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How Does The Fishball Stall Market In Two Different Districts In Hong Kong, Causeway Bay And Shum Shui Po Demonstrate The Characteristics Of Monopolistic Competition?

Introduction:
This essay will be based around the collection of data on 8 different fish ball stalls around the two different areas of Hong Kong, Shum Shui Po and Causeway Bay. Using the data collected, I will analyze how the fishball stall market demonstrates the characteristics of monopolistic competition. By categorizing the type of market structure it belongs to, I can understand why the prices are the way they are and the possible developments for differentiating the product in the future.

The reason why I choose to do this is because I can look into this local issue myself and through primary sources, I can analyze a simplified real-life model of economic theory and see what holds true in the “real-world”. The locations were chosen because they were both drastically different areas of Hong Kong in terms of the income and social status of the people passing by there, but they both had sold a similar homogenous product that is popular around Hong Kong, thus providing me with a broad yet practical range of data.

The method of data collection would be mostly collecting the prices of the standard, more commonly sold version of the fishball product as well as the prices for the variations of it. Notes would be taken about the unique characteristics of the variations that might be trying to differentiate themselves as well as the environment that they are being sold at (ie Signs, hygiene, seating). After achieving the data, I should be able to see not only the effect of income elasticity between the rich and poor districts of Hong Kong and possibly the minor changes in price due to other factors. Knowing this, I can determine if the market is considered Monopolistic competition thus answering my main question.

If anomalies are found in the data, then perhaps the market might not belong to the monopolistic competition market structure and I can evaluate what factors play into the differentiation of a specific firm.

Market Research in Causeway Bay

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