In terms of market behavior Bangladesh is in transition. Neither consumers nor producers are to be seen as absolute king here. The volume of low quality and fake goods prove ignorance and weak bargaining power of the consumers. Again the increase of advertisement of better goods indicates competition in producers level and selectivity of buyers. In Bangladesh competition among the producers as well as consumers' awareness are increasing. Therefore, with the advertisement any item may raise its sells but if the product lacks the desired quality soon it becomes unpopular. Even when any newly launched product or brand becomes popular in the market, some dishonest traders duplicate the product or brand and cheat the consumers and thus tarnish the image of the popular product or brand which looses its goodwill.
Unscrupulous traders and manufacturers usually exploit customers by charging higher artificial price, lucrative advertising, packing the poor quality products with attractive covers, etc.
In an economy where quality fails to play the key role, adulteration and fake products dominate the market, it is not only the consumers who suffer, so do the honest traders and manufacturers. The situation is different in a largely competitive and developed market, whereas the later scenario is characteristic of initial stages of developing market. Here the innocent, simple and illiterate population is revolving in a vicious cycle of poor quality and often adulterated goods. They are often cheated in price with false weights and measures and price hike. The vast mass of illiterate and uninformed consumers, due to lack of proper knowledge, fail to distinguish between real and fake products and ultimately loose faith in the product or market that causes continuous shift in their choice. As a result products of honest and quality producers suffer and their sales decline.
Reasons for such imperfection...