We need to understand the.unique dynamics of the informal economy and entrepreneurship in PNG. A Grade 6 dropout can employ people with business degrees because:
Practical entrepreneurship
Many successful PNG business owners rely on practical skills, market knowledge, and networks rather than formal education. Street vendors, table market owners, and trade store operators often understand demand and supply better than degree holders.
Wantok system
Social networks and obligations create opportunities. A dropout with strong community ties can mobilize resources, attract customers, and build trust, which are more valuable than academic credentials.
Informal market dominance
The informal sector contributes significantly to PNG’s economy. Those who control market spaces, supply chains, and pricing often wield more economic power than formally trained professionals.
Limited formal job opportunities
Even with degrees, many graduates struggle to find jobs due to limited formal employment. This makes them willing to work under entrepreneurs who may not have formal schooling but own businesses.
Resourcefulness over theory
Dropouts often learn by doing — negotiating, managing cash flow, and adapting quickly. These survival skills can outpace theoretical knowledge in PNG’s unpredictable markets.
In PNG, education alone does not guarantee economic power. A Grade 6 dropout who owns a trade store, PMV business, or market stall can easily employ degree holders, because ownership and networks matter more than certificates.

