How to start African Informal entrepreneurial revolution?

Abstract

The achievement of business sustainability is dependent on the interacting components of the entrepreneurship ecosystem (EE) and institutions that support or challenge the business environment. Given the importance of the informal economy in developing economies, we need to rethink how to start an informal entrepreneurial revolution. This article examines the nexus of the informal entrepreneurial ecosystem, from the perspective of ecological resilience. Specifically, the article analyzes the significant differences between the formal sector, the informal sector, frugal innovations, and the supportive ecosystem resilience that produces unparalleled enthusiasm. Conceptually, this article developed propositions and a model of Productive and Unproductive EE explaining the business environment and the interacting predictors from the African regional context. Arguably, as entrepreneurial education and skills increases, there is more likelihood of the creation of formal ventures and growth-oriented micro, small and medium enterprises (MSMEs). These have implications for economic growth and -in the case of African economies -moving the informal to formal economy.

Models and Enlightenment: Innovation and Entrepreneurship Education Ecology—A Case of SEGi University Malaysia

“…The construction of an entrepreneurial ecosystem requires multifaceted support, including market, policies, funding, talent, culture, and professional support, etc. The great success of Silicon Valley is due to these six "golden rules" [4]. With the increasing maturity of business ecosystem research, there has been substantial progress in related studies.…”

The institutional impact on the digital platform ecosystem and innovation

“…Recent studies have applied ecosystem resilience to explain environmental factors that support or hinder entrepreneurship growth (Igwe and Ochinanwata, 2021;Roundy, 2017). Ecosystem resilience explains the ability of the EE to respond to innovations and disruptions that mean that the situation is changing, adapting and evolving over time (Igwe and Ochinanwata, 2021). To be resilient, the EE coordinates and exploits open innovation and external institutions, that are often complementary and interdependent (Adner et al, 2013;Thomas et al, 2014).…”

“…Some of the interacting components and actors of the EE and institutions are Policy, Finance, Culture, Supports, Human Capital and Markets (Isenberg, 2010). These factors determine the business environment of any territory and become important sources of innovation (Igwe and Ochinanwata, 2021). Social science scholars developed institutional theory in the late 1970s and early 80s (DiMaggio and Powell, 1983).…”

“…Kerimi (2021) defined EE as a territorial area/space that includes a variety of institutional and individual actors, that fosters and supports an entrepreneurial spirit, innovation and entrepreneurship in a coordinated manner. Recent studies have applied ecosystem resilience to explain environmental factors that support or hinder entrepreneurship growth (Igwe and Ochinanwata, 2021; Roundy, 2017). Ecosystem resilience explains the ability of the EE to respond to innovations and disruptions that mean that the situation is changing, adapting and evolving over time (Igwe and Ochinanwata, 2021).…”