In developing economies, nanostores (i.e., small independent neighbourhood stores) in urban and rural areas face different infrastructural, operational and financial challenges. How can urban nanostores compete with supermarket chains as they enter the market? How can rural nanostores provide more services at affordable prices to sustain their operations? By developing innovative business models enabled by new technologies such as smartphones, mobile payments and solar panels, we show how urban nanostores can increase the capabilities of agility, adaptability and alignment in their supply chain to compete, and how rural nanostores can change their operations to improve accessibility (in terms of products/services) and affordability (in terms of price). In addition, we describe some emerging research opportunities for further consideration.