This policy document focuses on examining the institutional logic of entrepreneurial behaviour, particularly in challenging environments. Through qualitative research, it investigates how institutional contexts influence entrepreneurial behaviour and sheds light on how the emergence of indigenous institutional forms, such as trade associations, replace dysfunctional formal institutions. The findings highlight the crucial role of trade associations in enforcing trade agreements when formal institutional arrangements are lacking, thus reducing opportunism and promoting trust among members. The research contributes to policy conversations on informal institutions by shedding light on the neglected issues related to economic-institutional contexts. Its findings provide valuable insights for policymakers seeking to enhance trust and promote trade development in weak institutional contexts.
|Number of pages||6|
|Journal||African Development Policy and Practice Insights|
|Publication status||Published - 12 Apr 2023|