The informal economy remains understudied and a misunderstood phenomenon. This dissertation examines entrepreneurship in the informal economy by drawing upon a variety of theories in management research to examine antecedents that may explain and predict the entrepreneur’s likelihood of transitioning out of the informal economy. Using data from a unique government survey of an urban slum in Rio de Janeiro, Brazil, empirical findings suggest that examining micro- and firm-level differences between entrepreneurs may inform the field's traditional macro-level theorizing on the informal economy. Implications for policymakers and management research along with potential avenues for future research are discussed.
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Entrepreneurship in the informal economy: evidence from informal institutional environments