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The informal operates outside of established formal and more organized methods of innovation. The dynamics between the informal and formal is particularly challenging to Western cultures due to increased competition outside of the well-defined rules, regulations, and guidelines intended to sustain organizational development. Innovation is a key driver of the informal economy, but we contend that, since formal economies have become heavily reliant on technological innovation, the resulting rapid, sometimes radical, systemic changes are the result of informal economic forces. We provide 20 illustrative examples and different approaches to the clash of formality and informality to analyze how the latter comes to the rescue of the former within the context of culture and innovation.