Econ news analysis
Anti-competitive behaviour:
Quantity discount
Fiona Kam 6A (19)
Carmen Lam 6A (20)
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• http://thesun.on.cc/cnt/news/20111120/00407_040.html?pubdate=20
111120
草根超市勁平一成 東方日報
20-11-2011
• 首間標榜平民化以服務草根階層為主的超級市場，昨在新蒲崗開
業，超市大老闆強調所有貨品免收入場費及上架費，故售價可較
一般超市便宜一成，十分具競爭力，更計劃未來半年在港九新界
再開多間分店。
• 這間標榜是「平民超市」的美家超級市場有限公司，其董事局主
席陳勇前透露，首間超市面積約七千平方呎，總投資額一千萬元，
服務對象以公屋住戶及中下層市民為主，雖然他們的消費能力比
較低，所需求的貨量卻非常龐大。因應市場所需，所有貨品都不
收入場費，亦沒有上架費，出售貨品均大量入貨，每次一兩隻貨
櫃，故售價可較一般大型超市便宜約一成，部分自家品牌貨品折
扣高達三成，零售及批發兼備。
• 他說從不擔心競爭力，本港存在多個中高價超市或標榜平價的連
鎖商號，美家的最大優勢是不收入場費及上架費，得到大部分供
應商支持，貨品比別家便宜。
• 場內貨品超過三千種，只要吸引足夠客源，便能將利潤降至最低，
讓草根階層受惠。
Identify stakeholders
Stakeholders
Example
Wholesaler
Food supplier
(糧油食品供應商)
Retailer
Small scale supermarket
(美家超級市場有限公司)
Consumers
Middle and low income
households
Wholesaler
2
1
Quantity
discounts
Buy at a
lower price
Buy in
bulk
Retailer
3
Sell at a
lower price
Buy at a
lower price
4
Definition of quantity discount
• Retailers receive larger discount from manufacturers
or wholesalers when they buy good in bulk
Discounts are given to supermarket when it
purchases in bulk (one to two container each time)
with the same wholesaler
Effect on retailer (supermarket)
• Bring benefit to the supermarket
 Save information cost of searching for other low-price
products in other wholesalers
 Enjoy purchasing economies of scale, when it buys products
in bulk, lower average cost of production
greater incentive to display and sell more of the product
(e.g. eggs, rice) from that wholesaler due to consumers’
greater demand for its goods
 Quantity discount causes a drop in selling price of products,
% rise in Qd > % drop in price,
TR rises
Effect on other retailers in the market
• Harm their business = earn less profit
newly opened supermarket (美家超級市場) obtains
quantity discount
Sell its products at a lower price
Attract more consumers to buy from this
supermarket
Other retailers cannot compete with this
supermarket = lose consumers
=美家超級市場 restrict competition
Effect on consumers
• Consumers benefit
 Products are purchased in bulk = lower production cost
Supermarket will reduce selling price in most of its
products
(evidence: in general, selling price is lower than other
dominant supermarkets by 10%)
Consumers can buy cheaper goods in this supermarket
due to lower production cost (in purchase) from retailer
Lower price raise their demand (=MB) for the goods in
this supermarket