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Relative to developed countries, micro and small enterprises generate a great share of overall

employment in developing economies, which frequently have a stronger emphasis on small-


scale production. Micro enterprises contribution to employment levels can be observed in many
contexts (Tybout, 2000). In five African countries (Botswana, Kenya, Malawi, Swaziland, and
Zimbabwe), micro enterprises generate nearly twice the level of employment as registered,
large -scale enterprises and the public sector (Mead and Liedholm, 1998). Half of all Indonesian
workers are employed in firms with fewer than five workers, and two -thirds of workers are
employed in firms with fewer than 20 workers (Berry et al. 2002). In many Latin American
countries, micro and small enterprises generate more than half of overall employment (ILO ,
2005 ).

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