Choosing the degree of formalisation of activities: deciding with stakeholders

The main objective of this research is to articulate how the informal entrepreneur decides on the degree of formalisation of his activities. Indeed, it would be naïve to believe that the proliferation of the informal is solely due to the discretion entrepreneurs. The study uses qualitative approach, mainly case studies analysis to retrace the choices of activity development trajectories of entrepreneurs. Exploratory results of life-story with 12 entrepreneurs in Cameroon suggest that some stakeholders play a central role in the choice of the degree of formalisation of activities. These are the partners involved in commercial relations (strategic or tactical) with entrepreneurs such, bankers, advisory and support organisations (accountants and tax consultants), and civil servants in charge of control and State legislators. The public authorities must, therefore, consider cooperating with these actors to develop effective political solutions to support the formalisation of entrepreneurial activities.