ABSTRACT

This chapter defines informal entrepreneurial activity and informal entrepreneurship, and its specifics under the systemic 'transition'. It develops taxonomy of Russian entrepreneurs, based on their motivation to do business and on the scale of informal activities. When discussing the motivations of entrepreneurs to fall into the informal economy, some researchers show scepticism regarding the dichotomy of necessity- versus opportunity-driven motivations. Within author's typology, entrepreneurs fall into four different categories: 'stars', 'cynics', 'marginals' and 'simpletons', reflecting the combination of their motivation and level of informality. There are only a few explorations of the relationship between motivation, individuals' career trajectories and the wider social context within the life course of entrepreneurs, one being Jayawarna et al. The chapter describes the data and the method of the longitudinal survey conducted by the author in Moscow in 2013–2015. In Moscow, there are about 10% of entrepreneurs working legally. It also provides evidence and political recommendations.