors and equipment for more than ten years! Ito and Joe DiPinto should be ashamed of themselves. For all the pride the Japanese people are purported to have, the condition of many stores here in the U.S.A. is disgusting!
Perhaps Ito and his executive board should let me take them on their “tour” when they come to America instead of going to stores than have had 12 FC’s working on it for the weeks prior to their visit. Are the Japanese Board Members really that stupid as to believe that “all is good as it is presented”?
I wouldn’t have a board member or a CEO who thought I was that dumb, not to see past the “prepped” visual presentation.
Ena Williams, (Southwest Division or Zone Executive VP/Manager) I’m sure at the behest of either Darren Rebelez or Joe DiPinto directly, has spent untold resources “faking” what her stores look like (a typical store???).
I have personally seen where the FC’s were not visiting their stores for weeks at a time so they make certain chosen stores look good for the “tour”. The Field Consultant is supposed to visit his/her stores once or twice a week to “assist” the Franchisee, unless they are taken away for this “bullshit” dog and pony show. Ena Williams, you are a joke!
Perhaps someone would give my name to Ito and his “gang” so I could show them what is really going on at 7-Eleven in America. Or perhaps, just maybe, he and his “gang” really don’t care what the real picture looks like. After all. once you reach their level of wealth in Japan, almost everyone is insignificant to to and beneath your status. In spite of that, Ito, if you are listening, I will gladly show you what the real stores look like and how the franchisees are suffering under the guidance of Joe, Darren and Ena. I will also gladly show you how your profits can increase (prior to your IPO) and how to improve Franchisee moral while doing so. If you really don’t give a damn, as I suppose, then perhaps the pending filing of a class action demonstrating the many ways your management team is violating IRS code, State and Federal Laws, as well as the Franchise Agreement will get your attention. How do YOU spell “DAMAGE CONTROL”??? Joe and Company spell it, “Hang The Franchisee”!!!
Does any other Franchisee feel as I do??? Let us know!!!
That whole “dog and pony” show is based on the belief that the “audience” cannot smell fresh paint and glue. If the board members had brains they should check the stores maintenance expense lines after the visit. In Chicago in 2010 the gutted and remodeled stores in 36-48 hrs…shameful. Great for those zee’s who had neglected stores……maybe everyone should “invite” Ito and his posse to their stores.