Ethnic Economy

The concept of ethnic economy is rooted in historical sociology and the thinking of some black Americans over a century ago. Classical sociologists such as Max Weber and Karl Marx believed that businesses in precapitalist societies practiced favoritism, nepotism, communalism, and exceptionalism in their operations, and that their decision making was shaped by ethnoreligious relationships rather than profit-maximizing motives.

Ethnic Economies
L. Lo, in International Encyclopedia of Human Geography, 2009

An enclave economy is defined as an economic system in which an export based industry dominated by international or non-local capital extracts resources or products from another country. It was widely employed as a term to describe post-colonial dependency relations in the developing world, especially in Latin America. As part of the larger theoretical position usually called dependency theory. It was particularly popular in the 1960s and 1970s, and other issues took center stage in development economics at later periods. It was often associated with Marxism, thanks to writing by Paul Baran and Theotonio Dos Santos, though its tenets are only peripherally tied to classic Marxist theory.

An enclave economy is ethnically defined communities, often from developing countries, who reside and work sometimes illegally, sometimes under legal temporary admission contracts, or sometimes as legal immigrants in developed countries.

An ethnic economy could be defined as any situation where common ethnicity provides an economic advantage