Kenya’s Informal Economy
摘要
This chapter sets the background for studying Kenya’s informal economy through an analysis of the small, medium, and micro enterprises, focusing on Jua Kali artisans in Nairobi City County, Kenya. Jua Kali has contributed substantially to Kenya’s informal economy. Focusing on the Jua Kali, the rationale is to understand the performance of the microenterprises. Social networks have been instrumental in the productive performance of this informal sector. The chapter presents the need to examine the role of social networks in facilitating social and economic interactions, providing critical resources, information, and opportunities for entrepreneurs. The chapter traces the evolution of network analysis from the 1970s, showing its shift from deterministic and individualistic approaches to emphasising human agency within structural constraints. Networks influence firm performance through mechanisms like information access, brokerage, and embeddedness, yet their impact varies across trades, zones, time, and countries. In the informal Jua Kali sector, networks are vital for accessing scarce resources and fostering collaboration, though they can also introduce opportunism or dependency.