Chongming District Quality Patent Application

From the perspective of substitution, Sichuan oranges and Chongming oranges are mutually substituted, and the decline in the quality of substitutes will lead to an increase in the sales of Chongming oranges.

On the one hand, the quality problem of Sichuan orange may lead to adverse selection because of information asymmetry, which will reduce consumers' recognition of oranges. Bad products will drive good products out of the market, resulting in reduced demand and lower prices.

The specific final result is how to comprehensively consider which one has the greater impact, as well as the elasticity of demand, the severity of the Sichuan orange incident, consumers' awareness of Chongming orange and so on.