Explaining the off-the-books enterprise culture of Ukraine: reluctant or willing entrepreneurship?. (10th May 2010)

• Record Type: Journal Article
• Authors: Williams, Colin C.; Round, John; Rodgers, Peter
• Is Part Of: International journal of entrepreneurship and small business. Volume 10:Number 2(2010)
• Page Start: 165
• Page End: 180
• Publication Date: 2010-05-10
• Subjects: entrepreneurship -- necessity entrepreneurs -- enterprise culture -- informal economy -- shadow economy -- underground sector -- tax compliance -- Ukraine -- off-the-books -- reluctant entrepreneurs -- public policy; Entrepreneurship -- Periodicals; Small business -- Management -- Periodicals; 658.42105
• Languages: English
• ISSNs: 1476-1297

Abstract

In recent years, there has been a growing realisation that beyond the realm of legitimate entrepreneurship is a large, hidden enterprise culture composed of entrepreneurs conducting some or all of their trade off-the-books. Until now, however, few have evaluated how many entrepreneurs start-up their ventures trading off-the-books and why they do so. Reporting face-to-face interviews conducted in Ukraine during 2005-2006 with 331 entrepreneurs, the finding is not only that the vast majority (90%) operate partially or wholly off-the-books, but also that they are not all driven by necessity, as a last resort and as a survival strategy into entrepreneurship. Revealing how many are willing rather than reluctant entrepreneurs; and that even those who were initially reluctant and ventured into it out of necessity, became more willing entrepreneurs over time as their business became established – the paper concludes by discussing the implications of these findings for both further research and public policy.