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Fathurrohman Aditya Kamil
Journal of Business Management and Entrepreneurship (2026)
Purpose: This review maps what peer-reviewed research reports about the performance and governance of enterprises owned by subnational governments (municipal, regional and provincial companies, local state-owned enterprises and Indonesia’s regionally owned enterprises, BUMD) and identifies the gaps that matter to local government owners.Design/methodology/approach: A scoping review reported according to PRISMA-ScR. Twenty query strings were run in the Crossref REST API on 8 October 2026 (journal articles, 2000–2026), supplemented by backward and forward citation chasing through the Semantic Scholar Graph API. OpenAlex, the intended second source, could not be queried because its anonymous daily quota was exhausted. Of 3,569 unique records, 194 were assessed against stated criteria and 117 studies were included and charted.Findings: The evidence is concentrated in Europe and has grown quickly since 2021. Corporatisation is linked more to fiscal pressure and administrative capacity than to ideology. Effects of ownership form on efficiency are mixed and depend on sector, scale and owner structure. Recurrent governance risks are multiple-owner coordination, politicised boards, election-timed earnings management and the use of enterprises to work around fiscal rules; transparency obligations and active, strategic ownership are associated with better outcomes. Only eight included studies examine Indonesian enterprises, mostly single-sector and descriptive.Originality/value: The review is the first to bring together the municipal-corporation, local state-owned enterprise and Indonesian BUMD literatures in one transparent map, and it translates the evidence into implications for designing the ownership function of local governments.