Earlier quoted context omitted.
> an extreme level of institutional instability. My first guess would be colonialism and its consequences.
Also, the pre-colonial population maybe didn't have a culture of setting up long running businesses? Sure there would be family businesses, but they're be informal affairs. Also, in some cases there was no system of writing so no reliable records for determining the age of a business.
But a lot of the other examples were informal business at some point, or activities conducted by governments with no formal independent existence till centuries later. It's just a double standard. Facts were not important to the creators of this graph.