SERVICES

COMMERCE

Commerce is one of Andorra’s main tourist attractions, with prices being generally lower than in the neighbouring countries and there a very wide selection of goods on offer. This commerce represents a very relevant part of the Principality’s economy. Indeed, the commercial sector accounts for 19.2% of services companies in Andorra and 33.3% of workers in the country’s tertiary sector.

Commercial activity is marked by Andorra’s relatively low industrial output, which implies a strong dependence on other countries. The wholesale business imports large volumes of goods, which are distributed by wholesalers (on many occasions the importers themselves) to the retail outlets.

Andorra distinguishes between three types of shops in its official classification: the most important of these is retail trading, excluding the sale of motor vehicles, and retail trade accounts for 66.3% of all workers in the sector with the offer of personal articles and accessories (jewellery, perfumery, clothing, etc.), household goods, electronics and machinery standing out especially within this area. Wholesale trading and commercial intermediaries come next, accounting for 21.4% of employees, and finally, we have the sale, maintenance and repair of motor vehicles, which employ the remaining 12.4%.

As far as the number of wage and salary earners goes, there is a predominance of small companies. Indeed, 71.3% of all stores have 5 workers or less and only 5.2% have a staff of more than 25 employees. Nevertheless, the average size is 7.8 workers per company, higher than the average for the services sector and for the economy taken as a whole.