Finding And Analysis

3.      Finding and analysis

A.

I)         The first determinant of demand asked in our survey was taste and preference. Based on the survey, 9 out of 10people have purchased UNIQLO’s product. Most of them state the reason they choose UNIQLO is because of their good quality products for a reasonable price. Thus, this is predicted by UNIQLO’s marketing strategy of producing good quality products with a low price.

II)         The second factor of demand being asked in our survey was elasticity of UNIQLO’s products if there are changes in the price. From the survey, it shows that majority of the people state that they agree on that price is a major influence when buying a UNIQLO product because there are many other retail brands as well. However, 8 out of 10 people strongly agree that the prices for UNIQLO’s products are reasonable.

III)      The third factor of demand that was asked in our survey was price of related goods which are substitutes and complements. Based on our survey, it can be concluded that majority would not continue to buy UNIQLO’s products if the price of UNIQLO’s products are more expensive.

IV)      The fourth factor of demand asked in our survey was consumer expectation. Based on the findings, all of the people that answered the survey would like to purchase more UNIQLO’s product during the promotion period and majority of them are willing to wait for the promotion period.

B.

I)         Based on the survey, majority of the people interviewed prefer UNIQLO’s product because of its Asian sizing instead of H&M and Zara which uses European sizing. With a favorable change in consumer tastes for UNIQLO, the demand for UNIQLO will increase; the demand curve will shift rightward.

II)        According to the survey, majority of the people agree that price is a major influence when buying a UNIQLO product. This is because UNIQLO is a monopolistic competitor and the competition in the industry is very competitive. An increase in price of UNIQLO’s product would lead to an increase in demand of competitor’s products.

III)      Based on the survey, availability and price of substitute goods are also a factor of demand for UNIQLO’s product. When the price of H&M’s or ZARA’s product remain the same while the price of UNIQLO’s product increase, the demand for H&M’s or ZARA’s product would increase.

IV)      According to the survey, consumer expectation will shift the demand for UNIQLO’s product. For example, A Newly formed expectation of higher future prices may cause consumers to buy now in order to “beat” the anticipated price rises, thus increasing current demand. In our case, demand for UNIQLO’s product during the promotion period will increase because of the lower price of the products.

C.

I) 

II)

III)

IV)