Where does the conversation take place most probably?

W: Excuse me. I am a tourist hers and I am looking for something local and special here as gifts. Could you give me some suggestions?
M: Well, we have quite a few choices here: pottery, postcards with our local scenery, hand-made cotton hats and over there some food.
W: These hand-made hats look very special and beautiful! How much are they?
M: Forty-five dollars each or eighty dollars for the pair. The more you buy, the lower price I can offer.
W: OK, but I’ 11 buy one for myself right now and I prefer the red one.