Why do household businesses in Vietnam stay informal?

Tran, Thi Bich Ngoc; La, Hai Anh

doi:10.35188/unu-wider/2018/506-0

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2022

2024

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Cited by 2 publications

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“…It may employ no more than ten people, like any household business that regularly employs more than ten people must register as an enterprise. A household business is typically a small business; it is frequently informal and employs only the owner (Tran Thi Bich and Hai Anh La, 2018). Vietnam’s General Statistics Office defines the informal sector as private unincorporated enterprises that produce at least some of their goods and services for sale or barter, are not registered (e.g.…”

Section: Literature Review and Hypothesis Developmentmentioning

confidence: 99%

Entry, speed and degree of formality for household businesses: an integrated approach

Luu

2022

JEEE

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Purpose This paper aims to examine the factors associated with a household business entrepreneur’s decisions to formalise the firm at a multidimensions level. Design/methodology/approach The data set is a panel of 2,336 SMEs and household businesses from Vietnamese SME surveys during the 2005–2015 period. Findings This study elucidates how firm-level resources, entrepreneur characteristics and costs of doing business influence an entrepreneur’s decision to enter, the speed and the degree of formality. Originality/value This study provides insight into the origins of an entrepreneur’s decisions to the multidimensions of business formality through the lenses of the resource-based view, entrepreneurship and institution theories.

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Section: Literature Review and Hypothesis Developmentmentioning

confidence: 99%