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Gender factors and female entrepreneurship: International evidence and policy implications

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Abstract

Nowadays, the transformations taking place in female entrepreneurship at the national and international levels and the importance of such entrepreneurship for economic growth and poverty alleviation underscore the need for more global and diversified analysis of female entrepreneurial activities. The literature however regarding international comparisons of female entrepreneurship practices remains limited and becomes even more limited when exploring such practices beyond the developed countries context. To this end, this paper examined the impact of five gender-related variables on the extent of female entrepreneurial activities in 44 developed and developing countries. Among its five focused variables, the paper found female education, extent of female economic activities, female earnings ratio, and fertility rate to be significant in all estimations with two different dependent variables representing female entrepreneurial activities. The remaining focus variable related to gender empowerment was found to be significant with one of the two dependent variables. Among its contributions, the paper explored gender entrepreneurship from an international perspective and extended the analysis of the topic beyond the main stream Anglo-Saxon context. It also highlighted the variations in results with regards to developed and developing countries environment. Understanding factors that could influence the development of female entrepreneurial activities and exploring their potential variability across stages of economic development could also be useful for policy makers exploring effective incentive structure to promote gender entrepreneurship in their respective countries.

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Notes

  1. Million Dollar Firms By the Numbers. 2008. Report Underwritten by OPEN from American Express and the Jana Matthews Group. Available from the Center for Women’s Business Research

  2. www.china-embassy.org/eng/zt/zgrq/t36655.htm

  3. Lessons from the Trenches: Learning from $1 Million Plus Women Entrepreneurs. Report Underwritten by OPEN from American Express and The Jana Matthews Group. Available from the Center for Women’s Business Research

  4. It should be noted here that one might point out that this hypothesis is a little obvious since the relationship between educational attainment and entrepreneurial activities is likely to be positive irrespective of the gender status. This hypothesis, however, brings another added value which is to see whether the spillover effect of female education in a given society improves the involvement of women in the work force including entrepreneurs.

  5. Source, Institute For Women’s Policy Research: http://www.iwpr.org/pdf/C350.pdf

  6. Data on the status of women worldwide. Gender equality and sustainable development. Women’s Environment and Development Organization. Available online: http://www.wedo.org/wp-content/uploads/data-on-the-status-of-women-worldwide-_2_.pdf

  7. Note that the PRIGHT variable reported in the “Index of Economic Freedom” gives a highest score of 1 for countries with high property rights and a lowest score of 4 for countries with low property rights, e.g., Australia and Croatia, respectively. In order to simplify the analysis, we reverse the ranking by making the lowest score = 1 and the highest score = 4. It should be emphasized however that the overall results remain the same regardless of the ordering of the scores.

  8. Given that the additional estimations performed as robustness checks did not change the reported results in the text in any significant way, we did not report all these results for the sake of brevity. The results however are available from the author upon request.

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  1. Department of Management, Long Island University-C.W. Post, 720 Northern Blvd., Brookville, NY, 11548, USA

    Nada Kobeissi

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I would like to thank the editor and the two anonymous reviewers for their feedbacks. The paper has benefited substantially from their insightful comments and suggestions.

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Kobeissi, N. Gender factors and female entrepreneurship: International evidence and policy implications. J Int Entrep 8, 1–35 (2010). https://doi.org/10.1007/s10843-010-0045-y

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