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Spatial variations in the character of off-the-books entrepreneurship: lessons from a study of contrasting districts in Moscow

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  • Colin C. Williams
  • John Round

Abstract

Although there is growing recognition that many entrepreneurs start up trading partially or wholly off-the-books, few have evaluated whether the character of this hidden enterprise culture varies spatially. To begin to do so, this paper evaluates whether and how the nature of off-the-books entrepreneurship differs across an affluent, a mixed and a deprived district of Moscow. Drawing upon 313 face-to-face interviews, the finding is that wholly legitimate enterprises represent just the tip of the iceberg in Moscow. Beneath the surface in all the districts is a large hidden enterprise culture. However, off-the-books entrepreneurship in the affluent district is composed more of registered businesses trading partially off-the-books and conducted as a voluntarily chosen spin-off from their formal employment. In the deprived district, meanwhile, it is composed more of unregistered wholly off-the-books businesses and such entrepreneurship is largely a survival tactic and last resort. The paper concludes by discussing the theoretical and policy implications of these findings.

Suggested Citation

  • Colin C. Williams & John Round, 2010. "Spatial variations in the character of off-the-books entrepreneurship: lessons from a study of contrasting districts in Moscow," International Journal of Entrepreneurship and Small Business, Inderscience Enterprises Ltd, vol. 10(2), pages 287-301.
    • Handle: RePEc:ids:ijesbu:v:10:y:2010:i:2:p:287-301
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    Citations

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    Cited by:

    1. Esther Salvi & Frank-Martin Belz & Sophie Bacq, 2023. "Informal Entrepreneurship: An Integrative Review and Future Research Agenda," Entrepreneurship Theory and Practice, , vol. 47(2), pages 265-303, March.
    2. Natividad, Gabriel, 2019. "Base tributaria y discontinuidades geopolíticas [Tax base and geopolitical discontinuities]," MPRA Paper 113169, University Library of Munich, Germany.
    3. Lina Martínez & John Rennie Short, 2022. "The Informal City: Exploring the Variety of the Street Vending Economy," Sustainability, MDPI, vol. 14(12), pages 1-18, June.

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