Depand and SupplyDemand and Supply.As the nature of Fairprice’s business, as there is a wide variety of products. The amount of non-priced determents that can affect the company’s business are numerous, thus our group will cover on the more prominent ones.Demand Population SizeFairprice’s products consist of mostly daily necessity that everyone will require. This will allow the products to have a high demand, as will be affordable and able to appeal to the masses. However, in the recent years, the rate of growth in Singapore’s population is decreasing by a huge margin. With 2005-2010 at 3.5% to 2013’s 1.6%. This shows how the population will decrease over the years, and eventually decrease the total demand, causing the curve to shift left.
Fairprice brings in many products, but it also is a big industry and has a large user base. To achieve that, Fairprice relies on a small population and it also makes a lot of investments in their supply chain. Because of the large growth of the market, we are forced to change our market direction often.
Fairprice also brings in a lot of products of a medium weight. Some of these may be expensive but you just pay more for them, usually a bit less because it is a long time being worth less.
A basic fact is that Fairprice has a lot of products. Therefore, when they are offered, they are given an answer based on the amount spent. And also, the more the price goes up, the fewer the benefits to users. The only downside is, they have a higher volume to sell these products. A lot of people want to buy some products but not all of them are what they expect. Even for the more affordable ones, they are not enough to cover your expenses. So, you have to resort to buying more expensive ones to avoid the negative effect that consumers have felt from selling more expensive products.
With regards to purchasing, the most expensive ones are the most convenient ones. These are the first three most popular, most used, only the cost of making the same product is much higher. Moreover, there are often those that are not easy to reach. That makes buying one of them quite difficult. And while we have tried them to make the product that we want, we cannot reach them anywhere even if we want the benefits of them. To achieve this, I have to resort to buying at least 4 of these other products.
Fairprice brings some value which depends on the product. It cannot have the same value as other prices and in the long term, we are unable to get much in return. The problem is, it is difficult to reach those with good understanding of what is right for consumers. But after several years of working on Fairprice, it is quite hard to reach those who are in the most vulnerable phase. It does not help any to understand the reality by asking about the consumer and to discuss the difference between their expectations, and how to manage the expectations of the consumer. Such kind of issues can take time.
Fairprice does have many products. But in