Abstract: Scholars frequently argued that firms start and remain informal because of structural issues in the economy make formality costly. In this paper, we show that entrepreneurs see formalization of their firms in terms of a multiplex of choices that unfold over time and far removed from the dichotomous choice that informality has come to signify. We show that meso institutions serve as the connective tissue which cross-link levels of the environment and shape the context in which entrepreneurs make decisions. Specifically, meso institutions influence the decisions of entrepreneurs with respect to formalization of their firms, and the tradeoffs they make as they become successful.

Professor Garry Bruton is a professor of entrepreneurship at the Neeley School of Business at Texas Christian University where he holds Fehmi Zeko Faculty Fellowship. Garry was one of the founders of the entrepreneurship program at TCU which has received numerous recognitions as one of the top in the United States.Professor Bruton’s research focuses on entrepreneurship in emerging economies and he has published or has forthcoming over 75 academic articles in leading journals such as the Academy of Management Journal, Strategic Management Journal, Journal of Business Venturing, Journal of International Business Studies, and Entrepreneurship Theory & Practice. In addition, Garry has co-authored three text books – small business management (McGraw-Hill), technology and innovation management (Cengage), and international management (Cengage).

In 2005, Professor Bruton was the first holder of the Hall Chair in Entrepreneurship in Emerging Markets offered by the Fulbright Foundation. He is past president of the Asia Academy of Management and editor of the Academy of Management Perspectives. Garry in addition serves on the editorial board of five other academic journals. Dr. Bruton has been selected Sun Yat Sen University in Guangzhou, China as Honorary Visiting Professor and by Tonji University in Shanghai, China as co-director of Institute for Global Innovation and Chinese Entrepreneurship.