Informal entrepreneurship is an important contributing factor to poverty alleviation in adverse contexts, such as developing countries. Although the importance of informal entrepreneurial activities in resource-poor regions, such as slums, has been widely acknowledged, the scientific understanding of it is limited due to difficulties reliably measuring and verifying informal entrepreneurial activities. In this research project, we create a reliable measure of informal economic activity and examine how informal entrepreneurship is influenced by formal institutions in the context of slums. By understanding how different formal institutions support or hinder informal entrepreneurship, this project contributes to the understanding on how to improve the context for entrepreneurship in developing countries. The results will serve as the basis for improved public policy strategies geared towards the alleviation of extreme poverty.
Researcher(s) from our Institute involved