Table of Contents

Contemporary Microenterprise

Contemporary Microenterprise

Concepts and Cases

Edited by Joseph Mark S. Munoz

While there have been numerous books and articles written on the popular topic of ‘microfinance’, few books have been written on the business model behind it: the ‘microenterprise’. Due to its diversity of thought and high quality of chapter contributions, this book is poised to be the book on ‘microenterprises’. Contemporary Microenterprise is a collage of the latest research and viewpoints on the subject by recognized academics and experts from around the globe.

Chapter 5: Theoretical View on Microenterprise Entrepreneurial Motivators

Scott A. Hipsher

Subjects: business and management, entrepreneurship, international business, development studies, development economics, economics and finance, development economics


Scott A. Hipsher INTRODUCTION The term “microenterprise” includes the words “micro” (very small), and “enterprise”, which refers to an organization created for a business purpose. Therefore the term would seem to be nearly interchangeable with the term “very small company”. The use of this term could lead to a focus on the smallness of a microenterprise while assuming that the enterprise portion of a microenterprise would have the same focus on being an organization and being a business as a larger organization. However, microenterprises are often composed of a single individual or members of a single family and therefore do not have features that are present in an organization. In addition, it is questioned whether owners of microenterprises primarily think they are running businesses, or whether they feel their work is more like a job. Microenterprises in developing economies are normally associated with self-employed individuals and very small firms operating in the informal sector of a nation’s economy. Individuals working in microenterprises in developing economies, whether self-employed, contributing family members, or as paid employees, rarely have the protections that workers in the formal economy receive, such as a mandatory minimum wage, health benefits, or any form of severance payment upon being released from employment (Charmes, 2009). While business education and the media almost exclusively concentrate on the formal sector of the global economy, the reality is that “most of the world’s workers are informally employed” (Jutting and de Laiglesia, 2009, 18). In the average country, approximately 55 percent of all...

You are not authenticated to view the full text of this chapter or article.

Elgaronline requires a subscription or purchase to access the full text of books or journals. Please login through your library system or with your personal username and password on the homepage.

Non-subscribers can freely search the site, view abstracts/ extracts and download selected front matter and introductory chapters for personal use.

Your library may not have purchased all subject areas. If you are authenticated and think you should have access to this title, please contact your librarian.

Further information