Informal Investment for Entrepreneurs in Latin America and the Caribbean: Availability and Contribution

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Author(s): Alicia Coduras (Global Entrepreneurship Association (GERA), Spain)and Ignacio De la Vega (Mohammad Bin Salman College of Business and Entrepreneurship, Saudi Arabia & GERA, Spain)
Copyright: 2018
Pages: 19
Source title: Evolving Entrepreneurial Strategies for Self-Sustainability in Vulnerable American Communities
Source Author(s)/Editor(s): Luis Javier Sanchez-Barrios (Universidad del Norte, Colombia)and Liyis Gomez-Nunez (Universidad del Norte, Colombia)
DOI: 10.4018/978-1-5225-2860-9.ch009

Keywords: Business & Management / Business Science Reference / Entrepreneurship / Entrepreneurship & Innovation

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Abstract

The authors provide a broad view of the field of informal investment in the region, emphasizing the importance of separating the contribution of this sector from that provided by other channels of financing of entrepreneurship such as angel investment and venture capital. After framing the issue and reviewing the most relevant academic literature, the authors discuss the existing relationship between the current state of informal investment in the area and the size of the informal sector in economies that constitute the sector. They also show the magnitude of informal investment and its impact on the creation of new business activities, identifying the most salient features of the process, as well as their strong and weak points, and a deep reflection on the elements that would have to work to make progress in the modernization of this sector.

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Informal Investment for Entrepreneurs in Latin America and the Caribbean: Availability and Contribution

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