How do locals know which market vendor is respected by other vendors?
Reputation spreads sideways before it spreads outward.
Customers see products. Locals often watch relationships.
The hidden mechanism is peer reputation. Vendors spend years observing each other's honesty, reliability, and behavior under pressure.
Imagine a crowded market where multiple sellers send customers to the same butcher when they run out of stock. That recommendation carries meaning.
A second-order effect develops because respected vendors attract trust from both customers and peers, strengthening their position over time.
People often think reputation is built through advertising. In close communities, it is built through repeated acts witnessed by others.
