Microenterprise Employment and Family Income Dynamics in Manabí, Ecuador: An Analysis Based on ENEMDU

Abstract

Context: This study analyzes the relationship between employment in microenterprises and household income in the province of Manabí, Ecuador, using data from the 2024 National Employment, Unemployment, and Underemployment Survey (ENEMDU). The analysis focuses on households with at least one member employed in microenterprises, highlighting the relevance of this sector in the local productive structure. Methodology: A quantitative and descriptive approach was applied. The study assessed the share of household income derived from microenterprise employment, compared income levels with other labor sectors, and identified associated factors such as economic sector, household size, geographic location, and gender of the main income earner. Results: The findings reveal significant heterogeneity. Microenterprises in services and finance yield substantially higher returns, while those with lower entry barriers generate more moderate outcomes. Household income tends to increase with the number of employed members until reaching a plateau. The urban–rural gap is evident but moderate. Female-headed households show higher average incomes; however, structural disparities persist, with lower income levels in rural households and in part of those led by women. Conclusions: Employment in microenterprises contributes to household economic sustainability, but its impact is shaped by social and territorial factors. These results provide valuable evidence for the development of public policies aimed at strengthening the microenterprise sector with an inclusive and equitable perspective.