Incheon City-Seven Eleven 'Win-Win Agreement'... Realizing Fair Economy and Protecting Franchise Owners' Rights

Ahn Young-gyu, Deputy Mayor of Incheon (fifth from the right), and Lee Jung-yoon, Head of Management Support Division at Korea Seven Co., Ltd., are taking a commemorative photo with attendees after signing a 'win-win agreement' on the 13th.
[Photo by Incheon City]

[Asia Economy Reporter Park Hyesook] Incheon City signed a win-win agreement with Korea Seven Co., Ltd., which operates the convenience store Seven Eleven, on the 13th to realize a fair economy.

The signing ceremony held at Incheon City Hall was attended by Ahn Younggyu, Deputy Mayor of Incheon, Lee Jungyoon, Head of Korea Seven's Management Support Division, and Hong Gunseon, a member of the Seven Eleven Autonomous Adjustment Committee representing franchise store owners.

According to the agreement, Korea Seven will take the lead in fostering a culture of fair trade by enhancing trust between the headquarters and franchisees, preventing disputes, and improving the rights and interests of franchise store owners.

Incheon City plans to actively support policy and administrative matters so that Korea Seven can continue to grow sustainably in Incheon.

Lee Jungyoon, Head of Korea Seven's Management Support Division, said, "Seven Eleven is implementing measures such as operating a franchise win-win fund and reducing termination costs for low-profit franchise stores to create a sustainable store operation environment. We are also focusing on mutual growth through the Autonomous Adjustment Committee and the Management Convenience Research Institute for franchise owners," adding, "Going forward, we will strengthen our cooperative relationship with Incheon City and actively cooperate to make it a 'zero franchise dispute' city."

The city explained that this agreement is the first win-win agreement between Korea Seven and a local government, and the first public-private cooperation case to foster a fair franchise trade culture.

Both parties plan to hold regular working-level meetings to establish a fair trade order, strive to protect the rights and interests of franchise store owners in the Incheon area, and explore ways to link with the local currency card 'Incheon e-eum.'

Seven Eleven started its convenience store business in Korea in 1989 with the Seoul Olympic Athletes' Village store. In Incheon, there are 700 stores among the nationwide 10,500 Seven Eleven stores as of the end of last year.