Marketplace Trade and West African Urban Development: A Paradox

This book explores how informal economy traders and marketplace institutions dominate the local economy in African cities, reducing the probability of entrepreneurship in the manufacturing sector. It stagnates the African informal sector while creating formal jobs overseas. However, there is limited knowledge of the men and women with permanent stalls in large urban marketplaces who are the major actors in distribute trade. Their daily out-of-stall contacts have significant unintended consequences on the urban mobility system, and researchers, planners, development practitioners, and policymakers have not focused their attention on this.

Format: Paperback / softback
Length: 248 pages
Publication date: 22 December 2022
Publisher: Springer Nature Switzerland AG

This comprehensive book delves into the intricate dynamics of informal economy traders and marketplace institutions in African cities, shedding light on their profound influence on the local economy. According to the World Bank, the African continent bears a significant burden, as being African significantly decreases the likelihood of an individual venturing into entrepreneurship in the manufacturing sector by more than 95 percent. The export of unprocessed strategic raw materials and the import of vast quantities of finished goods stagnate the African informal sector, while simultaneously creating formal jobs abroad. This trend suggests that employment opportunities in distributive trade persist, and the marketplace institution plays a crucial role in mitigating urban unemployment and income inequality. However, there exists a limited understanding of the individuals who maintain permanent stalls in large urban marketplaces, functioning as temporary cities within cities. Despite their pivotal role in distributing trade, their daily out-of-stall contacts, stemming from the intricate social and economic relationships that shape the financial well-being of families, businesses, and the economy, remain largely unexplored and largely unknown. These contacts, however, hold significant unintended consequences on the urban mobility system.

Researchers, planners, development practitioners, and policymakers have overlooked the profound impacts of the powerful economic institution of marketplaces and traders in shaping transport planning processes and urban development policies. This paradoxical situation surrounding marketplace trade and urban development in West Africa demands attention and consideration.

In exploring the dominance of informal economy traders and marketplace institutions in African cities, the book uncovers several key findings. Firstly, it highlights the significant barriers faced by African entrepreneurs in the manufacturing sector, including limited access to capital, infrastructure, and market opportunities. The export of unprocessed raw materials and the import of finished goods contribute to the stagnation of the African informal sector, while creating formal jobs overseas. This trend perpetuates income inequality and urban unemployment, highlighting the need for targeted interventions to support entrepreneurship and promote economic growth.

Secondly, the book emphasizes the role of marketplaces and traders in distributing goods and services within African cities. These informal institutions play a vital role in meeting the needs of the urban population, particularly those who are marginalized or excluded from formal economic systems. By providing affordable goods and services, marketplaces contribute to the reduction of poverty and the improvement of living standards. However, the lack of attention to the individuals who operate permanent stalls in large urban marketplaces limits our understanding of their contributions to the urban economy.

Thirdly, the book explores the complex social and economic relationships that underpin marketplace trade. These relationships involve not only traders and consumers but also suppliers, financiers, and government agencies. Understanding these relationships is crucial for developing effective policies and interventions that support marketplace trade and promote inclusive urban development.

To address the challenges and opportunities presented by informal economy traders and marketplace institutions in African cities, the book proposes several recommendations. Firstly, it calls for increased investment in infrastructure and technology to support entrepreneurship and promote economic growth. This includes improving access to finance, building robust transportation networks, and promoting innovation and creativity.

Secondly, the book advocates for policies that promote inclusive urban development and support marketplace trade. This includes measures to improve the regulatory environment, protect the rights of traders and consumers, and promote fair competition. Additionally, policies should focus on improving access to education and training, particularly for women and youth, to enhance their skills and opportunities in the informal economy.

Thirdly, the book emphasizes the need for research and data collection to better understand the dynamics of informal economy traders and marketplace institutions in African cities. This includes conducting surveys, interviews, and case studies to gather insights into the experiences and challenges of traders, consumers, and other stakeholders. By generating reliable data, policymakers can develop evidence-based policies and interventions that address the specific needs and concerns of different segments of the urban population.

In conclusion, this book provides a comprehensive analysis of the dominance of informal economy traders and marketplace institutions in African cities. It sheds light on the barriers faced by African entrepreneurs, the role of marketplaces in distributing goods and services, and the complex social and economic relationships that underpin marketplace trade. By proposing recommendations for increased investment, inclusive urban development, and research, the book aims to contribute to the development of effective policies and interventions that support the growth and prosperity of African cities.

Weight: 351g
Dimension: 210 x 148 (mm)
ISBN-13: 9783030875589
Edition number: 1st ed. 2022