Seven & i Holdings Co Ltd. (TSE:3382) engages in various retail businesses in Japan, China, and North America. The company operates convenience stores, superstores, supermarkets, specialty shops, and department stores, including 7-Eleven convenience stores globally. Seven & I Holdings operates approximately 37,300 stores globally and is dependent upon consumer spending in Asia and North America. The company was founded in 2005 and is headquartered in Tokyo, Japan.
of superstores that provide apparel, household goods, and food in Japan and China—Beijing and Chengdu, Sichuan Province. In addition, superstore operations include food supermarkets in Japan and Beijing and specialty stores.
composed of department stores and miscellaneous goods specialty stores. These stores include brands such as Millennium Retailing, Sogo, and SEIBU.
operations, meal provision services (for company cafeterias, hospitals, and schools), and fast food operations in Japan.
operations, credit card operations, electronic money services, leasing operations, insurance operations, change delivery service, and change machine service in Japan.
services, meal delivery services, publishing, property management businesses, and community school business in Japan.
The Japanese government is considering a few tax measures as means of financing post-quake reconstruction. These measures include (i) a 10% increase in income tax for 3-5 years (yielding an ¥1.3 trillion annually), (ii) a modest increase in consumption tax (a 2-3% increase from FY2012 onward for two-three years only; each 1% increase would raise around ¥2.5 trillion), and (iii) a possible increase in electricity charges related to the nuclear power plant problems and a higher burden for the public. On the other hand, recovery may continue as aggregate retail same-store sales in Japan recovered to 1.4% year-over-year growth in April from a 3.5% decline in March following the earthquake.
Consumers may continue to rein in spending if the Japanese economy remains lackluster for the time being. Consumer spending could remain weak for a longer period in light of deteriorating employment and income coupled with rapid cooling of consumer sentiment. Sales of discretionary goods will likely be sluggish as this trend continues. Some analysts see consumer sentiment as unlikely to recover until 2012, given the nuclear power plant issue and political uncertainty.
Seven & I competes in the Japanese consumer goods retail space in Japan, as well as several other countries. Selected competitors include: