Task requirements:

Your task is to analyze the market for a consumer product of your choice. You can choose any product that you are interested in.

1. Clearly and specifically identify the product that you are analyzing (It is acceptable that the product you want to analyze does not exist in our life. In other words, you can imagine one. Just make sure in the real markets you can find the substitute products and complementary products for the product you want to analyze).
2. Describe the market for this product - What, if any, are the substitute (competing) products that are available in the market? What, if any, are the complementary products in the market? Show your works.
3. Describe the demand side of the market - What are the key factors that influence consumer choice associated with the demand for the product? How do these factors affect the demand for the product? Show your works.
4. Describe the supply side of the market - What are the key factors that influence the supply? How do these factors affect the supply of the product? Show your works.
5. Without international trade, the product is mainly produced and consumed in country A (You can identify a country name as an example by yourself or you can just use country A in your discussions). With international trade, country A may choose to export some of the products to other countries (i.e. selling at international markets) or import some of the products from other countries (i.e. purchasing from international markets). Using your knowledge of international trade, critically discuss under what conditions country A may choose to export and under what conditions country A may choose to import. Use examples and graphs to facilitate your discussions if you think you need them.
6. Supposing the government in country A imposes a 20% tariff on the product imported from other countries (i.e. the substitute product of your chosen product). Please discuss the changes in producer surplus and consumer surplus with and without international trade. Use examples and graphs to facilitate your discussions if you think you need them. (Note: before you analyze it, you need to decide (assume) the domestic market price and international market price for the product you have chosen. This can facilitate your discussions)

Product identification The market for the product Demand and supply side of the product Conditions of international trade The impact of tariff on CoOnsumer surplus and producer surplus