ANN VEECK sumers:logically, consumers who must go greater distances to shop make fewer trips a dramatic example of the state's role in the management of food mar- kets was the decision of the Nanjing government to shut down the gulou (Drum Tower)Market in 1997 to create space for a new Sino-American re. sort hotel. The Gulou Market, established in the early 1g8os, was Nanjing's first free market. Offering housewares and clothes as well as food, the mar ket had functioned as an inexpensive alternative to the upscale stores in the commercially developed Gulou district. The market was well-patronized by the lower-income residents in the area and the students of nearby universi- ties. When asked if this change was in the best interest of the consumers, the manager of the administrative office of the Gulou Market responded: This kind of market is truly not suited for the growing market economy. It's bound to disappear. But anyway, residents are not very happy about a hotel being built here, because many will have to change their living residences to make room for the hotel The composition and even the layout of the markets is also determined y the local government In 1996 the Nanjing Trade and Business Bureau decreed that all 6i of the outdoor food markets within the city limits must be enclosed within the next few years. 2 The purpose of this decree was to improve the sanitation and cleanliness of the markets. It would also provide a safe place for vendors to leave their wares overnight. The change was also certain to affect the atmosphere of the market in fundamental ways. since enclosing a retail area can affect frequency of purchase, purchasing behav- ior, product offerings, and prices IS For example, it is highly likely that the extra entry and exit barriers created by enclosing the markets will cause many customers to make fewer food shopping trips. It is a certainty, though, that moving the food markets indoors will affect experiential aspects of the food shopping trip for Nanjing shoppers The state also played the leading role in regulating the sanitation of the food sold at markets. The government developed the rules of sanitation to which food manufacturers and retailers must adhere and then decided how and when to enforce them according to its resources, motivations, and whims. Food manufacturers and retailers that were found to be engaged in unhy. gienic practices might receive a warning, be fined, or be shut down,tem- porarily or permanently. These infractions were then frequently reported in the state-controlled media, sometimes in frighteningly colorful detail. For example, one 1g96 newspaper article reported that some bakeries were il- legally reusing icing from cakes that had reached their expiration dates, mak- ing the cakes on filthy counters, and working in rooms with spider webs on 12. Zhu Gongbing 1996. 13. Sce. for example. sherry i