Search results

Informal entrepreneurship challenges sustainable economic performance and is a barrier to productive entrepreneurship. In this context, the level of development of formal and informal institutions and their impact on informal entrepreneurship is crucial. This chapter examines the informal sector entrepreneurship in Kosovo using institutional theory lenses. Using a survey with 500 owners/managers of private companies, the study finds that the service industry has the highest participation in the informal economy compared to other sectors. On average small firms, compared to larger ones, report a higher percentage of unreported incomes. Our findings also suggest that when informal entrepreneurs perceive penalties for tax avoidance from tax authorities as high, they tend to have higher compliance with reporting their income. In addition, our findings indicate that the higher the vertical (trust in formal institutions) and horizontal distrust (trust in business partners), the higher the involvement in the informal economy. The chapter concludes with some policy implications for tackling the informal economy in Kosovo and similar institutional contexts.

During the COVID-19 pandemic, trust considerations have been amplified to levels not seen in most of our lifetimes. We have been asked to trust: epidemiologists, virologists and immunologists in terms of the nature of COVID-19 transmission and vaccinations; politicians, public health planners and policymakers in terms of the need for various responses such as lockdowns, school closures, border closures and economic recovery plans; media sources in terms of accurately reporting COVID-19 news; and members of our community in terms of doing their best to protect themselves and others from COVID-19 transmission, including mask wearing, hand washing, isolating and social/physical distancing. Within this chapter, we attempt to explore the emotional responses to this complex web of trust considerations from qualitative data in a study we conducted amidst the beginning of the pandemic. We then offer some interpretations about how trust considerations may have been altered as a result of living in and through the pandemic. We suggest that trust can be a primary emotion, or at least function that way during times of crises, and be (reflexively) deployed by citizens to manage emotional repertoires during crisis and to position themselves as responsible neoliberal citizens. We add understanding about the strains in horizontal/interpersonal trust relations during a pandemic – where the virus spreading between people necessitates social and relational distancing measures for containment – and inflames questions about whether or not we can trust each other.

The issue of trust in Industry 4.0 is extremely important from an organization’s perspective. The dynamic development of 4.0 technologies implies wide-ranging changes, which, in order to be implemented effectively, require cooperation based on trust. The purpose of this literature analysis is to identify key research areas regarding trust in Industry 4.0 and to identify further research directions.

Based on a comprehensive literature analysis, the most prominent areas of research on trust issues in Industry 4.0 will be presented (k=36). This chapter will also identify and discuss directions for further research.

The results of the analysis enable to illustrate the trends of science development in the area of Industry 4.0, as well as to identify key issues related to trust. Moreover, the research problems for further studies on the analyzed issue will also be indicated.

The research presented here identifies key Industry 4.0 technologies that are based on trust.

The review provides a valuable resource for practitioners regarding the critical aspects of implementing Industry 4.0 with respect to trust.

This is the first comprehensive literature review diagnosing research areas, technologies, and directions for future research on trust in Industry 4.0.

This chapter examines the role firm specific and institutional variables (such as regulation and trust) in firms’ decision to register their economic activities with authorities. Our empirical analysis is based on a large data set gathered from 40 African countries on more than 11,000 small, medium and large firms via the World Bank Enterprise Survey covering the period 2006–2014. This chapter is aimed at reinforcing the limited but a growing body of literature focussing on determinants of informal entrepreneurship using firm-level databases. The analysis of this study shows in institutional environments where there is trust in public institutions such as courts, firms are less likely to stay unregistered. Concerning firm specific variables young firms are found to be more likely to stay unregistered but there is a non-linear relationship between age and length of years spent unregistered. Firms with exporting strategy and in foreign ownership are less likely to stay longer unregistered. There are significant gains if policy-makers focus on building trust in institutions, fighting corruption, embarking on meaningful enforcement of rule of law principles, providing services without reliance on predatory tax policies, reducing firm transaction costs via improved licensing and technology-assisted registration systems.

In the context of Saudi Arabia, this chapter investigates how clustering promotes knowledge sharing and transfer in an emerging, government-directed industry cluster. It is determined that lateral actors play a key facilitating role, and formal and informal mechanisms and interpersonal links among actors support that cluster knowledge exchange. Limited social capital strength and depth and a lack of trust that prevents knowledge sharing are partially explained by the cluster's limited vertical and horizontal actors.

The chapter evaluates trust-based and emotional intelligence (EI) approaches in Tanzania’s informal sector entrepreneurs, from mali kwa mali (barter trade), mali kauli (trust-based credit) to collective or technology-based upatu (revolving credit). It analyses both vertical and horizontal trust, and the depth of linkage to growth and sustainability of entrepreneurship in the informal sector.

The chapter invokes experiences of informal sector entrepreneurs including itinerant hawkers (machinga), food vendors (mama lishe or mama ntilie) and motorcycle drivers (bodaboda). The unique trust-based approaches mali kwa mali and mali kauli in entrepreneurial undertakings extends from colonial times to post economic liberalisation and contemporary Tanzania. Mali kauli, a creative traditional credit practice, is a unique approach that facilitates and sustains micro-retail sub-sector and livelihoods in urban and rural Tanzania. Although the objective remains business profitability, sustainability of entrepreneurial ventures does not depend on it alone. Trust and EI are well invested in these approaches.

The chapter draws from past work on managing in the informal economy to derive theoretical and practical implications, and how trust and EI plays a role in the Tanzanian informal entrepreneurial circles.

This chapter examines the ‘new lateral surveillance’, spearheaded by government anti-terrorism campaigns urging citizens to report any suspicious people and objects they encounter. Drawing a comparison between this and the community crime prevention (CCP) programmes of past decades, the chapter discusses the likely effectiveness of such campaigns in controlling crime and increasing security, suggests an alternative interpretation and discusses the consequences of the culture of suspicion generated by this form of surveillance. It concludes that the new lateral surveillance is a form of ‘high policing’ that is both political and dangerous in its vulnerability to errors.

This chapter examines factors that maximize collaboration among various stakeholders with the purpose of health policy making in Turkey. The field research reveals that policy networks have been formed in the sub-areas of public health, healthcare construction, and health tourism in the years between 2011 and 2015. Content analysis of 24 semi-structured interviews with policy and professional experts is conducted to assess Network Collaborative Capacity, built upon three dimensions, namely, structural, relational, and institutional. The findings reveal that networks differ in their capacity to collaborate as well as their impact on policy making resulting in three distinct models of network policy making. In the cases under investigation, network impact takes the form of (a) policy innovation through expertise sharing and evidence-based policy making associated with particularly high levels of relational capacity; (b) policy effectiveness through contract enforcement within a clear legal framework associated with particularly high levels of institutional capacity; and (c) policy coherence through organizational-knowledge-sharing and actor coordination. Findings also suggest that institutionalization in the form of network embeddedness in the surrounding political and economic environment is crucial for maintaining a collaborative momentum as well as achieving policy effectiveness at the stage of policy implementation. Based on these findings, further studies should focus on the institutionalization of policy networks, particularly in those middle-income countries such as Turkey that aim and often fail to address various policy challenges through short-lived practices of multi-stakeholder action. Finally, this study emphasizes the importance of incorporating neo-institutional approaches to network analysis.

Purpose — The purpose of this chapter is to assess empirically the levels of trust across the world and to explore possible differences in the levels of trust among different groups of respondents.Design/methodology/approach — We analyze the individual-level data from 81 countries around the world using latest available European Values Study (EVS) and World Values Survey (WVS) datasets (most data refer to the year 2008). Methodologically, we compose three trust indicators using confirmatory factor analysis and then compare the level of trust in different groups. After that we calculate country-level means of trust indicators and use these as inputs in cluster analysis.Findings — The results of our empirical analysis show that the level of trust among supervisors do not differ significantly from the overall level of trust in a society, supporting the hypothesis that honesty and trust tend to be contagious. Still, there are statistically significant differences in trust levels between almost all explored population groups which were composed on the basis of previous theoretical and empirical literature.Limitations — Our analysis covered only selected socio-economic determinants of trust. It would be reasonable to add some contextual or systemic factors at the level of nation (like GDP per capita, quality of formal institutions, society’s polarization, or others) into further analysis.Originality/value — Our analysis distinguishes between three different types of trust which are studied both at individual and national level. Also, differences between age groups and educational groups, men and women, religious and non-religious persons are examined. Finally, we compare the levels of trust of those supervising someone with the average trust levels in the society as a whole.