Informality and economic performance: an initial approximation from the perception of businessmen in the Lima region, Peru

Abstract

Introduction/Objective: The informal economy is often presented as a gateway to entrepreneurship, where the only objective for entrepreneurs is to get ahead, bypassing the laws imposed in the country. The purpose of this study was to determine the perception of traders on the relationship between the informality of businesses in the Lima Provinces region and the performance of the Peruvian economy. Methodology: A quantitative study was developed, with a non-experimental, cross-sectional design and correlational scope. A questionnaire was prepared and administered to the owners of 380 informal enterprises located in the Lima Provinces region, with a margin of error of 5 % and a confidence level of 95 %. Results: Using Spearman’s non-parametric Rho statistic, a negative and significant correlation of −0.415 (p < 0.05) was found for the perception of business informality and the economy. Conclusions: It was found that as the perception of traders in the Lima Provinces Region regarding business informality increases, their evaluation of the economy tends to decrease.