Here's How Argentine Businesses Are Being Affected by the Shaky Economy

The Argentine pesos' value is at its worst. It's been that way since the primary 2019 elections in August. But how has the massive devaluation of the Argentine peso in recent weeks affected the Argentine people?

I wondered if restaurants, supermarkets and shopping centers would start losing customers now that everyone was trying to save every cent they had. So over the past couple of weeks, I've been going out and taking photos to see if customer foot traffic had dwindled and I was really surprised.

Supermarkets in Cordoba Province, like Hiper Libertad are usually packed, which makes waiting in line a total nightmare. Not to mention the fact that the people in the aisle can be rude at times. Some people push, shove, or invade personal spaces. That's pretty much the norm around here. But recently, I've noticed that the checkout counters aren't quite as congested as they used to be.

So I went to a local Walmart to see if they had more foot traffic than local markets. But they didn't and that's not exactly shocking. Walmart supermarkets in the States are always promoting their lowest prices, but it's the total opposite in Argentina. The might claim they've rolled back prices. But a lot of the time, the cost of their items remains the same or is higher than local Argentine supermarkets. So it's not much of a surprise that people appear to have opted to shop for food at mom and pop shops near their neighborhood. Leaving this Walmart in Cordoba practically deserted.

But at malls like Nuevo Centro Shopping, things appear to be business as usual. Families continue to sit at fast food restaurants. They still go to the theater, and they shop, window shop, or take a seat to enjoy a cup of coffee.

The lines outside Hoyts in Nuevo Centro Shopping

The Burger King dining area was a little emptier than usual

Now, I'm not a big fan of crowds, which is why I avoid the downtown area or Nuevo Cordoba. But over the past few weeks, it's been pretty quiet in a lot of areas.

But that doesn't mean that there aren't times when business and foot traffic won't peak. These are just my observations of the days I've gone. And as I've said before; in the last seven years, I've observed that locals are extremely resilient. So despite the rising costs of food, medication, and pretty much everything else, I'm reasonably confident that they'll prevail.

Speaking of rising costs, I'll be publishing a list of updated comparison pricing of select supermarket items very soon. So stay tuned.