v3 Chapter 1267： Picture poor see (1/2)
Latest website: Tokyo, Island Country 7-11 Convenience Store Co., Ltd. headquarters.
Vice President Kimura Sawano, who had just returned from the United States, rushed back to the company with a solemn expression, and walked straight into the office of President Toshifumi Suzuki.
Suzuki Toshifumi can be said to be the biggest contributor to the success of the 7-11 convenience store in the island country. At the beginning, he persuaded Masatoshi Ito to sign a regional franchise agreement with the American Southern Company to obtain the development of the ”7-11” convenience store model in the island country. Quan, this is also the first convenience store in the island country to copy the American model.
This path is on the right track, so Toshifumi Suzuki won the unanimous approval of the senior executives of the Ito Yokado Group. Since February 1978, he has served as the president of 7-11 Convenience Store Co., Ltd., leading the company to a high-speed development. road.
It's just that this broad road has gradually been fogged up this year, so that the future cannot be seen at a glance, and the future has become erratic.
Seeing Kimura Sawino's face coming in, Suzuki's expression instantly became serious, and the pen in his hand was lowered subconsciously.
”Kimura-kun, you are back, how is the situation?”
Kimura Sawano sighed and said with a guilty expression: ”President, I'm sorry to disappoint you.”
”Roy Gordon no longer dealt with us vaguely, but the conditions put forward made us unacceptable.”
”What conditions?”
Suzuki Toshifumi hurriedly asked.
”The American Southern Company proposed that the franchise fee does not need to increase, which is still $3 million per year, but they want to increase their shareholding from 21% to 51% and require us to transfer another 30% of the shareholding to them.
Kimura Sawano said heavily.
Suzuki's face was gloomy for an instant, and he cursed angrily: ”Damn American ghost, he's robbing!”
”They are the bright future for 7-11 convenience stores in the island country!”
”Yes, they are robbing, Roy Gordon is taking us down, even he threatened that this is our only choice.”
Thinking of the scene when negotiating with Roy Gordon, Kimura Sawano's anger rose again, and the enemy said angrily.
As the vice president of 7-11 Convenience Store Co., Ltd. in the island country, because the company is a large retail company with annual revenue of more than 200 billion yen in the island country, his social status is very high, but he is sent to the United States by the company After that, I was frustrated for several months.
However, the 7-11 Convenience Store Co., Ltd. of the island country was grasped by the American Southern Company. In the face of various difficulties and runs, he could only bear not daring to attack, for fear that it would destroy the cooperation between the two parties and let Roy Gordon find trouble. The reason for this caused trouble for the company.
Actually speaking, the source of what made Suzuki Toshifumi and Kimura Sawano so angry was the contract signed in November 1973.
In November 1973, Masatoshi Ito and Tofumi Suzuki went to the headquarters of American Southern Corporation in Texas, USA, and negotiated the franchise rights of 7-11 convenience stores in the island country.
The final result of the negotiation is that the American Southern Company acquires 21% of the 7-11 convenience store in the island country. At the same time, the island country Ito Yokado Group also needs to pay an annual franchise fee of three million US dollars. The franchise period is limited to ten years. After ten years, it can be renewed first, and the specific franchise fees can be renegotiated.
And because the Ito Yokado Group was in a weak position at that time, the Southern Company became a shareholder of the new company, and the Ito Yokado Group did not expect the 7-11 convenience store to develop in the island assembly to the present level, so in terms of breach of contract , The agreement is relatively loose, but it is agreed that during the agreement period, if both parties unilaterally breach the contract, they need to pay the other party a one-time compensation of 30 million US dollars.
This clause more restricts the American Southern Company.
The agreement was signed in November 1973, and it is now September 1983, two months away from the ten-year deadline.
In fact, Suzuki Toshifumi deployed the contract renewal work at the beginning of this year, but he was a little careless at the beginning, thinking that it was just the franchise price that could not be negotiated. When he realized that something was wrong, it was already too late.
The only blame is that the shareholder representatives and directors of the American Southern Company are so foolish, and the cooperation between the two parties has been close for so many years.
The development dividend of the 7-11 convenience store in the island country has been enjoyed by the American Southern Company. At the beginning, it obtained 21% of the company's equity with only brand investment. It can be said that the Ito Yokado Group is worthy of the American Southern Company.
I just didn't expect that the American Southern Company would become so greedy and want to eat the 7-11 convenience store in the island country!
”President, what should I do now?”
”Roy Gordon has been releasing smoke bombs before, entangled with our annual franchise fees, and only now has his fangs exposed.”
”It has been less than two months since the ten-year period. As long as the deadline is reached, they can automatically terminate the contract, and the 30 million U.S. dollar liquidated damage clause will become invalid.”
”We only have less than two months to make a decision. Time is too tight.”
Kimura Sawano said solemnly.
”Yeah, time is too tight, Roy Gordon has deliberately delayed until now, we are in big trouble!”
Suzuki Toshibumi felt heavy, and sighed after a long time.
”President, there should be a new store opening plan in the past few months, what are you going to do?”
Facing the problem of Nakamura Sawano, Suzuki Toshifumi shook his head and sighed: ”According to the original plan, 120 new stores will need to be opened in the fourth quarter. Most of the site selection has been completed, and now we can only suspend it.
”We have spent nearly ten years operating the brand. Consumers have already recognized the brand of our 7-11 convenience store. We must solve the brand first!”
”On this matter, only President Ito can decide. I will ask him for instructions first.”
After Suzuki finished speaking, he remained silent on the stool for another half a minute, then picked up the phone and called Ito Masatoshi. After a few brief words, he confirmed that Ito Masatoshi was in the Ito Yokado Group and he was free. hang up the phone.
”Kimura-kun, come with me to see President Ito.”
”Ok!”