Retail Information System Essay

1. What ar the benefits of 7-Elevens retail Information System?1) enlarge sales opportunities and gain profiti) Retail Information System can amass information intimately customer demand, pricing, and interest in new products, such as provender Pepsi, Zero Coke, Slurpee. Analysis of the data shows which items ar selling well in which stores, which items customers are approximately interested in, seasonal demand for items and which items are most lucrative to sell in the first place. Then, 7-Eleven can depend on the above data to order the use up quantities of products & get the maximum of profit.ii) Insights gleaned from the data overly help 7-Eleven develop new products such as its fresh-food offerings that appeal new customers and increase transaction size. For examples, now some 7-Eleven have the firm food counter to sell the fast food like seek ball, dumplings. It is very popular and meets the inescapably of the market.2) Reduce excess caudex by the Retail Inform ation System, management uses this information to identify sales trend, rectify product assortment, eliminate slow-moving products from inventory, and increase same-store sales by stocking products that are high in demand. It can avoid the excess inventory and bear the inventory cost includes the expensive rental expenses.3) Easy to control the inventoryRetail Information System provides store managers with information on daily, weekly, and monthly sales of distributively item to help them determine which items to order the exact quantities they need for their stores. Managers use this information plus their on-the-spot knowledge of the resemblance to make final order decision. Further, 7-Elevens orders for fresh food items are aggregated at 7-Eleven headquarters and transmitted to fresh food providers and bakeries for supplying and delivery the next day. It write outs the product spoilage and save the unnecessary costs.4) Increase the competitiveness of the market7-Eleven use s the information that they can get the respond to the needs of the customers. By tracking and analyzing its data, it knows its customers as intimately as it did when store owners talked to each customer face-to-face. Understand the customers need thus increase the sales and so increase the competitiveness of the market.2. Which of the strategies does the Retail Information System support?Retail Information System supports the strategies of Strengthening customer and supplier interest. 7-Eleven through the strategy to analyze the data shows which items are selling well in which stores, which items customers are most interested in, seasonal demand for items and which items are most profitable to sell in the first place. These information can give it to suppliers then they can determine to import which products from the wholesale, which season import which items, which items would import more(prenominal) than than to get most profitable. Further, these data can also give it to supplier to develop new products such as its fresh-food offerings that attract new customers. Moreover, the strategy consolidates these orders and transmits them to suppliers for preparation and delivery the next day of food & drink. It can reduce the transportation costs.Through making transactions in general easier and more user friendly for both customers and suppliers, the intimacy of the firm and customer/supplier will increase. This offers great incentive for both customer and supplier to conserve doing business with 7-Eleven. Use information systems to develop strong ties and faithfulness with customers and suppliers. It also discovers unsuspected problems, detect unrealized potential, and create a dynamic synergism with customers. They often merge their operations with those of their customers. In the integration of their operations, suppliers become more than merely useful. To tighten long-term relationship and create brand loyalty with customers and suppliers, includi ng increasing switching costs. In conclusion, Strengthening customer and supplier intimacy lead to win-win situation.