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To date, limited studies have examined the country-specific social institutions to explain the informal entrepreneurial activities of women, particularly, within the context of the Middle East. This research paper attempts to close this gap through identifying the contextual and personal factors of domestic informal female entrepreneurs (DIFE) within the context of Turkey as a representative case of the Middle East region. The chapter takes national culture as the external context to identify the informal institutions that shape women's informal entrepreneurial activities and uses the Globe Project cultural dimensions to describe the sociocultural context. The qualitative research presented here was conducted with 38 DIFEs who participated in an EU-funded project in Turkey.

The profile of the informal domestic female entrepreneur reflects a middle-aged woman, married with children, literate with a low-level education and a necessity-type entrepreneur at the beginning who gradually evolves into a pull-type sociocultural entrepreneur in time. The findings show that, the perceived sociocultural environment can be categorized as a socially supportive culture – SSC (Hayton and Cacciotti, 2013, p. 713) which is one of the facilitators of informal entrepreneurial activities and creates a fertile and socially legitimized ground for the informal commercial activities of women in Turkey.

Among the various global options for self-employment, venturing into the micro-enterprise sector has been recognized as an important way for employment generation and poverty alleviation in many developing/emerging economies. In this context, women-owned businesses at the grassroots play a vital role in developing countries like India far beyond contributing to job creation and economic growth. The informal sector is a sizeable and expanding feature of the contemporary global economy.

However, the informal economy operates at the cusp of the institutional framework, which makes them susceptible to many risks like lack of formal financing options, legal aid or increasing margin through access to formal markets. Non-Profit Development Agencies (NPDAs) have emerged as a viable and essential middle ground support in promoting women entrepreneurship in their capacity to contribute beyond governmental institutions.

The study adopted an inductive qualitative option through a case study design to explore the approaches adopted by NPDAs in promoting micro-entrepreneurship among women at the base of the pyramid (BoP) in the urban informal sector in India. The findings suggest that the NPDAs created an impact through the services, which translated into monetary earnings for the entrepreneurs. They could make financial contributions to their families, which boosted their self-confidence and overall personality. The findings also indicate positive changes like increased self-confidence, self-dependence, and inner strength as reported by the entrepreneurs.

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.

Informal entrepreneurship is seen as a direct outcome of either the failure of formal institutions or the asymmetry between formal and informal institutions. These two viewpoints are so far debated as alternative theoretical explanations for the prevalence of informal entrepreneurship. In this paper, the authors offer a theoretically integrative approach to further advance the institutional perspective of informal entrepreneurship. The purpose of this paper is to address these issues.

Using face-to-face surveys of 322 street entrepreneurs from Lahore, Pakistan, the authors deploy the hitherto unused partial least square approach (PLS) to structural equation modeling (SEM) to analyze data within the field of informal entrepreneurship.

The empirical findings strongly support the theoretical propositions of the new institutional perspective that the authors present in their paper. The authors find no direct impact of factors like procedural justice, redistributive justice and public sector corruption (i.e. formal institutional failings) on the formalization intentions of street entrepreneurs. Their findings demonstrate that the relationship between formal institutional failings and formalization intentions can only be explained through the mediating role of institutional asymmetry (i.e. tax morality).

From a policy perspective, the authors find that if they can encourage street entrepreneurs to obtain a local-level registration as the first step toward formalization, it will significantly increase their chances to opt for higher national-level registrations.

This paper presents a unique attempt to further understand the context of street entrepreneurship through the theoretical lens of the institutional theory. In doing so, it synthesizes the arguments of existing institutional perspectives and further develops the institutional theory of informal entrepreneurship. Moreover, the paper develops the concept of “formalization intentions”.

The purpose of this paper is to examine the multi-faceted contexts, which influence the motives, decisions and actions that underpin the mundane and lively entrepreneurial practice of migrant youth entrepreneurs (MYEs) within a developing economy context. Moreover, the paper explores the under-researched linkages between migration and informal entrepreneurship.

Inductive, qualitative field data from a migrant destination, the Ashanti Region in Ghana are analysed, comprising 15 interviews with MYEs who hail from 12 communities in the three Northern Regions of Ghana. The authors introduce a narrative-based approach, which has previously been under-employed within empirical studies of informal entrepreneurship.

The findings showcase the complex array of opportunities and challenges, which influence individual decisions to engage in informal entrepreneurship. The findings highlight the importance of not only economic rationales but also non-economic rationales for engaging in informal entrepreneurship. Such rationales emerge from the legitimation of informal practices, the social embeddedness of migrant youth within family and community networks and the precarious nature of informal entrepreneurship.

The fine-grained discussion of the findings contributes explicitly to theory by underscoring the diversity of informal entrepreneurship activities. Theoretically, the article demonstrates the need to look beyond narrow economic explanations for why individuals engage in informal entrepreneurship. Taking a more holistic approach to explaining motivations for engaging in informal entrepreneurship, enables more nuanced understandings of the importance of non-economic rationales for individuals, located in specific contextual settings.

There has been a diverse range of research on the factors enabling informal entrepreneurship as well as the means to avoid or to eradicate its incidence. However, the authors may also identify how a significant proportion of research on this field of study centres around developing economies and correspondingly justifying the application of such analysis to countries with different levels of economic development as is the case of Europe. The purpose of this paper is to depict the ways in which economic and political institutions influence informal entrepreneurship.

To this end, the authors apply aggregate data at the national level collected from different sources, in particular the World Bank, the Organisation for Economic Cooperation and Development, the Global Entrepreneurship Monitor and Freedom House, for the years between 2006 and 2015 and for 23 European countries amounting to a total of 229 observations (unbalanced panel).

Through recourse to econometric estimations, based upon multiple regression model methodologies for panel data, the authors may report that the greater the quality of economic and political institutions, the lower the level of informal entrepreneurship.

The authors thus seek to contribute towards a better understanding of the influence of institutions and the policies that may feasibly influence informal entrepreneurship.

International development organizations promote access to resources through self-employment as one of the main strategies to achieve women's empowerment. However, many self-employees are more similar to informal workers than to successful entrepreneurs affecting women's control over resources and their empowerment process. This article analyzes the relationship between informal entrepreneurship and female empowerment in the context of an emerging economy.

The authors surveyed a sample of 295 female street vendors in Bogotá – Colombia. Contingency and correlational analysis is performed.

Evidence is found about the expansion of women's capacity to make decisions about resource allocation and time managing because of informal entrepreneurship. Nevertheless, these decisions are not strategic nor given in a context with several options. Several structural constraints to the exercise of agency limit empowerment to an individual process dependent on circumstances instead of a collective process resulting in changes in women's social conditions.

This research allows for a better understanding of the potentialities and opportunities these entrepreneurships offer to women and what strategies could be implemented to take advantage of them.

Despite their characteristics, informal entrepreneurship has potentialities to improve female empowerment especially when factors beyond economic rationality, such as personal, familial and sociocultural, are considered.

The authors discuss the category of informal entrepreneurship in emerging economies and evaluate the success of this type of entrepreneurship with a gender point of view by incorporating empowerment as measure.

Although there is emerging an understanding that many entrepreneurs conduct some or all of their transactions off‐the‐books, there has so far been little attempt to consider what can and should be done about entrepreneurship in the informal economy. The purpose of this paper is to bridge this gap.

Following a review of what is known about the prevalence and nature of informal entrepreneurship, this paper evaluates what can and should be done about informal entrepreneurs by analyzing the various policy options and their implications.

Evaluating the possible policy approaches of doing nothing, eradication, de‐regulation and facilitating formalisation, the finding is that doing nothing leaves intact the existing negative impacts on formal and informal businesses, customers and governments, whilst eradicating informal entrepreneurship results in governments stamping out precisely the entrepreneurship and enterprise culture that they wish to nurture, and de‐regulation results in a levelling down rather than up of working conditions. Only facilitating the formalisation of informal entrepreneurship is found to be a viable policy approach. How this might be achieved is then considered.

More research is required on the hurdles informal entrepreneurs witness when seeking to legitimize their business ventures in different populations before it can be known whether specific policy measures to facilitate formalisation are appropriate.

This paper evaluates various public policy options for tackling informal entrepreneurship and their impacts.

This is one of the first evaluations of the policy options available for tackling informal entrepreneurship.

Through utilizing social capital as an overarching concept, the purpose of this article is to investigate cross-country rates of business formation in the formal vs informal sectors. Plus, empirically assess the impact of social capital constructs on the national rates of entrepreneurship.

Adopting a regression-oriented methodology, partial least squares (PLS), the study used a sample comprising 50 nations. National rates of registered and nonregistered business creation were utilized as endogenous variables. To determine the indigenous variables, constructs of social capital were measured which is consistent with the World Value Survey (WWS).

The results of this study show that in the formal and the informal sectors, social networking enables business creation with varying levels of impact. It establishes that institutional trust has a negative effect on informal business creation and a positive effect on business registration; interpersonal trust drives entrepreneurship in the informal sector but has less impact on business registration; norms of trustworthiness are related to business registration than informal business creation.

The findings of this research have theoretical and practical implications. They stimulate academic debate on the application of social capital constructs at the national level. The indications that social capital promotes business formation in both the informal and formal sectors can influence entrepreneurship policy development in many countries.

The originality of the results of this study lies in how it conceptualizes social capital as having direct impact on business creation in the informal vs formal sector. Thus, the findings elevated the conceptualization of social capital to the national level thereby enhancing knowledge on the entrepreneurship process as well as developmental economics.

The purpose of this paper is to evaluate critically the competing theories of informal entrepreneurship that variously represent such endeavour as a residue from a previous mode of accumulation (modernisation theory), a direct by‐product of contemporary capitalism and survival strategy for those marginalised from the circuits of the modern economy (structuralism), an endeavour voluntarily pursued due to over‐regulation in the formal economy (neo‐liberalism) or a practice chosen for social, redistributive, political or identity reasons (post‐structuralism).

To evaluate these competing theories, a 2005/2006 survey involving face‐to‐face interviews with 298 informal entrepreneurs in Ukraine is analysed.

Contrary to previous studies which assert that one single theorisation is universally applicable, this study finds that each theory is valid for different types of informal entrepreneurship, and therefore proposes a typology of informal entrepreneurship that joins together the contrasting theorisations in order to achieve a more accurate and finer‐grained explanation of the complex and heterogeneous configuration of informal entrepreneurship in contemporary Ukraine.

This paper reveals the need to move beyond treating the competing explanations as mutually exclusive by outlining a typology that combines the contrasting theorisations in order to more fully understand the heterogeneity of informal entrepreneurship.

By unravelling the heterogeneity of informal entrepreneurship, a more nuanced policy approach is shown to be required which does not seek to simply either eradicate such endeavour, pursue a laissez‐faire approach or harness such entrepreneurship but instead pursues all these approaches to varying extents in relation to different kinds of informal entrepreneur.

This is one of the first papers to identify and empirically evaluate the competing theories of informal entrepreneurship.