ASSIGNMENT NO.

CROSS CULTURAL STUDY OF WOMEN

ENTREPRENEURSHIP

• SUBMITTED TO:

Sir Tanveer Abbas

• SUBMITTED BY:

Mahnoor Saleem

(2016- 2020) BBA-020

• COURSE TITLE:

ENTREPRENEURSHIP

• SUBMITTED ON:

8-11-2019
 WOMEN ENTREPRENEURSHIP

According to a study, globally women control about $20 trillion in annual consumer spending,
and that figure could climb as high as $28 trillion by 2023. Women's yearly earnings could reach
$18 trillion from $13 trillion in total in the same period. In fact, in today's fast changing business
environment, no one can afford to ignore or underestimate the female consumers. A recent
United Nation study has mentioned that advancing women's equality could boost global gross
domestic product (GDP) by $12 trillion by 2025.

Most of the women in developing countries opt for entrepreneurial ventures when it becomes a
necessity for them to generate a large sum of money. Entrepreneurship does not necessarily
mean the business has to be built on a large scale. It could also be on a small-scale affair
involving some entrepreneurial skills. In a developing country like Pakistan, most women tend to
go for small businesses like embroidery, clothing, cooking and baking.

According to The Global Entrepreneurship Monitor (GEM) 2016-17 Women’s Report, things are
getting better and better for female business owners.

Some of the highlights of the recently released survey of women entrepreneurs in 74 economies
worldwide are given:

▪ In the past year, 163 million women worldwide started businesses:

▪ 111 million women currently operate established businesses.

▪ Total Entrepreneurial Activity (TEA) among women grew by 10 percent

▪ Women’s ownership of established businesses grew by 8 percent.

▪ The gender gap (that is, the ratio of women to men participating in entrepreneurship)
shrunk by 5 percent.
 Significance of women entrepreneurship in Pakistan

Females have been long stereotyped as being unable to compete with men, especially in
entrepreneurial activities but now the number of women entrepreneurs is increasing because of
the awareness that they can do much more than taking care of their households and children. In
Pakistan, women entrepreneurship is currently considered as one of the noteworthy tools in
enabling women empowerment and freedom. There are many advantages of women
entrepreneurship. The number of female entrepreneurs across the world is in rising trend and
same trend is observed in Pakistan, which is indeed a good sign for families, communities and
economic development of Pakistan. However, in the various regions, the number of women
entrepreneurs still lags behind men.

The Global Entrepreneurship Monitor’s (GEM) report from 2016-2017 named as ‘Women’s
Entrepreneurship’, revealed that women’s overall rates for total early-stage entrepreneurial
activity (TEA) increased by 10 percent in 2 years. The 2017-2018 GEM report exposed that the
gender gap between men and women entrepreneurs had declined by 6 percent since 2016. Other
researchers have found that while men are more likely to become entrepreneurs, women are also
a significant and rising source of the economic development and job growth that comes with
entrepreneurial activity.

There are various causes why women become entrepreneurs. The GEM report found that women
tend to be driven more by necessity than men, mostly in efficiency and innovation-driven
economies. Women may start businesses to offer whole income for their families or to
supplement their spouse’s income. They might start their own businesses to avoid a glass ceiling
or do a job that offers flexibility to manage their family’s needs. Women may pursue
entrepreneurship because they find an opportunity in the market.

Sana Safinaz

History:

Sana Safinaz is a Pakistani clothing and accessories retailer. It is based in Karachi, Pakistan and
was founded by two close friends Sana Hashwani and Safinaz Muneer in 1989. It sells ready-to-
wear, unstitched and haute couture.
The business was started with seed investment of a few thousand rupees. Back in 1989, it was
difficult for women to participate in workforce or become entrepreneurs or become fashion
designers in especially in Pakistan. People felt repentant for women who work in the industry.
Sana Hashwani and Safinaz Muneer started their business with attention to provide haute couture
for Pakistani clothing industry but later they switched their business to pret because pret is in
high demand in Pakistani industry.

Innovation and Growth:

In October 2017, it was reported that Pakistan is one of the countries whose middle class is
growing hastily. It is among the 18 largest countries of the world by middle class number. It is
expected that Pakistani middle class will continue to grow with the increase in population, so it is
one of the attractive markets in the world. Most of Pakistani businesses are trying to target that
middle class and Sana Safinaz is also doing so. They switched from couture to pret and made
their clothes cheaper, so they can increase their sales and revenues and to become one of the
largest retailers in Pakistan.

Maria B

History:

The business was started in 1999 in Lahore, Pakistan by Maria Belal Butt who is graduate of
Pakistan Institute of Fashion and Design. She started her business with few thousands of
investments, she had only one shop and few stitching machines. With aim to expand the brand,
Maria B is now largest fashion designer brand of prêt a porter, couture, formal wear, lawn,
embroidered fabrics, linen and cottons.

Innovation and Growth:

As most of Pakistani businesses are trying to target the middle class because of its emerging
potential, Maria B is also focusing on the demands of middle-class people. They made clothes of
every variety, from couture to pret and made their clothes cheaper so they can increase their sales
and therefore revenues. This enabled their business to grow from small shop with few tailors to
one of the largest retailers in Pakistan.
Swarovski pret collection:

In 2016, Maria B became the first designer who incorporated Austrian-based global leader of
crystals Swarovski in their embroidered chiffon and lawn collections. They signed their deal in
2014 with Austrian giant and the collection was launched on 27 August 2016.

Zainab Chottani

History:

Zainab Chottani is a Pakistan based fashion designer who started as a bridal wear designer under
the name of Zainab Sajid in 1999 but has then included prêt and haute couture in her forte. She is
one of the well-known designers in Pakistan for bridal wear and has displayed her creations in
Pakistan as well as in Dubai, USA and London.

She works with traditional colors and uses embroidery along with different cuts to form new and
innovative designs. The designs contain influences from the Mughal Era where Royal women
adorned heavily decorated dresses to look more attractive. Her bridal dresses are specifically
made to order as to cater to the different requirements of each bride. She has displayed her bridal
collection in various exhibitions including the Pantene Bridal Couture week and Pakistan
Fashion Week by Riwayat in the UK.

Aqua and Mera Pakistan:

Zainab Chottani has added to her portfolio by introducing the brands Aqua and Mera Pakistan.
Aqua is a fashion label of ready to wear clothes for women launched in 2012. Mera Pakistan
collection was launched in March 2012 aimed to convert Pakistan’s cultural symbols into fashion.
She did this by featuring rickshaws, traditional drums, the Minar-e-Pakistan on its kurta’s, a long
shirt worn by women in Pakistan.

Trends of Women Entrepreneurship in Pakistan

Over the last few years, there has been an expeditious development in the field of women
entrepreneurship in Pakistan due to changes in the social and economic environment.
These changes have followed unemployment, advancements in technology, inflation, media
exposure and globalization. These changes have boosted women’s confidence. They are more
likely now to take part in other than domestic activities. They have become career-oriented. Men
have been dominating economic activity round the globe. There are a lot more men engaged in
entrepreneurship than women. Yet, it has been found that there is a positive connection between
the involvement of men entrepreneurs and women entrepreneurs in a country.

Women Entrepreneurship Challenges in Pakistan

In Pakistan, unluckily women entrepreneurs are facing various barriers. No doubt, Pakistani
women entrepreneurs are hard worker and innovative, but they just don’t rely only on luck in
order to get success. A positive aspect of women entrepreneurs is that they want to start the
entrepreneurial activities because of having a personal motivation i.e. they want self-
accomplishment, self-achievement, self-fulfillment, feeling pride and freedom.

Some psychological factors are also disturbing the entrepreneurial activities in Pakistan. The risk
bearing tendency of the women entrepreneurs is not very high but the overall need for
achievement in the Pakistani women was recorded high. A World Bank report also revealed that
about less than 25 percent of Pakistan’s businesswomen are micro finance borrowers however
Pakistan’s micro finance environment is one of the worlds’ most progressive.

The discriminatory lending practices are forcing Pakistan’s women entrepreneurs to look beyond
micro finance providers for capital to start and sustain their businesses. Micro finance loans for
businesses are largely unavailable to women entrepreneurs, particularly unmarried women who
are usually considered high-risk borrowers. Micro finance providers enforce strict requirements
that make it tough for businesswomen to secure loans without men's support. Approximately 68
percent of women borrowers required a male relative’s permission in order to qualify for any
kind of loan.

According to the World Bank Global report during 2017, only 7 percent of women had a
financial services account as compare to 36 percent in Bangladesh, 77 percent in India and 58
percent in Saudi Arabia. The only country that performed worse than Pakistan was South Sudan.
So women need access to a broad range of financial services, counting savings, credit, insurance
and transfers for better performance.

Female entrepreneurs require credit to organize and grow their businesses. The results of study
conducted in 4 main cities of Pakistan i.e. Multan, Faisalabad, Sargodha and Sialkot during a
period of 6 to 8 months showed that following factors were the main barriers in the way of
women entrepreneurship in Pakistan:

• Lack of finance

• Restriction on mobility

• Limited decision making

• Lack of role models and guiders

• Men’s hold on markets

• Family pressure

• Glass ceiling and discriminations

Implications done in Pakistan

Recognizing that financial institutions were reluctant to develop a sustainable strategy to address
this significant market gap, Karandaaz launched its own program to help serve women-owned
businesses. Karandaaz ran a nation-wide campaign and received about 245 applications. After a
competitive selection process, 21 businesses were selected and given the opportunity to pitch to
Karandaaz for investment. Karandaaz has signed funding contracts with 8 women-led businesses
worth PKR 171 million under its Women Entrepreneurship Challenge 2018.

• New Age Flour and General Mills started operations in 1990. It is currently owned and
run by a mother and daughter and is located in Peshawar. They vision is to become one of
the leading flour mills in the country.
 • Web Work Solution is a leading e-commerce solutions provider in the local market, and
is paving the path for becoming a competitive global player in the web-development
space.

• Lel designs and manufactures high quality furniture by using semi-precious stones and
marble. The mother daughter duo hopes to preserve and evolve the art of handcrafted
stone inlay, while giving employment opportunities to local Afghan artisans.

• Noha Global is the only facility management service provider in Pakistan registered with
the International Facility Management Association. Since their inception in 2010, they
provide fully integrated waste management, HR outsourcing and procurement services.

• Kamal Impex is a trader of apparel goods, that sources clothing from SMEs and vendors,
and then supplies them to leading modern trade markets, such as Hyper Star and Metro
Cash and Carry.

• Saira Rizwan is a high-end clothing designer and manufacturer of Pret, formal and Bridal
wear for women.

• Clayworks is Pakistan’s leading manufacturer of ceramic tableware, decorative items,

tiles, and accessories.

Conclusion and recommendations for women entrepreneurship in

Pakistan:

Despite the significance of women entrepreneurs, women who want to start businesses face extra
issues compared to their male peers in Pakistan. Some of these issues are practical, like their
childcare needs, house management.

The governments and businesses should consider strategies to support women entrepreneurs for a
country’s economic and the country-specific cultural and practical issues that women face.
 Trends of women entrepreneurship in UAE

UAE is home to a wide and vibrant mix of professional, creative and entrepreneurial talent.
Globally, the country is held in high regard for making people from all over the world and all
walks of life feel at home therefore it’s a huge hub of female entrepreneurs.
The sentiment of positivity and security offered by the UAE, 10-year visa rule, encouraged more
people, particularly women, to commence and pursue business in the UAE.
Trend of women entrepreneurship in UAE:

According to a study titled 'United Arab Emirates female entrepreneurs: Motivations and
Frustrations' by Hanifa Itani, Yusuf Sidani and Imad Baalbaki, "The UAE represents a region,
witnessing an increasing trend of women's participation in business and entrepreneurial
activities." But, in fact, the UAE represents much more than that as it offers equal opportunities
for men and women and the true fact that this young nation's Cabinet has more women in
ministerial positions than some of the most developed countries in the world that is incredible
and encouraging. The country certainly offers a promising business landscape for women
entrepreneurs to explore and flourish in, and the ability to own 100 per cent of the business will
further motivate them by addressing the safety and security concerns when starting a new
business.

UAE’s Most Successful Female Entrepreneurs

The United Arab Emirates is fast becoming one of the most innovative and ultramodern cities in
the world, with both the local residents and foreign expats moving to Dubai for entrepreneurship
opportunities. With such an international scene and the mixing of different people, ideas and
creativity, no doubt that the UAE is home to some of the most talented and innovative people in
the world.
Here are some of the most successful female entrepreneurs of UAE:

Nayla Al Khaja

UAE’s first female film director, Nayla Al Khaja founded and owns a production company
called D-SEVEN. Through her work, she showcase social issues, women’s rights, and other
humanitarian themes in her films.

Huda Kattan

Huda Kattan made her revolution in Dubai, well known throughout the social media, cosmetic
and fashion world from her Huda Beauty products, she continues to grow her make-up and
beauty business into one of the highest companies in the world.

Rania & Zaina Kanaan

Two sisters based in Dubai founded a successful bike business called Chari Cycles, they are
uniquely popular because of the fact that their business focuses on upgrading old bicycles and
then donating them to refugee children across the Middle East.

Trends of women entrepreneurship in EU

In the EU women constitute 52% of the total European population but only 34.4% of the EU
self-employed and 30% of start-up entrepreneurs. Female creativity and entrepreneurial potential
are an underexploited source of economic growth and jobs that should be further developed.

The European Commission promotes and supports female entrepreneurship through the Small
Business Act and the Entrepreneurship 2020 Action Plan. One of the Commission’s main
initiatives is to support networking among female entrepreneurs, potential female entrepreneurs
and supporting organizations.

Women are motivated for entrepreneurship by awarding prizes. The EU Prize for Women
Innovators is awarded to women who have received EU research and innovation funding at some
point in their careers, and recently founded or co-founded a successful company based on their
innovative ideas.
A set of tools, networks and platforms, have also been created by the EC in order to further
support the growth and development of women lead entrepreneurship.

To name just a few:

• WEgate-platform is a European network meant to promote women’s entrepreneurship

• The European Community of Women Business Angels and women entrepreneurs has the
objective to increase the number of Women Business Angels in Europe and to facilitate
the funding of Women Entrepreneurs

• The European Network of Mentors for Women Entrepreneurs is a Europe-wide network

of mentors that will provide women entrepreneurs in the early phase of their
entrepreneurial activities with concrete business advice, sharing of knowledge and
experience

Trends of women entrepreneurship in USA

In the USA it seems that the golden age for women entrepreneurs has finally begun with 40 % of
new entrepreneurs in the United States being women. It is the highest percentage since 1996.

While the U.S. ranks no. 1 on the list of Female Entrepreneurship Index as the best place for
women entrepreneurs, due to its overall favorable business environment and women’s job
mobility in the private sector, it scored a 71 on a 100-point scale. In other words, there’s still a
lot of room for improvement.

The United States is recognized for its culture of entrepreneurship. With women
representing more than 50 % of GES delegates in 2017, this is a welcome change and forums
like the global summit not only help increase participation, but also empower female
entrepreneurs.

The World Bank Group lead an initiative that enabled more than $1 billion to help grow
Women Entrepreneurship.
 Trends of women entrepreneurship in South Sudan

In 2017, South Sudan was the only country that performed worse than Pakistan in Women
Entrepreneurship.

In South Sudan, they were having no income, no jobs and no sources of livelihood. They were
not able to afford to provide a simple meal for their children.

Looking forward on latest trends, on September 2018, these women in South Sudan were invited
by World Vision to form a savings group. It was a special moment for women be given the
chance to take charge of their own future and transform themselves as business entrepreneurs. So
mainly women entrepreneurship in Sudan started in 2018 due to awareness provided to them.

World Vision’s Building Resilience through Asset Creation and Enhancement Phase II (BRACE
II) Project supported by the Department for International Development (DFID) provided the
women an anchor of support through conditional cash transfers. The project is targeting 12650
households translating to 75900 direct beneficiaries.

Finally, now the women can earn their own income and ensure to meet their children's needs.

The women’s group is tasked for rehabilitation or construction of flood dikes, farms, vegetable
gardens and feeder roads that could help the communities’ ability to boost their livelihoods and
generate more income. This project aimed to strengthen food and nutrition security while
increasing the resilience of vulnerable families. This project is encouraging, with the monthly
cash transfers of $40.50 per month, women to save and wisely invest their money into small
scale business they are interested to start and to support their families. Every woman in the group
receives a cash transfer (first payment) of $40.50 (SSP6000) after working for 15 days per month
and subsequently for the next nine months.

According to World Vision South Sudan Project Director Kenneth Munyengerwi:

“BRACE II is helping empower communities, especially women, who are the ones taking care of
their families. When a family is hungry, a woman is the first to bear the burden. By building their
business skills and supporting them, we are building stronger communities”. It shows that they
consider women entrepreneurship important for the betterment of whole community.
With the income for six months, some women opened tea shops and earn a daily income. The
members learn from each other as they continue to grow as entrepreneurs in their own
communities. Thus, starting many small-scale businesses according to the need and demand of
society. Working in groups help the mothers share and implement knowledge and skills acquired
from BRACE II trainings.

Women are fast becoming respected members of new project communities. They are so eager to
learn more about growing their businesses well and saving their income wisely.

Trends of women entrepreneurship in Iceland

When it comes to gender equality, the country is ahead of curve. Iceland passed the world’s first
equal pay for equal work law. Under this Equal Pay Standard, the legislation requires that
companies with 25 or more employees obtain certification proving that employees are paid
equally, regardless of gender.

A respect for women is inherent in Iceland's culture, the attitude is ‘You can do anything, you are
equal'. In fact, the women of Iceland do everything. Many women there boldly started a
successful food business, from whiskey distiller to tomato farmer. Each one has a striking calm,
a confidence in herself and her work, and complete knowledge of her business.

There’s no shortage of risk in their ventures too, but these women seem to think to themselves,
having the attitude that if somebody can do it then why not me, this attitude seems to be a secret
of their remarkable success.

Since 1991, Iceland’s Ministry of Welfare has awarded grants to women entrepreneurs with
innovative business ideas that will create jobs. Iceland’s commitment to gender equality is
foundational, and they continue to push even further ahead.

In Icelandic society, there is the prevalence of first-generation family businesses started by

women. So many stories begin with one woman’s idea and end with the entire family working
together, spanning some four generations. The “I depend on me” definition of an independent
woman is not how Icelandic women roll, and it is not what the country demands. They work hard,
and they do it alongside the people they love. They accept help. And they remember that their
family is their business, too.

There are many inspiring women working in food, drink, and agriculture. One of the famous
business lady who exemplify herself is:

Helena Hermundardóttir

She deals in Freshly picked and perfect tomatoes along with her husband Knútur. When the
couple bought the farm in 1995, it was a ragtag bunch of abandoned green and glasshouses.
Today, they are the second largest tomato growers in Iceland.

According to Helena Hermundardóttir:

"You Say Tomato, I Say a Business"

370 tons of plum, Flavorino cocktail, and Piccolo tomatoes are grown annually using geothermal
energy from a nearby hot spring and zero pesticides. Along with ten employees, Helena and
Knútur’s five children play a large role in the business by picking tomatoes and turning the vines
to helping with the restaurant.
 CROSS CULTURAL STUDY OF FEMALE
ENTREPRENEURSHIP

Pakistan UAE South EU USA Iceland

Sudan

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East America Atlantic

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REFERENCES:

• The Global Gender Gap Report 2018 | World Economic Forum,

https://www.weforum.org › reports
• A brief overview of women entrepreneurship in the EU and the USA,
https://www.wvi.org › south-sudan
• S. Kamal Hayder Kazmi, Significance of women entrepreneurship in Pakistan, 29
October, 2019

• https://fathomaway.com › women-f...
• https://medium.com › a-brief-overvi...
• South Sudan's communities welcome new wave of women entrepreneurs | World ...,
https://www.researchgate.net › 2352...