Enhancing Productivity in Informal Enterprises: Why a Mindset Shift Matters

Informal enterprises account for a large share of employment and economic activity across the Asia-Pacific region, yet their productivity remains persistently low. This P-Talk by Dr. Martha Alter Chen, Co-founder, Emeritus International Coordinator, and Board Member of WIEGO in the United States, examines a common issue in the way low productivity in the informal economy is addressed: treating informality itself as the main cause and treating formalization and conventional supply-side business support as the primary solutions. Dr. Chen explains why enhancing productivity in informal enterprises requires a different mindset and a reconsideration of conventional productivity concepts and measures.

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