SPORTS

1. Introduction

Olympics Games is an international sports competition. The birthplace of the Ancient Olympic Games was in Ancient Greece. The first modern Olympic Games were held in Athens in 1896. It was called the Olympic Festival and was held every four years and consists of both summer and winter Olympics. The Olympic Festival is still continued until now. The reason we choose to investigate the demand of sport attire because it is a necessary when we sport. There are so many types of sports such as jogging, swimming, football, basketball and so on. Hence, we want to know the demand factors of sport attires for Malaysians.

Olympic 2012 in London

· Problem Statement

1. What is the type of market competition of sport attire?

2. What are the demand factors of sport attire?

3. What is the type of elasticity of sport attire?

· Objective

1. To identify the type of market competition of sport attire

2. To understand the demand factor of sport attire.

3. To indicate the type of elasticity of sport attire.

Sport attire is monopolistic competition. It is a type of imperfect competition. Producers sell similar products but there are actually different from one another by the brands, packaging and services, prices or products attribution. In monopolistic competition, firms have a degree of control over the price of products. There are also a large number of firms. The barrier to entry the monopolistic competition is low and it is easy for new firms to entry and exit the market. The demand factors of sport attires are price, quality, design, brand, trend and others. As we have learned, if consumers are sensitive towards the price changes, the products are elastic demand.

In order to let us know more on the demand of sport attires, we conducted a survey. A total number of 20 corresponds are collected from Taylor’s University Lakeside Campus Students. We want to understand clearly on the problems and define the objectives as stated above.

The limitation in conducting this survey is we are lack of experiences and understanding. We need to ask someone or do some research before we decided on something to make sure that we are on the right track. However, during the process of conducting this survey, some bifurcation of ideas occurred, but we still get to solve the problems together without any arguments. Eventually, we began to understand the importance of cooperation between the group members can let us success in conducting this survey.

2. Methodology

a. This survey is conducted through survey. Firstly, a discussion is carried out to set-up the questions for the survey form. Next, the survey forms are distributed to 20 numbers of Taylor’s University students. Then, the data are collected and compiled together for analysis. Some statistics such as charts and graphs are used to present the analysis of data.

b. Corresponds are segmented into different categories based on their gender, age, and allowance or income. Different types of questions are set-up to retrieve the basic needs of our problem statements and to achieve its objectives. This survey is conducted face-to-face to make sure they filled up the forms correctly based on what we need.

Survey Form Page 1

Survey Form Page 2

3. Finding and Analysis

Based on this survey, price is one of the demand factors of sport attires. The higher the price of sport attires, the lower the quantity demanded and vice versa. There are other factors that will influence the quantity demand such as taste and preferences, level of income, number of substitutes and habits.

First and foremost, factor of demand for sport attires is taste and preferences. Based on the pie chart above, we can conclude that quality has the highest percentage, which is 33% while trend has the lowest percentage, which is only 4%.

Next, level of income is another factor of quantity demand for sport attires. Based on the survey, even though the level of income increases but consumers are still not willing to buy more sport attires. This is because sport attires are normal and durable goods. Consumers think that sport attires can be used for a long period therefore they do not need to buy more.

Moreover, there are many different brands of substitutes of sport attires. For example, brands like Nike, Adidas, Puma and others. From on the pie chart above, the most favorable brand of sport attire is Nike, which consists of 65%. The more the substitutes of sport attires, the lower the quantity demand. This is because consumers have more choices to decide on which brand that they want.

Last but not least, habit is also the factor of demand in sport attires. In this survey, the result above shown that 65% of people do sports in their life and 35% of people do not sports. People who sport have higher demand in sport attires than those who does not sport.

Based on this survey, we found that consumers are sensitive towards the price changes. A slightly increase in price of sport attires may lead to a great decrease in quantity demanded. This shows that it is an elastic demand. This is because sport attires are normal and durable goods. Consumers who have higher income are more elastic toward the demand of sport attires. They think that sport attires can be used for a long period therefore they do not need to buy more. Besides that, there are different brands of sport attire. Thus, the demand of sport attire becomes more elastic as customers are no longer

to a brand and change to buy the other brands of sport attires.

4. Conclusion

In conclusion, we found that price is not the only factor that would affect the demand of sport attire. There are also many other factors, such as the changes of consumers taste, the changes of level of consumer’s income and the number of substitute. Besides that, consumers show elastic demand for sport attire. Moreover, we recommend sport attires' companies should change their designs according to seasons or festivals and do not always produce sport attires with almost the same designing. For example, they can produce some CHRiSTMaS designing on the sport shoe at the month of November and December. They can also produce some Olympic designing sport shoe during the Olympic year. Last but not least, we do suggest sport attires’ company to set different level of prices for the goods. For instance, set a higher price for luxurious goods, a normal price for normal goods and some discount price for stale goods. This can let the different level income of consumers have the ability to buy it.