An elite minority enjoys the economic benefits of the mainstream financial institutions, law and globalization, while the majority of entrepreneurs are stuck in poverty." He terms them extra-legal. To survive, to protect their assets, and to do as much business as possible, the extra-legal create their own rules.
But because these local arrangements are full of shortcomings and are not easily enforceable, the extra-legal also create their own social, political and economic problems that affect the society at large. It is essential that these issues are given due attention of policy makers to encourage and promote the growth of micro enterprises.