Franchising In Singapore Essay

1.Introduction
Background of the retailer
7-eleven was established in 1927 and at the beginning, 7-11 outlet only sold eggs, bread and milk. Nowadays, 7-11 sells variety of products such as snacks, soft drinks and other groceries. They had rapidly expanded their 7-11 outlets from local to other many countries like Singapore, China, Hong Kong and so on. Nowadays, 7-11 has become a world-wide convenience retailer. There are more than 53000 outlets in many territories.
The mode of entry that 7-11 applies is franchising. Since year 1964, 7-11 starts franchising their outlets to other countries. 7-11 offers some multiple types franchising to franchisees. First type will be “single store” which allows franchisees to operate one store, providing

Moreover, Singapore has a low political risk as there is no war and riots in Singapore and no corruptions in Singapore government. Hence it will be more fair to set up business for foreign investors in Singapore. The stability of Singapore politics will affect 7-11 in order to expand into Singapore market. The foreign companies which aim to enter Singapore market will be developed steadily by the government stability. Not only that, the foreign investors will not be threatened by the political disorder and tensions due to the stable political environment in

Customers must self-service to make the drinks. Nowadays, they added some thing new to SLURPEE.
7-11 always lunches the latest products Price
The price strategy that 7-11 applies in Singapore are bundle pricing and penetration pricing. For penetration pricing, 7-11 always set a low price to increase their customers. Therefore, compare to its competitors such as cheers in Singapore, the price is slightly cheaper than products in cheers. Not only that, the price of products that 7-11 sells is reasonable and affordable. 7-11 applies bundle pricing, like buy one get one free Promotion
To celebrate SG50, 7-11 comes out a promotion called “ SG50 celebration”. Customers have the chance to win a 3D2N staycation at fullerton hotel and enjoy firework view for national day celebration.
Not only that, students purchase SLURPEE at 7-11 with their student identification, they are able to enjoy 20% off of the drinks.

Place
In Singapore, 7-11 stores always are located at MRT stations, hospitals and shopping malls due to high human traffic to attract attentions from people. Also, these locations bring convenience to