Behavior of customers and traders in informal markets. Case study in Santo Domingo, Ecuador

Abstract

Informal markets, although they are not widely accepted, contribute to the generation of employment and facilitate access to multiple products. In addition to facilitating the financial flow within the territory. However, it is a fact that in this type of market many of the principles of commercialization are not fulfilled as in formal markets. This paper aims to deepen the peculiarities of the commercialization process of informal markets. It was carried out mainly through the observation of 86 selling points out of a total of 777 that operate in the market, characterizing variables such as the behavior of customers and traders, as well as the variation of supply and demand in selling points. Through the investigation it was possible to characterize variables related to the sales process and the behavior of customer and traders in an informal market in Santo Domingo city, Ecuador. It was observed that the volume of sale is related to the location of the establishment, the circulation of customers and access roads. In addition, a greater variety of products determines an increase in sales, although a significant increase in the variety can negatively affect its influence on sales volumes.

Keywords

• Customer behaviour
• Informal markets
• Sales process
• Purchase intention
• Selling points
• Market environment