Using survey data and administrative records from franchise stores of a company operating in Guatemala’s food retail sector, we analyze the extortion of low-income microentrepreneurs and the protective impact of security cameras. 

Extortion curtails market entry for businesses, increases exit, and lowers economic competition. Security cameras reduce the exit of women-led enterprises and improve competition. 

This study highlights how private sector-supported security interventions can complement public enforcement efforts, contributing to positive impacts on economic activity.