SME´s semi-formality rate in Costa Rica: a clusters approach

• Main Authors: Lizette Brenes Bonilla, Ligia Bermúdez Mesén, Katherine Bermúdez Vargas
• Format: Article
• Language: English
• Published: Universidad Politécnica de Cartagena 2016-02-01
• Series: Faedpyme International Review
• Subjects: semi-formal enterprises; formal enterprises; municipal operating licenses; clusters
• Online Access: http://faedpyme.ojs.upct.es/index.php/revista1/article/view/102

The MSME Observatory has been studying MSMEs in Costa Rica. Its findings show that for every formal enterprise, there are 2.4 semi-formal ones. The latter refers to those enterprises that have already started the formalization process with the corresponding municipality but that still do not have all the formalization requirements.<br />Owing to the importance of the semi-formal sector in the economic activity of Costa Rica, this study analyzed this business park and the role of municipal management concerning MSMEs, calculated the correlation among semi-formality, competitiveness, and development, and finally, proposed a cluster design to deal with the state of affairs. It should be noted that this type of analysis has never been undertaken in the country.