MICROENTERPRISE MARKET ENTRY AND ITS RELATIONSHIP WITH THE LIFE EXPECTANCY OF INFORMAL MICROENTERPRISES IN MEXICO, LA ENTRADA AL MERCADO DE LAS MICROEMPRESAS INFORMALES EN MEXICO Y LA RELACION CON SU EXPECTATIVA DE VIDA

Jose G. Aguilar Barcelo, Natanael Ramirez Angulo and Carlos Hernandez Campos

Revista Internacional Administracion & Finanzas, 2011, vol. 4, issue 4, 1-14

Abstract: Using data from the National Survey of Micro Businesses and the National Survey of Urban Employment (Mexico), we determined the motivations for starting a business and the life expectancy of informal micro entrepreneurs for the period 1994-2008. The results demonstrated greater growth in the informal microenterprise sector and a longer life expectancy. The results also show a tendency by entrepreneurs to select an informal business model as a profitable way of doing business. As per market entry, established small businesses enter a new market voluntarily while self-employed microenterprises enter a new market involuntarily.

Keywords: parallel economy; informal microenterprise; entrepreneurship motivation; life expectancy at birth; Weibull distribution (search for similar items in EconPapers)
JEL-codes: D22 E26 J11 J21 (search for similar items in EconPapers)
Date: 2011
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