More residents are enjoying the convenience of using home-run stalls selling simple items, compared to conventional marketplaces that come with restrictions in operating hours, Daily NK has learned. 

“You can sell and buy goods from these residential stalls as long as you have an established level of trust with the owner,” a source based in South Pyongan Province told the Daily NK on Thursday. “More people are converting rooms in their homes and selling goods day and night.” 

This foundation of trust is bolstered by three chief pillars: the customer has evidence of a steady source of revenue, and is neither an undercover official looking to crackdown on the operations, or a swindler hoping to cut and run with the goods. Passing muster can take time and requires a number of others within the right circles for validation.

According to the source, these home-operated stalls started popping up in the 1990s, mostly around schools to sell snacks to students. Starting a few years ago, more people have been converting or extending parts of their homes and selling electronics--namely televisions, refrigerators, and washing machines--and food in bulk. 

Every aspect of operations--from investment to distribution and sales--involving these homes stalls are run by the families inhabiting the premises, which enables the unit to function like a well-oiled company, with workers picking up shifts around the clock. “Even if you don’t have much in terms of assets, as long as you open shop at home, you can secure products to sell on credit from wholesalers and put things on tabs for people as well. For this reason these places are referred to as ‘credit stalls,'" the source explained, adding that the system is as beneficial to customers as it is to owners.

In contrast to the markets, one of the greatest merits of these stalls is the freedom they offer to dodge curfews enforced during farming mobilization, where vendors see their retail time curtailed to a few hours a day-- if any. Even better is the fact that these home stalls, not yet on the radar for crackdowns, easily evade surveillance. “There’s no fee for the stall like at markets, and vendors don’t need to leave products with security at the market or bring them home, so all in all it’s very convenient,” she asserted. 

In North Korea, official market operations typically involve a stand approximately 50-60cm in width, procured by vendors by paying a fee to the management office. The street stalls are larger, about 1.5-2m wide, and owners contribute 10 percent of their sales to the city or county service management office in order to sell there. State-run shops are assigned to individuals who pay rent to conduct wholesale or retail operations. 

Conveniently located on the main roads leading to the markets, these home shops see increasingly more business for those looking for an alternative. “Home stalls are right where people live, so word of mouth travels and people in the neighborhood are able to go buy things they need regardless of what time it is,” the source said, adding that sellers even offer delivery services for big purchases.

These residential shops also offer a safer option for those looking to keep their affluence under wraps. “For Party cadres and the donju [new affluent middle class] who have accumulated assets illegally, their amount of spending is more or less exposed if they buy products at the market and at general shops. But with home-run stalls that’s not the case, so they don’t have to worry,” the source said.

As with all things, this new convenience comes with drawbacks. Offering one such caveat in this case, she pointed out, “You may be able to put things on a tab, but you can’t haggle.”