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Why Chinatown Produce Is Cheap (2016)

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Re: Why Chinatown Produce Is Cheap (2016)

#2
Fascinating. I'm wondering if there's an opportunity for a tech startup to replicate this network more generally. I could see the network connecting the sellers with the farmers directly, plus coordinating delivery of the veggies... it's an easier problem than ubereats delivery as you've got fewer nodes. Maybe you even skip the sellers entirely, which basically gets you to CSA boxes but those always felt expensive to me (I'm not sure why)

Re: Why Chinatown Produce Is Cheap (2016)

#6
This feels like the proverbial dollar left on the street that economists say should not exist, so I'm racking my brain trying to figure out what's stopping chains from replicating this. I wonder whether this alternate network is as scrupulous about source tracking and food safety regulations. Those costs could be driving up prices on the traditional retail side.

Re: Why Chinatown Produce Is Cheap (2016)

#8
post #3

The amount of secret networks and deals Chinese/Chinese Americans pull off is astounding. I don't mean that in a negative way, I'm mostly impressed (I live near Brooklyn's Chinatown).

I wouldn't say it's "secret," it's just regular business conducted using a language most Americans can't read or understand. Probably even in dialects that most Chinese people can't speak.

Re: Why Chinatown Produce Is Cheap (2016)

#9
post #6

This feels like the proverbial dollar left on the street that economists say should not exist, so I'm racking my brain trying to figure out what's stopping chains from replicating this. I wonder whether this alternate network is as scrupulous about source tracking and food safety regulations. Those costs could be driving up prices on the traditional retail side.

Maybe its just because there isn't enough competition after corporate consolidation. For the most part I see the same brands and items in stores in Virginia as in stores in California...even in the organic food stores.

Re: Why Chinatown Produce Is Cheap (2016)

#10

Where does the food in these secret warehouse networks come from? Is it actually equivalent in quality and oversight to the "mainstream" farm networks?

Anecdotal, but I've been buying cheap fruits and veggies from Chinese markets for years and I've never gotten sick once. They taste the same. I'm no food expert, though.

The only negatives are that the markets are not pleasant places to be in and some don't take cards.

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