Business and Marketing

Traditional markets are still commonly found in several regions in Asia, although there are still small numbers of market like this in Europe. This market is often described as a dump, not well maintained and unhygienic. When the market is overhauled for comfort then the merchants hawking wares alongside a road is that they can not afford stalls inside the market. The market looks increasingly shabby and the streets become jammed with traders who crowded the curb. It definitely makes the problem becomes more complex.

On the other hand, modern market grows so rapidly with the establishment of supermarkets and hypermarkets. Finally, the modern market becomes dominant in developing countries. The rise of modern markets in Asia is affecting the current retail trading system that is the shift in distribution patterns. Before the modern market dominates, retail trade is still using the old pattern of manufacturers, distributors, agents, and to the retailers who ultimately to consumers. Today, the distribution of retail trade is shorter, namely the producers, distributors who are also the agents as well as retailers and consumers.

So there are three distribution chains which are used to distribute products that are now managed by modern markets, such as Hypermarkets and Supermarkets. This clearly has implications for the growth in traditional markets either directly or indirectly. First, the traditional market has a weakness at the network where the distribution is quite long and not time-efficient. This implies that price competition is not balanced with the modern market.