The Chinese businesses in Málaga, renowned for their generally low prices, have not emerged unscathed from the continuing economic crisis, with many establishments closing down in the past few months.
Two years ago there was a proliferation of Chinese bazaars, food stores, clothes and gift shops, but many of these have now closed down. They sprang up as canny entrepreneurs took advantage of the closure of other local businesses, snapping up a lot of the best locations.
Many Chinese nationals would arrive in Spain and begin working in such shops and then, after accumulating funds, would open their own premises nearby. This led to a lot of competition and now, closures. Streets such as calle Ayala, Avenida de Velázquez, Avenida de Europa and Avenida de los Guindos have all experienced such closures.
Despite the low prices of many of the goods, the competition and economic crisis have resulted in lower sales, making it difficult for some to continue in business.
Another factor affecting a number of establishments denuncias for such things as selling alcohol to minors. There were 52 such denuncias in 2012 and 40 in the first ten months of 2013. The denuncias have led to shops being temporarily closed, up to three months in some cases, and the owners have struggled to pay the rent on their premises.
However, many traders whose businesses fail apparently take a more pragmatic approach. If one business fails, try again in another area or with a different type of business.