Hong Kong’s 759 Store

Executive Summary

Main problems/ issues

Starting off in 2010 as a retailer of Japanese snack foods, Hong Kong’s 759 Store chain now sells a wide range of grocery 179 store has 150+ branches and other items ranging from cart noodles to personal care products. At the beginning the business went really well, but in the recent years started going downhill, what went wrong of 759 store?

The products of 759 store is selling now is not that attracting the customers as it used to be and the rising competitors such as BestMart 360° and PrizeMart their business continuously increasing while 759 store is going downhill, 759 store open too many shops in the recent years, the expense of the rent is unaffordable, plus fluctuation in currency and exchange rate, if give it to the customers they might stop purchasing the products. The survey will shows the customers demand, to base on that to do the market segmentation, after find a group of potential customers to target it will be focus on them, what products would satisfy the customers and what customer service to fit them.

Main recommendations

Base on the analysis, other competitors, customer’s needs, fact and finding and current situation to make plans and overcome the current crisis. The company should concentrate on snacks business and shout down Kawaiiland, provide more variety of snacks to customers, focus on those that sell well and are profitable.

The trends of eating healthy become popular and customers will pay more for them, suggest to import more healthy snack items from different countries also could avoid the currency rate problem. The other problem of 759 store is that they open too many shops they need to cut cost, re-evaluate the store locations and combined branches after done all the plans and bring back the business suggest 759 store to do franchise in the future.