Chapter 16: A Vision of 100 Rural Shops
Chanda's success with the upgraded rural shops fueled his ambition to expand further. He had proven that modernized, community-focused stores could thrive in rural Zambia, meeting the needs of underserved populations while generating significant profits.
Now, at 22, Chanda set his sights on an audacious goal: opening 100 rural shops across all 10 provinces of Zambia. This would cement his dominance in the rural market and bring essential goods and services to even the remotest areas.
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The Expansion Plan
Expanding to 100 shops was a massive undertaking that required meticulous planning. At a meeting with his management team at the Lusaka headquarters, Chanda outlined his strategy:
1. Strategic Locations
Chanda identified key towns and villages for the new shops based on:
Population density.
Proximity to farming communities.
Accessibility via main roads.
Each province was allocated 10 shops, ensuring a balanced distribution.
2. Standardized Design
To save costs and maintain consistency, all new shops followed a standardized design:
A brick-and-mortar structure with a sales area, storage room, and small office.
Solar-powered lights and fans.
Shelving for food staples, school supplies, and agricultural products.
3. Initial Investment Per Shop
Chanda estimated that each shop would require 50,000 ZMW to set up, including construction, inventory, and training. The total cost for 100 shops would be 5 million ZMW.
4. Funding the Expansion
Chanda planned to fund the expansion through:
Personal Savings: He allocated 2 million ZMW from his savings.
Bank Loan: He secured a 3 million ZMW loan from Chilimba Microfinance.
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Building the Shops
The construction phase was rolled out in batches of 20 shops at a time, ensuring quality and efficient management. Chanda hired regional contractors for construction, prioritizing local labor to support the communities.
Each batch took approximately four months to complete, with the first 20 shops opening in Southern Province and Eastern Province.
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Hiring and Training
Chanda knew that managing 100 shops required a robust team. He hired over 300 employees to work across the new locations, including shop managers, cashiers, and assistants.
To ensure consistency, he implemented:
Centralized Training: Employees were trained at regional hubs on inventory management, customer service, and basic knowledge of agricultural products.
Performance Metrics: Monthly targets and bonus incentives encouraged staff to excel.
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Grand Openings
Chanda organized grand opening events for each new shop, complete with music, refreshments, and special discounts. Community leaders were invited to cut the ribbon, fostering goodwill and local pride.
One shop in Kalomo, Southern Province, drew a crowd of over 500 people on its first day, generating 8,000 ZMW in sales.
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Challenges Along the Way
Despite the excitement, Chanda faced significant challenges during the expansion:
1. Logistics:
Delivering inventory to remote areas was expensive and time-consuming.
Solution: Chanda invested in three new delivery trucks, costing 1.2 million ZMW, to ensure timely deliveries.
2. Staff Turnover:
Some employees left due to the demands of working in rural areas.
Solution: Chanda introduced housing allowances and bonuses to retain staff.
3. Unreliable Roads:
Heavy rains damaged access roads to some shops, delaying supplies.
Solution: Chanda partnered with local governments to co-fund road repairs.
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Results After One Year
By the end of the first year, Chanda had opened 70 rural shops, covering seven provinces:
Southern Province: 10 shops.
Eastern Province: 10 shops.
Central Province: 10 shops.
Northern Province: 10 shops.
Copperbelt Province: 10 shops.
Western Province: 10 shops.
Luapula Province: 10 shops.
Financial Metrics:
Average Revenue Per Shop: 12,000 ZMW/month.
Total Monthly Revenue (70 Shops): 840,000 ZMW.
Net Monthly Profit: 300,000 ZMW.
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Completing the Vision
With 30 more shops to go, Chanda's focus turned to the remaining provinces: Muchinga, North-Western, and Lusaka Rural. These areas presented unique challenges, such as smaller populations and greater distances between communities.
To adapt, Chanda introduced smaller, kiosk-style shops in sparsely populated areas. These cost only 30,000 ZMW to set up and catered to specific needs, such as fertilizers and tools for farmers.
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Empowering Communities
Chanda's shops weren't just businesses—they became vital parts of their communities. Each shop:
Created 3–5 jobs for locals.
Provided affordable access to goods previously available only in distant towns.
Hosted monthly farmer workshops, offering free advice on crop management and pest control.
In one village in Mpika, farmers praised Chanda for reducing their travel time to buy seeds and tools.
"Before, we had to travel 50 kilometers to the nearest town," said one farmer. "Now everything we need is right here."
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Reflecting on Success
On the day Chanda's 100th shop opened in Solwezi, North-Western Province, he traveled there with Ruth and his team. Standing outside the shop, surrounded by community members celebrating the milestone, Chanda felt a deep sense of pride.
"Every one of these shops is more than a building," he said during the opening ceremony. "They're a promise that no matter where you live, you deserve access to quality goods and opportunities."
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Financial Overview of the 100 Shops
Metrics (First Year After Completion):
Average Monthly Revenue Per Shop: 12,500 ZMW.
Total Monthly Revenue (100 Shops): 1.25 million ZMW.
Net Monthly Profit: 450,000 ZMW.
Chanda's rural empire had become a cornerstone of his business, generating consistent income while uplifting communities across Zambia.
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Looking Ahead
With his vision of 100 rural shops realized, Chanda began exploring new ways to grow his business:
1. Microfinance Services: Offering small loans to farmers through his shops.
2. Wholesale Distribution: Supplying goods to smaller vendors in neighboring countries like Malawi and Zimbabwe.
3. Tech Integration: Using mobile apps to streamline inventory management and customer orders.
As Chanda sat in his Lusaka headquarters, reviewing plans for the future, Ruth placed a hand on his shoulder.
"You've changed the lives of thousands," she said. "What's next for the boy from Kaoma?"
Chanda smiled. "Next? We're going regional. Zambia is just the beginning."
The boy who once sold mangoes in a dusty market had become one of Zambia's most influential entrepreneurs—and his journey was far from over.