ECONOMIC THEORY BEHIND THE RISE IN DEMAND FOR PANDA DOGS IN CHINA

Home pet market in China experiences a rapid boom. Panda Dogs are taking hearts and "Yuans" of Chinese customers. A rapid rise in demand for Panda Dogs raises questions about this product and its characteristics. It appears that Panda Dogs are stylised to look like Pandas as a national and beloved animal of China and Chinese people. Despite the shortages and incredible demand, Panda Dogs are not as unique as they appear. The Chow Chow Dog is the hero behind the popular Panda Dog. Being a regular Chow Chow with some cosmetic enhancements added to make it look like Panda, Panda Dogs don't hold their appearance for too long. The grooming is a necessity in case of Panda Dogs because if not continuously supported, the dog loses its unusual and distinguishing look. Economic concepts, such as price elasticity of demand, supply of Chow Chow Dogs, and shift in demand can be found in the case of Panda Dogs. The purpose of this article is to go deeper into the Panda Dog phenomenon and gain the understanding of how the Panda Dog became an overnight sensation, which changed the home pet market landscape.