IDEAS home Printed from https://ideas.repec.org/a/taf/wjabxx/v24y2023i2p167-187.html
   My bibliography  Save this article

An Integrative Framework for Formal and Informal Entrepreneurship Research in Africa

Author

Listed:
  • Richard Adu-Gyamfi
  • John Kuada
  • Simplice A. Asongu

Abstract

It is a well-established practice of many Sub-Saharan African (SSA) governments to aid entrepreneurs within both the formal and informal sectors to enhance their performance and growth. Unfortunately, there is no agreed method by which governments can differentiate between entrepreneurs and target them with the appropriate promotion policies. Thus, despite the good intentions, entrepreneurship policy initiatives have been incorrectly targeted, poorly implemented, and without the desired results, since different entrepreneurs may require different forms of assistance. Some scholars have suggested that without a context-specific classificatory guide, policymakers are unlikely to be accurate in their assessment of the growth capabilities of prospective candidates for specific promotion initiatives and this can explain some of the policy failures. This observation has motivated the present paper. Our objective is to provide a framework that helps identify the different contextual dimensions influencing formal and informal enterprise creation processes in SSA.

Suggested Citation

  • Richard Adu-Gyamfi & John Kuada & Simplice A. Asongu, 2023. "An Integrative Framework for Formal and Informal Entrepreneurship Research in Africa," Journal of African Business, Taylor & Francis Journals, vol. 24(2), pages 167-187, April.
  • Handle: RePEc:taf:wjabxx:v:24:y:2023:i:2:p:167-187
    DOI: 10.1080/15228916.2022.2042102
    as

    Download full text from publisher

    File URL: http://hdl.handle.net/10.1080/15228916.2022.2042102
    Download Restriction: Access to full text is restricted to subscribers.

    File URL: https://libkey.io/10.1080/15228916.2022.2042102?utm_source=ideas
    LibKey link: if access is restricted and if your library uses this service, LibKey will redirect you to where you can use your library subscription to access this item
    ---><---

    As the access to this document is restricted, you may want to look for a different version below or search for a different version of it.

    Other versions of this item:

    References listed on IDEAS

    as
    1. Simplice A. Asongu & Nicholas M. Odhiambo, 2019. "Challenges of Doing Business in Africa: A Systematic Review," Journal of African Business, Taylor & Francis Journals, vol. 20(2), pages 259-268, April.
    2. Haifeng Qian & Hyejin Jung, 2017. "Solving the knowledge filter puzzle: absorptive capacity, entrepreneurship and regional development," Small Business Economics, Springer, vol. 48(1), pages 99-114, January.
    3. Robert Lawrence Afutu-Kotey & Katherine V. Gough & George Owusu, 2017. "Young Entrepreneurs in the Mobile Telephony Sector in Ghana: From Necessities to Aspirations," Journal of African Business, Taylor & Francis Journals, vol. 18(4), pages 476-491, October.
    4. Thurik, A. Roy & Carree, Martin A. & van Stel, André & Audretsch, David B., 2008. "Does self-employment reduce unemployment?," Journal of Business Venturing, Elsevier, vol. 23(6), pages 673-686, November.
    5. Vanessa Simen Tchamyou, 2017. "The Role of Knowledge Economy in African Business," Journal of the Knowledge Economy, Springer;Portland International Center for Management of Engineering and Technology (PICMET), vol. 8(4), pages 1189-1228, December.
    6. Françoise Okah-Efogo & Gaëlle Tatiana Timba, 2015. "Female entrepreneurship and growth in Cameroon," African Journal of Economic and Management Studies, Emerald Group Publishing Limited, vol. 6(1), pages 107-119, March.
    7. Yonni Angel Cuero Acosta & Richard Adu-Gyamfi & Md. Noor Un Nabi & Utz Dornberger, 2017. "Analysing the Role of Framework Conditions Influencing International Entrepreneurial Opportunity Identification Process," Entrepreneurial Business and Economics Review, Centre for Strategic and International Entrepreneurship at the Cracow University of Economics., vol. 5(3), pages 9-29.
    8. G. M.P. Swann, 2009. "The Economics of Innovation," Books, Edward Elgar Publishing, number 13211.
    9. Simon Pierre Sigué & Altante Désirée Biboum, 2020. "Entrepreneurial Marketing and Social Networking in Small and Medium Service Enterprises: A Case Study into Business Dealings in Cameroon," Journal of African Business, Taylor & Francis Journals, vol. 21(3), pages 338-354, July.
    10. Simplice Asongu, 2013. "How Would Population Growth Affect Investment in the Future? Asymmetric Panel Causality Evidence for Africa," African Development Review, African Development Bank, vol. 25(1), pages 14-29.
    11. Ucbasaran, Deniz & Westhead, Paul & Wright, Mike, 2009. "The extent and nature of opportunity identification by experienced entrepreneurs," Journal of Business Venturing, Elsevier, vol. 24(2), pages 99-115, March.
    12. Junyon Im & Sunny Sun, 2015. "Profits and outreach to the poor: The institutional logics of microfinance institutions," Asia Pacific Journal of Management, Springer, vol. 32(1), pages 95-117, March.
    13. Douglass C. North, 1991. "Institutions," Journal of Economic Perspectives, American Economic Association, vol. 5(1), pages 97-112, Winter.
    14. Flora Wang, 2016. "What are the biggest obstacles to growth of SMEs in developing countries? - A picture emerging from an enterprise survey," Working Papers IES 2016/09, Charles University Prague, Faculty of Social Sciences, Institute of Economic Studies, revised May 2016.
    15. Brixiová, Zuzana & Ncube, Mthuli & Bicaba, Zorobabel, 2015. "Skills and Youth Entrepreneurship in Africa: Analysis with Evidence from Swaziland," World Development, Elsevier, vol. 67(C), pages 11-26.
    16. Yao Wang, 2016. "What are the biggest obstacles to growth of SMEs in developing countries? – An empirical evidence from an enterprise survey," Borsa Istanbul Review, Research and Business Development Department, Borsa Istanbul, vol. 16(3), pages 167-176, September.
    17. Michael Sheriff & Moreno Muffatto, 2015. "The present state of entrepreneurship ecosystems in selected countries in Africa," African Journal of Economic and Management Studies, Emerald Group Publishing Limited, vol. 6(1), pages 17-54, March.
    18. Erik Stam & Andrew Ven, 2021. "Entrepreneurial ecosystem elements," Small Business Economics, Springer, vol. 56(2), pages 809-832, February.
    19. Friederike Welter, 2011. "Contextualizing Entrepreneurship—Conceptual Challenges and Ways Forward," Entrepreneurship Theory and Practice, , vol. 35(1), pages 165-184, January.
    20. Miguel Rivera-Santos & Diane Holt & David Littlewood & Ans Kolk, 2015. "Social Entrepreneurship in Sub-Saharan Africa," Post-Print hal-02311966, HAL.
    21. Klarita Gërxhani, 2004. "The Informal Sector in Developed and Less Developed Countries: A Literature Survey," Public Choice, Springer, vol. 120(3_4), pages 267-300, September.
    22. Marcel Fafchamps & Forhad Shilpi, 2003. "The spatial division of labour in Nepal," Journal of Development Studies, Taylor & Francis Journals, vol. 39(6), pages 23-66.
    23. Gerard George & Rekha Rao-Nicholson & Christopher Corbishley & Rahul Bansal, 2015. "Institutional entrepreneurship, governance, and poverty: Insights from emergency medical response servicesin India," Asia Pacific Journal of Management, Springer, vol. 32(1), pages 39-65, March.
    24. Delmar, Frederic & Shane, Scott, 2004. "Legitimating first: organizing activities and the survival of new ventures," Journal of Business Venturing, Elsevier, vol. 19(3), pages 385-410, May.
    25. Steven Si & Xuebao Yu & Aiqi Wu & Shouming Chen & Song Chen & Yiyi Su, 2015. "Entrepreneurship and poverty reduction: A case study of Yiwu, China," Asia Pacific Journal of Management, Springer, vol. 32(1), pages 119-143, March.
    26. Gartner, William B. & Mitchell, Terence R. & Vesper, Karl H., 1989. "A taxonomy of new business ventures," Journal of Business Venturing, Elsevier, vol. 4(3), pages 169-186, May.
    27. Françoise Okah-Efogo & Gaëlle Tatiana Timba, 2015. "Female entrepreneurship and growth in Cameroon," African Journal of Economic and Management Studies, Emerald Group Publishing Limited, vol. 6(1), pages 107-119, March.
    28. Mccormick, Dorothy, 1999. "African Enterprise Clusters and Industrialization: Theory and Reality," World Development, Elsevier, vol. 27(9), pages 1531-1551, September.
    29. Paul Robson & Helen Haugh & Bernard Obeng, 2009. "Entrepreneurship and innovation in Ghana: enterprising Africa," Small Business Economics, Springer, vol. 32(3), pages 331-350, March.
    30. Chris Steyaert & Jerome Katz, 2004. "Reclaiming the space of entrepreneurship in society: geographical, discursive and social dimensions," Entrepreneurship & Regional Development, Taylor & Francis Journals, vol. 16(3), pages 179-196, May.
    31. Colin C. Williams & Youssef Youssef, 2015. "Theorising Entrepreneurship in the Informal Sector in Urban Brazil: A Product of Exit or Exclusion?," Journal of Entrepreneurship and Innovation in Emerging Economies, Entrepreneurship Development Institute of India, vol. 24(2), pages 148-168, September.
    32. ., 2006. "Lowering the learning in economics, 1950-2000," Chapters, in: Economics Confronts the Economy, chapter 3, pages 84-122, Edward Elgar Publishing.
    33. Joshua Abor, 2007. "Debt policy and performance of SMEs: Evidence from Ghanaian and South African firms," Journal of Risk Finance, Emerald Group Publishing, vol. 8(4), pages 364-379, August.
    34. Miguel Rivera-Santos & Diane Holt & David Littlewood & Ans Kolk, 2015. "Social Entrepreneurship in Sub-Saharan Africa," Post-Print hal-02276715, HAL.
    35. Gollin, Douglas, 2008. "Nobody's business but my own: Self-employment and small enterprise in economic development," Journal of Monetary Economics, Elsevier, vol. 55(2), pages 219-233, March.
    36. Farzana Chowdhury & David B. Audretsch & Maksim Belitski, 2019. "Institutions and Entrepreneurship Quality," Entrepreneurship Theory and Practice, , vol. 43(1), pages 51-81, January.
    37. Sharon Alvarez & Jay Barney & Arielle Newman, 2015. "The poverty problem and the industrialization solution," Asia Pacific Journal of Management, Springer, vol. 32(1), pages 23-37, March.
    38. Pekka Stenholm & Zoltán J. Ács & Robert Wuebker, 2015. "Exploring country-level institutional arrangements on the rate and type of entrepreneurial activity," Chapters, in: Global Entrepreneurship, Institutions and Incentives, chapter 20, pages 387-404, Edward Elgar Publishing.
    39. Eghosa Igudia & Rob Ackrill & Simeon Coleman & Carlyn Dobson, 2016. "Determinants of the informal economy of an emerging economy: a multiple indicator, multiple causes approach," International Journal of Entrepreneurship and Small Business, Inderscience Enterprises Ltd, vol. 28(2/3), pages 154-177.
    40. Michael W. Hansen & Thilde Langevang & Lettice Rutashobya & Goodluck Urassa, 2018. "Coping with the African Business Environment: Enterprise Strategy in Response to Institutional Uncertainty in Tanzania," Journal of African Business, Taylor & Francis Journals, vol. 19(1), pages 1-26, January.
    41. Bengt-Åke Lundvall, 2006. "Knowledge Management in the Learning Economy," DRUID Working Papers 06-06, DRUID, Copenhagen Business School, Department of Industrial Economics and Strategy/Aalborg University, Department of Business Studies.
    42. Michael Sheriff & Moreno Muffatto, 2015. "The present state of entrepreneurship ecosystems in selected countries in Africa," African Journal of Economic and Management Studies, Emerald Group Publishing Limited, vol. 6(1), pages 17-54, March.
    43. Klapper, Leora & Delgado, Juan Manuel Quesada, 2009. "The impact of the business environment on the business creation process," Policy Research Working Paper Series 4937, The World Bank.
    44. McCormick, Dorothy & Kinyanjui, Mary Njeri & Ongile, Grace, 1997. "Growth and barriers to growth among Nairobi's small and medium-sized garment producers," World Development, Elsevier, vol. 25(7), pages 1095-1110, July.
    45. Sexton, Donald L. & Bowman, Nancy, 1985. "The entrepreneur: A capable executive and more," Journal of Business Venturing, Elsevier, vol. 1(1), pages 129-140.
    46. Garry Bruton & David Ahlstrom & Steven Si, 2015. "Entrepreneurship, poverty, and Asia: Moving beyond subsistence entrepreneurship," Asia Pacific Journal of Management, Springer, vol. 32(1), pages 1-22, March.
    47. Richard P. Rumelt, 1991. "How much does industry matter?," Strategic Management Journal, Wiley Blackwell, vol. 12(3), pages 167-185, March.
    Full references (including those not matched with items on IDEAS)

    Citations

    Citations are extracted by the CitEc Project, subscribe to its RSS feed for this item.
    as


    Cited by:

    1. Jean C. Kouam & Simplice A. Asongu & Bin J. Meh & Robert Nantchouang & Fri L. Asanga & Denis Foretia, 2024. "Duration of Support and Financial Health of Business Support Structures in Burkina Faso, Cameroon, and Ghana: A Micro-Econometric Analysis," Journal of African Business, Taylor & Francis Journals, vol. 25(4), pages 728-746, October.
    2. Elouaourti, Zakaria & Ibourk, Aomar, 2024. "Empowering African entrepreneurs: The crucial role of financial inclusion in mediating the relationship between contextual factors and entrepreneurial willingness," Emerging Markets Review, Elsevier, vol. 59(C).

    Most related items

    These are the items that most often cite the same works as this one and are cited by the same works as this one.
    1. Adu-Gyamfi, Richard & Kuada, John & Asongu, Simplice, 2018. "An Integrative Framework for Entrepreneurship Research in Africa," MPRA Paper 89133, University Library of Munich, Germany.
    2. Simplice A. Asongu & Vanessa S. Tchamyou, 2015. "The Impact of Entrepreneurship on Knowledge Economy in Africa," Research Africa Network Working Papers 15/044, Research Africa Network (RAN).
    3. Simplice A. Asongu & Nicholas M. Odhiambo, 2019. "Challenges of Doing Business in Africa: A Systematic Review," Journal of African Business, Taylor & Francis Journals, vol. 20(2), pages 259-268, April.
    4. Nageri Kamaldeen Ibraheem, 2020. "Ease of Doing Business and Capital Market Development in a Demand Following Hypothesis: Evidence from ECOWAS," Studia Universitatis „Vasile Goldis” Arad – Economics Series, Sciendo, vol. 30(4), pages 24-54, December.
    5. Simplice A. Asongu & Uchenna R. Efobi & Belmondo V. Tanankem & Evans S. Osabuohien, 2019. "Globalisation and Female Economic Participation in Sub-Saharan Africa," Working Papers of the African Governance and Development Institute. 19/019, African Governance and Development Institute..
    6. David Bruce Audretsch & Maksim Belitski & Georg Maximilian Eichler & Erich Schwarz, 2024. "Entrepreneurial ecosystems, institutional quality, and the unexpected role of the sustainability orientation of entrepreneurs," Small Business Economics, Springer, vol. 62(2), pages 503-522, February.
    7. Joern H. Block & Christian O. Fisch & Mirjam van Praag, 2017. "The Schumpeterian entrepreneur: a review of the empirical evidence on the antecedents, behaviour and consequences of innovative entrepreneurship," Industry and Innovation, Taylor & Francis Journals, vol. 24(1), pages 61-95, January.
    8. Jie Wu & Steven Si & Zhiyang Liu, 2022. "Entrepreneurship in Asia: Entrepreneurship knowledge when East meets West," Asian Business & Management, Palgrave Macmillan, vol. 21(3), pages 317-342, July.
    9. Asongu, Simplice A. & Nwachukwu, Jacinta C. & Orim, Stella-Maris I., 2018. "Mobile phones, institutional quality and entrepreneurship in Sub-Saharan Africa," Technological Forecasting and Social Change, Elsevier, vol. 131(C), pages 183-203.
    10. Wiprächtiger, David & Narayanamurthy, Gopalakrishnan & Moser, Roger & Sengupta, Tuhin, 2019. "Access-based business model innovation in frontier markets: Case study of shared mobility in Timor-Leste," Technological Forecasting and Social Change, Elsevier, vol. 143(C), pages 224-238.
    11. Audretsch, David Bruce & Belitski, Maksim & Guerrero, Maribel, 2023. "Sustainable orientation management and institutional quality: Looking into European entrepreneurial innovation ecosystems," Technovation, Elsevier, vol. 124(C).
    12. Debmalya Mukherjee & Saumyaranjan Sahoo & Satish Kumar, 2023. "Two Decades of International Business and International Management Scholarship on Africa: A Review and Future Directions," Management International Review, Springer, vol. 63(6), pages 863-909, December.
    13. Anil Nair & Orhun Guldiken & Stav Fainshmidt & Amir Pezeshkan, 2015. "Innovation in India: A review of past research and future directions," Asia Pacific Journal of Management, Springer, vol. 32(4), pages 925-958, December.
    14. Garry Bruton & David Ahlstrom & Steven Si, 2015. "Entrepreneurship, poverty, and Asia: Moving beyond subsistence entrepreneurship," Asia Pacific Journal of Management, Springer, vol. 32(1), pages 1-22, March.
    15. Hans Rawhouser & Silvio Vismara & Nir Kshetri, 2024. "Blockchain and vulnerable entrepreneurial ecosystems," Entrepreneurship & Regional Development, Taylor & Francis Journals, vol. 36(1-2), pages 10-35, January.
    16. Alisa Sydow & Benedetto Lorenzo Cannatelli & Alessandro Giudici & Mario Molteni, 2022. "Entrepreneurial Workaround Practices in Severe Institutional Voids: Evidence From Kenya," Entrepreneurship Theory and Practice, , vol. 46(2), pages 331-367, March.
    17. Simplice A. Asongu & Uchenna R. Efobi & Belmondo V. Tanankem, 2017. "On the Relationship between Globalisation and the Economic Participation of Women in Sub-Saharan Africa," Research Africa Network Working Papers 17/001, Research Africa Network (RAN).
    18. Simplice A. Asongu, 2023. "Mobile Phone Innovation and Doing Business in Sub-Saharan Africa," Journal of Entrepreneurship and Innovation in Emerging Economies, Entrepreneurship Development Institute of India, vol. 9(2), pages 238-269, July.
    19. Rafiou Raphaël Bétila, 2021. "The impact of Ease of Doing Business on economic growth: a dynamic panel analysis for African countries," SN Business & Economics, Springer, vol. 1(10), pages 1-34, October.
    20. Simplice A. Asongu, 2021. "The Effects of Mobile Phone Technology, Knowledge Creation and Diffusion on Inclusive Human Development in Sub-Saharan Africa," Journal of the Knowledge Economy, Springer;Portland International Center for Management of Engineering and Technology (PICMET), vol. 12(3), pages 1367-1398, September.

    More about this item

    JEL classification:

    • O1 - Economic Development, Innovation, Technological Change, and Growth - - Economic Development
    • O55 - Economic Development, Innovation, Technological Change, and Growth - - Economywide Country Studies - - - Africa

    Statistics

    Access and download statistics

    Corrections

    All material on this site has been provided by the respective publishers and authors. You can help correct errors and omissions. When requesting a correction, please mention this item's handle: RePEc:taf:wjabxx:v:24:y:2023:i:2:p:167-187. See general information about how to correct material in RePEc.

    If you have authored this item and are not yet registered with RePEc, we encourage you to do it here. This allows to link your profile to this item. It also allows you to accept potential citations to this item that we are uncertain about.

    If CitEc recognized a bibliographic reference but did not link an item in RePEc to it, you can help with this form .

    If you know of missing items citing this one, you can help us creating those links by adding the relevant references in the same way as above, for each refering item. If you are a registered author of this item, you may also want to check the "citations" tab in your RePEc Author Service profile, as there may be some citations waiting for confirmation.

    For technical questions regarding this item, or to correct its authors, title, abstract, bibliographic or download information, contact: Chris Longhurst (email available below). General contact details of provider: http://www.tandfonline.com/wjab20 .

    Please note that corrections may take a couple of weeks to filter through the various RePEc services.

    IDEAS is a RePEc service. RePEc uses bibliographic data supplied by the respective publishers.