A battle for control of the chain shows how traditional business models embraced by family owners are clashing with a more shareholder-centric approach.Junro Ito, a vice president at Seven & i Holdings, the Japanese parent company of 7-Eleven, embarked on a trip to California this year with a specific mission in mind. He felt that the company had lost its way and wanted to revive the culture established by his father, the company’s founder.
To achieve this, Mr. Ito planned to establish training workshops for Seven & i employees and sought advice from experts at Claremont Graduate University. This was the same university where management guru Peter Drucker, a close friend and advisor to his father, had taught for decades. The workshops would focus on instilling the philosophy of Mr. Drucker, which emphasized that the purpose of a company is to serve its customers, not just to maximize profits for shareholders.
Back in Tokyo, Seven & i began hosting monthly management workshops, coinciding with Mr. Ito’s plan to launch a multibillion-dollar takeover bid. As a member of the family that owns a minority stake in Seven & i, Mr. Ito was determined to prevent the company from being acquired by a foreign rival.
With over 85,000 stores, Seven & i is a cornerstone of Japanese society, and those who know Mr. Ito believe that his fixation on Mr. Drucker’s teachings offers insight into his plans for the company. According to sources who spoke on the condition of anonymity, Mr. Ito’s ultimate goal is to maintain the company’s success and preserve its legacy.
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