24 June, 2008
Typical Business Scenario
What started as a single stall selling local produce now become an everyday Night Market along a street in Desa Ilmu. Due to the increase in population at Desa Ilmu, the previously single stall has managed a profitable business because he received a lot of customers. It is very convenient to stop by the road side and get locally produce at a very cheap price.
Naturally, other enterpreneurs don't want to miss the opportunities and they too started to get their share of the market. Soon followed by others and as you can see in the picture above that most of them just sitting alongside the road due to oversaturated market to cater for not so many potential customers.
Well, that is a typical scenarios whenever you feel that your business started to be profitable and out of sudden others also wanted to jump in to be profitable. In economic term, the supply and demand will play its role and what does it indicates to you is that you will be back to square one i.e. you are trying to make ends meet. However, at least as a customer, I can get more choice and get a much cheaper price. But for the enterpreneur, they have to move to other locations for a much more greener pasture.