Institutional Barriers to Small-scale Business Development: A Need for Flexibility in Tanzanian Tax and Regulatory Systems

Estomih J. Nkya
Additional contact information
Estomih J. Nkya: Development Policy at Mzumbe University, Morogoro, Tanzania

Journal of Entrepreneurship and Innovation in Emerging Economies, 2003, vol. 12, issue 1, 43-73

Abstract: An enabling institutional framework for entrepreneurship should reduce transaction costs and create incentives for innovations and long-term business perspectives. In Tanzania, a mismatch is observed between economic policy reforms and restructuring of the institutional framework. The transition from state-centred to market-led development, if not properly managed, provides disincentives. This is particularly true with most of the small-scale entre preneurs. The mismatch between the slowly changing institutional framework and the fast moving economic policy reforms constrains entrepreneurial endeavour and also raises transaction costs. Based on in-depth interviews with fifteen entrepreneurs, a number of prohibitive taxes and regulations had been identified. Main policy recommendations made are a 'one-stop' regis tration system to be established, the taxing system is streamlined, and that net working and resources pooling are facilitated.

Date: 2003
References: Add references at CitEc
Citations: View citations in EconPapers (1)

Downloads: (external link)
https://journals.sagepub.com/doi/10.1177/097135570301200103 (text/html)

Related works:
This item may be available elsewhere in EconPapers: Search for items with the same title.

Export reference: BibTeX RIS (EndNote, ProCite, RefMan) HTML/Text

Persistent link: https://EconPapers.repec.org/RePEc:sae:jouent:v:12:y:2003:i:1:p:43-73

DOI: 10.1177/097135570301200103

Access Statistics for this article

More articles in Journal of Entrepreneurship and Innovation in Emerging Economies from Entrepreneurship Development Institute of India
Bibliographic data for series maintained by SAGE Publications ().