The Unequal Capture of South Africa’s Informal Economy: A Systematic Review of Indigenous and Immigrant Entrepreneurship

Introduction: South Africa’s informal economy supports livelihoods, employment, food access and local exchange, yet market participation is shaped by unequal institutional, political and social conditions. The supplied literature documents immigrant-specific barriers involving permits, documentation, banking, policing and xenophobia, while also describing Indigenous and locally embedded entrepreneurship through community legitimacy, trust and relational value. However, direct comparative evidence on economic capture, profitability and formal-market access remains limited. Methods: The researcher-selected databases and information sources were Google Scholar, ERIC. The eligibility protocol restricted publication years to 2018–2026. The exact calendar date of search execution was not recorded in the verified identification provenance; this is distinct from the publication-year eligibility range. A systematic review searched Google Scholar and ERIC using a predefined Boolean strategy and an eligibility range of 2018–2026. Results: Immigrant status was associated with additional institutional and security barriers, including permit delays, restricted banking access, inadequate protection, xenophobic violence and exclusionary practices. Immigrant entrepreneurs nevertheless mobilised family, migrant, community and transnational networks as alternative resources. Indigenous and locally embedded enterprise was associated with community legitimacy, trust, livelihoods and relational value, but the evidence did not demonstrate universally greater Indigenous market capture. Shared constraints included finance, infrastructure, skills, technology, workspace and regulatory support. Inclusive governance and cooperation were proposed but not comparatively evaluated. Discussion/Conclusion: Status influences market access through layered institutional and social mechanisms, but it does not provide a sufficient standalone explanation of unequal capture. Immigrant-specific exclusion operates within broader informal-economy constraints, while network agency and local embeddedness can moderate disadvantage.