it works well for the setting
I'm not sure if the whole-note strings should ever go completely away, like maybe just make them really really quiet at some parts - bring em out a lot more at those other parts...
And if you could find a way to make it a tad longer - for a town it may be too short - for a shop I think it would be a solid length - but these days you end up waiting around in towns for a while sometimes, and maybe some crazy people can't sit through listening to a 1:17 loop go for 10 min straight
maybe, if you actually were to manually repeat this like five Times, then after that so like five Minutes you had a MAJOR break in the song - like where one instrument is playing - do that for like a minute - then it loops back to this (just a thought)
Very much Island sounding indeed.