LOCAL ECONOMY – Neighborhood businesses generate income

Grocery stores and taxiphones set the rhythm of daily life in the neighborhoods of Antananarivo, despite meager profit margins. Between proximity and resourcefulness, these small businesses remain a vital pillar of the local economy.

In the neighborhoods of Antananarivo, small businesses are present on almost every street corner. Grocery stores, taxiphones, and other points of sale are part of the residents’ daily lives. They meet local consumption needs while providing a source of income for their operators. Despite often limited margins, these activities allow many households to survive through regular sales and a loyal customer base.

Grocery stores are among the most frequented businesses in the neighborhoods. They offer essential products, often sold in small quantities to match the purchasing power of consumers. For their owners, profitability relies less on the profit made per product than on sales volume and customer loyalty. “Here, we earn between 20 and 200 ariary per product sold. It’s very little,” explains Lalaina, a grocery store owner. To maintain her business, she relies on proximity, product availability, and a relationship of trust with neighborhood residents. Regular customers account for a significant portion of her daily sales.

Taxiphones also hold a place in the neighborhood economy. While the sale of phone credits and electronic top-ups remains their main activity, it is not always enough to generate satisfactory income. Many managers choose to diversify their offerings by providing candies, biscuits, drinks, or other small consumer goods. “It’s an activity that brings in little, but I prefer to earn a little rather than nothing at all,” says Georges, a taxiphone manager. From a kiosk about a meter wide, he spends the day serving customers. “I am in this kiosk that is less than a meter wide. I can’t even move, but I have to work here to have money,” he says.

For these small entrepreneurs, diversification is a way to increase revenue and make a small sales space profitable. Each additional product sold complements the income from telephone services. Present in most neighborhoods, these small businesses continue to meet the daily needs of residents while generating income for their owners. Even with modest profits, they allow many families to cover their expenses and remain an important link in the local economy.

Captured & Published at: 2026-07-22 05:57:02 (Madagascar Local Time EAT)
Original Source: https://www.lexpress.mg/2026/07/economie-de-proximite-les-commerces-de.html

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