Markets Around Us CLASS 7 Social Science

 

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Notes

 What is a market?

A market is a place or system where buyers and sellers meet to exchange goods and services for a price. It can be physical (a bazaar, weekly market) or non-physical (online) but the basic idea is that people who want to buy and people who want to sell come together. 

 Types of markets

1. Shops in the neighbourhood – small shops near our homes. We can visit any day, they are convenient. 

2. Weekly markets – they occur on certain days in a place, many goods in one place, more competition may lead to better prices. 

3. Shopping complexes and malls – in urban areas many shops in one building, branded goods, higher investment, somewhat different from small shops. 

4. Chain of markets or supply chain – goods move from producers to wholesalers to retailers to consumers. This shows how items reach us from far off places. 

Features of markets

* Presence of buyers and sellers. 

* Flow of goods and services.

* Price determined by negotiation, supply and demand.

* Accessibility – some markets are easier to reach, some less so.

* Role of traders and middlemen between producers and consumers.

### Role of markets in people’s lives

* Markets help people get goods and services they do not produce themselves.

* They provide livelihood to many: shopkeepers, hawkers, traders.

* They connect distant places: products made elsewhere come here.

* They can reflect inequalities: access, price, quality may differ for different people. 

### Challenges and issues

* Some markets are concentrated in certain areas (shopping malls) making access easy for some but harder for others.

* Small producers may face disadvantage because of many middlemen.

* Price fluctuations: when supply is too much, price falls; when demand is high, price rises. 

* Quality and fairness: Consumers need to be aware of quality, price fairness.

* Role of government: to regulate fair practices, control harmful effects.

### Important terms

* Neighbourhood shop – a shop near home.

* Weekly market – temporarily set up on certain days.

* Shopping complex or mall – large building with many shops, often branded goods.

* Chain of markets / supply chain – stages through which a product passes from producer to consumer.

* Hawker – someone who moves around selling goods (not fixed location). 

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## Text-Question Answers

Here are some of the questions and their answers from the chapter.

1. What is a market and how does it function?

   Answer: A market is a place where buyers and sellers meet to exchange goods and services for a price. It functions through the interaction of supply (goods offered by sellers) and demand (goods wanted by buyers). Prices are determined when the two sides come together and agree. There is movement of goods from producers to wholesalers to retailers to consumers. The chain of supply is part of how a market functions. 

2. What role do markets play in people’s lives?

   Answer: Markets help people obtain what they cannot make themselves – for example clothes, utensils, fruits or electronic goods. They provide employment and income to many people such as shopkeepers, hawkers, traders and workers in shops or malls. They also link distant places because products may travel from far away to reach us. Markets thus connect producers, traders and consumers. They also reflect social and economic differences – not everyone may have equal access to all goods or all types of markets. 

3. Compare and contrast a weekly market and a shopping complex.

   Answer: In a weekly market goods are usually sold on a specific day of the week by many traders in one place. They often have many goods, competitive pricing, lesser overhead costs for sellers, and are accessible to many. In a shopping complex or mall, shops are permanent, often branded, investment is high, goods may cost more, and the setup is more formal. While weekly markets may offer bargains and variety, malls may offer convenience, comfort, branded choices and sometimes higher quality or service. 

4. What is meant by the chain of markets? Give an example.

   Answer: The chain of markets refers to the sequence of stages through which a product travels from the producer to the final consumer. For example, a farmer produces vegetables (producer) → sells to a wholesaler → the wholesaler supplies to a retailer/shop in town → the consumer buys from the retailer. Each link is part of the chain. This chain shows how the market is not just the final shop but includes many earlier stages. 

5. Identify some problems or issues in the way markets work.

   Answer: Some problems in markets are: unequal access (some people cannot reach certain markets or cannot afford goods), price instability (if supply is too much or demand very high), many middlemen leading to higher cost to consumer and lower share for producer, quality issues (consumers may get inferior goods), lack of information for buyers, unfair practices. Also markets may not serve everyone equally which can lead to social inequalities.

6. How can consumers check the quality and fairness in markets?

   Answer: Consumers can check quality by looking at packaging, labels, brand reputation, asking questions, comparing prices, checking whether the product is fresh or service is good. They can negotiate where possible. They should observe if the seller allows bargain or gives explanation. They can also check multiple shops or markets for the same good to compare.