DON HONORIO VENTURA STATE UNIVERSITY

GRADUATE SCHOOL

Entrepreneurial
Intentions and
Capabilities of
Women
Research Paper

Submitted to:
Dr. Juris C. Ponio

Submitted by:
Kim Arrianne A. Cunanan

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Chapter I: The Problem and It’s Background

Women and men aren't as different as you might think: A review of dozens of studies

found that men and women are basically alike when it comes to personality, thinking ability and

leadership. The differences that do exist may reflect social expectations, not biology. Despite this

evidence, the media continue to spread the idea that the sexes are fundamentally different —

with real-life consequences. ("Men and women: no big difference")

Entrepreneurship has traditionally been defined as the process of designing, launching

and running a new business, which typically begins as a small business, such as a start-up

company, offering a product, process or service. It has been defined as the "...capacity and

willingness to develop, organize, and manage a business venture along with any of its risks in

order to make a profit. (https://psu.pb.unizin.org/ist110/chapter/13-2-entrepreneurship/)

For centuries females have taken the back seat in male oriented social systems. Globally,

the number of women entrepreneurs lags behind the number of men. In the Philippines, though

women are playing a key role in society, still their entrepreneurial ability has not been properly

tapped due to the lower status of women in society. The main purpose of this paper was to find

out the entrepreneurial intentions and capabilities of women in a rural area. The researchers used

the quantitative research with survey questionnaire and a total of 150 women was targeted as

respondents of this study. Other relevant information was gathered through an online researches.

The adequate related literature and studies gave the researchers the proper direction on how the

investigation was done. Most of the women were aged 23 - 30, single or married, with at least

two children, and a baccalaureate degree holders. They managed their own businesses and

earning a monthly income of Php 10,001 to Php 20,000. The women entrepreneurs were good in

marketing (selling), record keeping, business management, critical thinking, planning and

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research, decision-making, organization, and oral communication skills. However, they needed

training in written communication and managerial skills. The local government unit must

encourage more women to join seminars and training to improve their skills in the identified

areas, and community must promote and institutionalize the women's business activities to

promote their enterprises.

Many researchers and policy formulators consider entrepreneurship as the link to

increased and sustained economic development and growth. While this is particularly the case in

developing countries with significant poverty and high unemployment rates, it also relates to

developed economies because entrepreneurship is considered a driver of accelerated economic

growth as opposed to stagnating growth (Ambrish, 2014; Meyer, 2017; Meyer and Meyer, 2017).

According to the Asian Development Bank (2007), females in Asia contribute

significantly towards economic development, but face different constraints and opportunities

when compared to males. McAdam (2013) adds to this by indicating that female

entrepreneurship has drawn enormous attention to policy formulation, literature studies and

practical research since entrepreneurship of this type is recognised globally as contributing to the

growth of many countries’ economies. Furthermore, female entrepreneurial activity has been

accepted as a vital part of the economic profile of a country, as has the argument that

empowering female entrepreneurs act as fuel for flourishing economies (Ambrish, 2014; Kot et

al., 2016).Carter et al., (2006) assert that females are becoming essential change agents within

the social and economic environments and are globally responsible for making valuable

contributions towards job and wealth creation and economic growth. Notwithstanding the impact

and role females have in today’s economies, their contribution is often understated and

undervalued (Carter et al., 2006).Despite female enterprises being a growing phenomenon and

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comprising a noteworthy proportion of economic production in many economies, women still

face tremendous challenges when it comes to the growth and expansion of their businesses. In

some cases, even starting a business can be a challenge for some females (Gatewood et al.,

2009). Over the decades, many different definitions explaining the terms entrepreneur and

entrepreneurship have been formulated. Schumpeter’s definition during the early 1930 considers

entrepreneurs to “be those who create new combinations, new markets, product, or distribution

systems” (De Bruin et al., 2006). More recent definitions by Shane (2003) and Ambrish (2014)

also refer to an entrepreneur as an individual who possesses the skill to exploit opportunities by

introducing new or better ways to provide goods and services to the economy, to enhance

methods and improve ways of organising and by establishing a new business or revitalising an

existing one by such means as improved service or product delivery. Historical and recent

definitions in the field of entrepreneurship include the following character words: opportunism,

innovation, risk-taking, designing new combinations of processes; while one of the principal

traits of entrepreneurship is ultimately starting new organisations (Bird and Brush, 2002).

Various definitions for female entrepreneurs have also been established in recent years. In the

UK and US, a female-owned business refers to one that is either fully or majority (51% or more)

owned by females. The Indian government defines a female entrepreneur as one owning at least

51 percent of a business and ensuring that at least 51 percent of employment provided by the

business should be to female employees (Ambrish, 2014). Based on the aforementioned, the

question could be posed: If the concept of entrepreneurship has been clearly defined by so many

researchers and experts in this field, why is it so important that continuous new research paths

focussing on females entrepreneurs be developed?

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As more females venture into the field of entrepreneurship globally, research approaches

and theoretical perspectives to understand the role women play within this sector require clearer

definition (De Bruin et al., 2007; Onyishi and Agbo, 2010).Since females have been formally

entering the sector of entrepreneurship during the last few decades, they can be considered as one

of the fastest growing entrepreneurial populations in the world (Brush and Cooper, 2012).

According to the OECD (2004) female entrepreneurship needs to be studied as a separate group

for two reasons. Firstly, it has been recognised as a valuable and unexploited source of economic

movement and growth that creates not just jobs for themselves, but for others as well. In

addition, females in some cases often provide society with alternative solutions to various social

problems. Secondly, the topic of female entrepreneurship has previously been neglected in social

sciences and in general society. However, this is slowly changing as more women are entering

into the market and policies assisting in the development and management of such

entrepreneurship are gradually becoming more prevalent in many countries. The World Bank

(2015) states that the empowerment of women is fundamental in achieving continued sustainable

development and that succeeding in this endeavour could enhance economic efficiency. Because

business and entrepreneurship are still perceived in many countries and cultures as a male

dominated sphere, it remains a priority to provide women with equal access to opportunities and

continuous research on female entrepreneurship could assist in doing so. Bird and Brush (2002)

and De Bruin et al., (2006) suggest that historical theory and research on entrepreneurship

focussed on men and that the perception was created that entrepreneurship is formed around

male experience and capabilities. Various allusions regarding entrepreneurship as a male

dominated field have been made in the past. In 1921, a reference was made to the “active

businessman” while in 1934 an entrepreneur was described as a “captain of industry” (Scranton,

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2010). This trend continued with a statement made in 1968 terming an entrepreneur as a “hero

who perceives the gaps and connects markets” (Bird and Brush, 2002) whereas, in 1982 Hebert

and Link referred to an entrepreneur as the “key man”. It makes sense that the literature and

theory was viewed from a male perspective in the past, because for many years females were not

active in the business and economic sector. But as times have changed and women are entering

this previously male dominated industry, the need for new and female-relevant research is

growing (Heber and Link, 1982). Leading researchers in the field of female entrepreneurship

have emphasised the importance of studying this as a separate research entity as there are

significant differences between male and female motivations, characteristics and business growth

and development with regard to entrepreneurship. There are also clear distinguishing features in

some of the methods and ways that female entrepreneurs manage their businesses and compile

strategies(Bird and Brush, 2002; Greene et al., 2003; Brush et al., 2006; Carter et al., 2006;

Meyer and Mostert, 2016). Carter et al., (2006) specifically refer to women being more risk and

debt averse, which could lead to certain conclusions about why their businesses are in many

cases not attracting the investment opportunities that their male counterparts so often do. In

addition, Botha et al., (2007) suggest that some women might need more assistance with regard

to self-esteem and confidence than traditional male entrepreneurs. Barsh and Yee (2011) further

contend that women face different structural obstacles, lifestyle issues and individually

embedded mind-sets when compared to men. While there is proof that similarities between

certain entrepreneurial traits in men and women exist, there are clear differences in many other

aspects. Greene et al., (2003) report that over the last 25 years various research have identified

similarities between male and female entrepreneurs, but that these investigations lack substantial

discussion of the differences. Some of the most compelling differences between male and female

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entrepreneurs include: reasons for starting a business, the choice of business, how they finance

their start-ups, governance structures, growth patterns and some aspects of the entrepreneurial

process. Various differences are present in the traditional way in which entrepreneurship is

perceived when compared to a female perspective. The dimensions of the entrepreneurial

process: time, concept of reality, action and interaction, ethics and power are all often performed

in a different and more subtle manner when viewed from a female perspective. In addition to

this, Bird and Brush (2002) further explain that there are clear differences in the way that

traditional and new ventures and organisations are started and the way that they would be

managed from a female perspective. For example, the way a traditional entrepreneur might make

use of resources would be to “lease” people, show low commitment and be a promoter, whereas

a female entrepreneur might take a different approach by committing to people and taking the

form of a trustee. There are also differences in the structure, method of controlling of systems,

culture and policy integration. McAdam (2013) asserts that there are many similarities in the

operating profile of small businesses despite the varying traits of the owners, but that there is

indeed a significant difference within the operating profiles of female owners. Many still follow

a feminised working pattern, trying to balance work, home and childcare. While some might say

this pattern is acceptable, many may see it as discrediting the value and growth potential of the

business (McAdam, 2013). This need for supplementary research on female entrepreneurship

further extends to developing and emerging countries where culture still plays a huge role in the

development and empowerment of women. Many cultures still believe that women are solely

responsible for home and family related tasks as well as purposes of reproduction (De Bruin et

al., 2006; Karanja and Bwisa, 2013). This could restrict women from starting a business or

hinder their growth potential owing to their status within the community. Many African cultures

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still implement a policy where women are not allowed to own any assets and which holds that

everything they own actually belongs to their husbands, creating structural and cultural

challenges for female entrepreneurs (Chitsike, 2000; Mungai and Ogot, 2012). According to the

Global Entrepreneurship Monitor (GEM) women tend to lack confidence compared to their male

equals when it comes to business matters, despite their origin, education level, work status and so

forth (Herrington et al., 2009). Research has also consistently confirmed that early-stage

entrepreneurial activity (TEA) is gender sensitive due to societal, cultural and economic issues

(Singer et al., 2015).Furthermore, perceptions that women are less capable than males in the field

of business, are still widely held by many cultures; even by some westernised economies.

McAdam (2013) asserts that females are a diverse group and that deeper studies into culture,

ethnicity, class and education are also important and could indeed influence the way women

perceive business ownership and manage their ventures. As research in many cases have a direct

and indirect link to management policies and improvements in strategies, having more high

impact data available could contribute to improved management in certain cases.

Due to the increased participation and growth in numbers of women business owners,

many would agree that more, and a better body of research is needed in the area of female

entrepreneurship. One of the discussions by experts in the literature concerns the gap in research

into female entrepreneurship. Despite more studies in this area being undertaken over the past

few decades, there is still a gap in the available literature. From the studies on female

entrepreneurship, one may note that many of them focus on investigating individual level and/or

country or regional profiles. Few studies pursue general research on entrepreneurship that

involves analysis at firm level and integrated-level (De Bruin et al., 2007). It has also been

suggested that cross-country studies will be desirable in future. In addition to this, comparisons

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between different women groups or samples are necessary. For example, will women from a

rural African community display the same entrepreneurial characteristics as women from a

sophisticated first world country? Greene et al., (2003) furthermore suggest that additional

research is required on the role of human capital, strategic choices and structural barriers in

female entrepreneurship. A report issued by the Department of Trade and Industry (DTI) in

South Africa indicated that there is a major absence of high quality empirical studies on female

entrepreneurs and that statistical data is lacking (Jiyane et al., 2012). Brush and Cooper (2012)

further assert that female entrepreneurship is understudied and not well-documented. De Bruin et

al. (2006) scrutinised the number of publications placed in the top eight entrepreneurship

journals between 1994 and 2006 and found that a mere six to seven percent related to female

entrepreneurship. In addition to this, Greene et al.,(2003) prepared a similar study on nine of the

leading entrepreneurial journals from 1976 to 2001 and found that in 661 issues published during

that time, a mere 129 articles concentrated on women entrepreneurship or business development.

Adding to this is the fact that most of these publications appeared after 1990 and that just 7

percent of these articles used a conceptual approach or were based on literature reviews. Ahl

(2002) found that some of the so-called “A-journals” in the field of management did not publish

noticeably on entrepreneurship and even if they did, there was almost nothing on female

entrepreneurship. She found that of seven of the leading American based management journals

(Journal of Management, Academy of Management Journal, Management Science, Organization

Science, Academy of Management Review, Academy of Management Journal, and

Administrative Science Quarterly) between the years 1985 and 1999 just 97 articles out of 5291

were entrepreneurship related and of these, just three reported on female entrepreneurship. This

equals a mere 0.056 percent of all articles from these journals. She conducted a similar search in

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five leading European journals ranging from 1981 to 1993 (first publication issues of each

journal) until 2002 and found just 12 research articles that were on the topic of entrepreneurship

while none of these addressed female or gender related entrepreneurship.

The literature on mainstream entrepreneurship primarily focusing on the male

entrepreneur emerged in the 1930s. The late 1970s witnessed the emergence of an explicit sub-

domain of women entrepreneurship (Jennings and Brush, 2013). This section outlines the

chronological history of development of the literature on women/female entrepreneurship. Table

3 presents a summary of the key historical milestones in this sub-domain.

In 1976, Schwartz published the first academic paper on female entrepreneurship in the Journal

of Contemporary Business and the first policy report in this area titled “The bottom line:

Unequal enterprise in America” was released in 1979 in Washington DC. Hisrich and O’Brien

(1981) made the first academic conference presentation on women entrepreneurs at the Babson

College Conference on Entrepreneurship in 1981. The first academic book on female

entrepreneurs was published in 1985 (Goffee and Scase, 1985).

Initial research on entrepreneurship assumed that male and female entrepreneurs were

generally the same and there was no specific need for a separate investigation (Bruni et al. 2004).

As a result, the sub-domain of women entrepreneurship did not develop as a significant area until

the late 1990s to early 2000s (Jennings and Brush, 2013) with the launch of two dedicated

conferences. First, a policy oriented Organization for Economic Cooperation and Development

(OECD) Conference on women entrepreneurs in small and medium sized enterprises was held in

1998. Second, an academic conference Diana International was held in 2003.

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It was not until 2009 that a niche journal titled the International Journal of Gender and

Entrepreneurship was launched. Eventually, leading journals in the mainstream Entrepreneurship

area recognized the growing need for research in this area. The journal of Entrepreneurship

Theory and Practice published a special issue on women entrepreneurship in 2006 and 2007 (de

Bruin et al. 2006) and then again in 2012 (Hughes et al., 2012).

Global Entrepreneurship Monitor (GEM, http://www.gemconsortium.org/) also published a

special report on women and entrepreneurship in 2006 followed by subsequent reports in 2010,

2012 and 2015. In 2015, Global Entrepreneurship Development Institute published the Female

Entrepreneurship Index report that analyzed conditions for fostering women entrepreneurship in

77 countries. As per the report, the top ten countries for female entrepreneurs in 2015 were-

United States, Australia, United Kingdom, Denmark, Netherlands, France, Iceland, Sweden,

Finland and Norway (Terjesen and Lloyd, 2015).

In recent years, the debate about the marginality of women in academic science has

been extended to academics’ engagement with industry and their commercial efforts (Tartari

& Salter, 2015). Globally, women’s entrepreneurship is increasingly understood to be a key

driver of economic growth and job creation. Indeed, an estimated $4.5 trillion would be added to

Asia and the Pacific’s gross domestic product by 2025 by closing the gender disparities in

economic opportunities. Widely recognized as a key component of women’s economic

empowerment, women’s entrepreneurship has the potential to contribute significantly to

advancing women’s rights and increasing their influence (The Asia Foundation, 2018). Women

form a nation’s significant human resource (Pierce, Achdiawan, & Roshetko, 2016; Tartari &

Salter, 2015). They should be sued as instruments for the growth and development of the

economy as well as to their community. Women, on the other hand, are willing to take up

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business and lend their contributions to the growth of the nation. Women are now ready to do all

business and enter all professions like trade, industry, engineering, etc. (The Asia Foundation,

2018; Pedro, 1942; Pierce et al., 2016) The role and participation of women are recognized and

steps are being taken for the promotion of women entrepreneurship, women must be shaped up

properly with other entrepreneurial traits and skills to face the challenges of world markets,

meet the changes in the trends, be competent enough to sustain and strive for excellence in

the entrepreneurial field (Bumatay, Sulabo, & Ragus, 2008; Fini, Marzocchi, & Sobrero,

2009; Holwerda, 2018). Complete entrepreneurial development in a nation can be achieved

by the participation of women and therefore the growth and development of women

entrepreneurs must be accelerated. Entrepreneurship plays an imperative role in the growth of

any community. Development of entrepreneurship culture and qualitative business

development services are the major requirements for industrials growth, especially contribute

to the growth of every woman. Entrepreneurial skills are essential for industrialization and for

the alleviation of mass unemployment and poverty. Today, women in advanced market

economics own more than 25 percent of all businesses and women-owned businesses in

Africa, Asia, Eastern Europe, and Latin America are growing rapidly. In some regions of the

world, the transformation of the market economy, women entrepreneurs is a growing trend. A

woman as an entrepreneur is economically more powerful than as a mere worker because

ownership not only confers control over assets and liabilities but also gives her the freedom to

make decisions. Through entrepreneurship development a woman will not only generate income

for other women in the locality, but also will have a multiplier effect in the generation of

income and poverty alleviation (Emm, Ks, Gomolemo, & Oa, 2017; García-rodríguez & Gil-

soto, 2017; Junior, Antonio, Gimenez, & Wendling, 2018; Mamun, Binti, Nawi, Farhah, &

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Binti, 2016; Sánchez-escobedo, Fernández-portillo, Díaz-casero, & Hernández-mogollón,

2016). A woman as an entrepreneur is economically more powerful than as a mere worker

because ownership not only confers control over assets and liabilities but also gives her the

freedom to make decisions. Through identifying entrepreneurial skills, a woman generation

the skills for their own self-development (I. Ismail, Husin, Abdul, Mohd, & Che, 2016;

Jovane, Seliger, & Stock, 2017; Wickstrøm, Liu, & Schøtt, 2017). Empowering women is a

challenge. Micro-enterprises not only enhance national productivity, generate employment,

but also help to develop economic independence, personal and social capabilities among

women. Economic empowerment of women by micro-entrepreneurship led to the

empowerment of women in many things such as socioeconomic opportunity, property

rights, political representation, social equality, personal right, family development, market

development, community development and at least the nation development (D. Ismail, Khairy,

& Domil, 2014; Schneider, 2017; Suzana et al., 2014). Entrepreneurship development among

women can be considered a possible approach to economic empowerment of women.

Human resources and technology are the two important factors of growth in the new economic

order. To activate these two factors require entrepreneurship development in a big way in an

economy. Entrepreneurship and economic development have been found as positively

correlated variables in various research studies conducted in different nations. The growth of

developing economies may be attributed to a large extent to the growth of their entrepreneurship.

Further, the growth of women entrepreneurship has been relatively high in developing nations

as compared to developing countries(Khayri, Yaghoubi, & Yazdanpanah, 2011; Nardi &

Fella, 2017; Rachwa, 2011; Sánchez & Sahuquillo, 2012; Stephany, Fontinele, Maria, Barros,

& Moraes, 2017; Yang, Liu, & Mai, 2018).

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The Global Entrepreneurship Monitor (GEM) Report for Women 2016/17 reports that

274 million women were already running their own businesses across 74 economies, of which

111 million were running well-established businesses by 2016. As globalization is breaking

down the barriers that limited businesses by cultures, gender and geography, many partnership

and trade agreements have been developed in an attempt to encourage global economic activity

among women. Women are known to give back about 90 percent of their earnings to the health

and education of their communities and families, contributing to development directly, so it’s

easy to see why it is critical. Understanding women’s entrepreneurial attitudes, trends and

activity from all over the globe will help shape government policies at various levels along with

the numerous educational and training programs aimed at improving the business environment

for women.

Here are some interesting findings -- and paradoxes -- from the GEM Women report:

1. Developing economies see a higher male-female parity among entrepreneurs than developed

economies.

Asia and Latin America showed the highest parity between male and female entrepreneurs,

resulting in higher Total Entrepreneurial Activity (TEA) in factor-driven economies. Economies

at the innovation-driven stage of development saw women start businesses at 60 percent the rate

of men -- a surprisingly sharp decline from factor-driven economies. Despite the advantage of

technology in a typical innovation economy, fewer women were inclined towards

entrepreneurship.

2. More women than men cite opportunity motives for business.

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More women than men, about 20 percent more, cite opportunity as the primary reason for

venturing into business even in factor-driven economies. This only becomes more pronounced in

the innovation-driven group, where women are three and a half times more likely to cite

opportunity motives rather than necessity motives.

The increased opportunity perception is associated with the higher TEA. Also, the report shows

that women entrepreneurs have a 5 percent greater likelihood of innovativeness than men across

all 74 economies.

Related: Danica Patrick Spent Years Preparing to Retire -- by Laying the Groundwork for a New

Career

3. More women than men never start their business.

Though the number of women who aspire to start their businesses is closer to the number of men,

the gap widens among business-owners, indicating that women are less likely to start their

business and also more likely to exit at early stages or between phases of transition (4 out of 10

in factor-driven economies). This trend slightly improves in innovation-driven economies where

there are two exits for every 10 businesses owned by women.

Business discontinuance among women is associated with lower growth expectations and

dealing with their expected roles as primary caregivers for their families.

4. Women gravitate towards community-driven initiatives.

In the developed economies, more than half of women-led businesses are seen to be clustered

around government, health, education and social services. The report shows that women are

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geared towards sectors typically dependent on human capital -- possibly due to women’s

inherently greater emotional appeal.

5. Entrepreneurial activity declines as economic development increases.

Surprisingly, entrepreneurial activity among women showed a decline when economic

development improved, resulting in a wider gender gap.

While developing countries showed higher entrepreneurial activity, fewer enterprises were likely

to transition to a mature stage. Innovation-driven economies were seen to be more conducive for

sustainable businesses but registered slower growth than men-owned businesses. Interestingly,

women in innovation-driven economies displayed a less favorable view of their own capabilities

than women in developing economies.

Laurel Delaney, founder of Women Entrepreneurs Grow Global and author of the bestselling

book “Exporting: The Definitive Guide to Selling Abroad Profitably,” says “Even in a developed

economy, women business owners are less likely to explore and expand their products or

services because they think they can’t do it, or that they don’t have access to the right training,

education, advisory networks, mentorships and community programs. This perceived deficiency

makes it difficult for women to access markets, conduct marketing and establish relationships.”

Related: A Day in the Life of Jen Gotch, the Female Badass Behind the Multimillion-Dollar

Company Ban.do

6. Entrepreneurial activity declines as education level increases.

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Entrepreneurial participation was seen to decline with an increase in the level of education,

suggesting that general education is less relevant for building entrepreneurial skills or

competencies.

This fact is demonstrated by the emergence of entrepreneurial activities in the most unexpected

of places. A refugee camp in South Sudan was found to be flourishing with micro-enterprises

and small businesses, mostly led by women. Technology, the massive game changer is crushing

barriers between geographies and cultures, and unifying businesses with the perfect customer to

get them hooked without prohibitive costs.

“A global mindset starts with self-awareness, reflects an authentic openness to and engagement

with the world, and employs a heightened awareness to the sensitivity of cross-cultural

differences,” noted Delaney.

A person’s intention to act entrepreneurially is a strong predictor of entrepreneurial action,

especially starting a firm. This begs the question, what explains entrepreneurial intention?

People’s intentions have been considered consequences of their personal traits, demographic

background, cognitive make-up, and their context. Here we combine these approaches into a

two-level model to account for how intention is shaped by individual and cultural conditions

around the world. We hypothesize that intention is promoted by perceived capabilities, risk

propensity and awareness of opportunities, and that these are affected by demographic attributes,

especially formal education and entrepreneurial training, and by cultural context. We use the

GEM adult population survey in 2008 in all the 34 nations where people were asked about their

entrepreneurial training. We also use the World Values Survey in which national culture is

measured along two major dimensions, traditionality versus secular-rationalism and materialism

versus self-expressionism. The hypotheses are tested by regressions. We find that people’s

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entrepreneurial intention is promoted by their risk propensity, opportunity awareness and

especially their perceived capabilities. This entrepreneurial mindset is variously shaped by

demographics, notable gender in the way that men more often than women consider themselves

capable, risk-willing and aware of opportunities. People’s entrepreneurial attitude is also shaped

by their cultural context in the way that traditionality, more than secular-rationalistic culture,

promotes perceived capabilities, and also in the way that self-expressionism, more than

materialistic culture, enhances perceived capabilities and opportunity awareness.

Social psychology offers strong models of behavioural intentions with significant demonstrated

predictive value for several behaviours. Such models offer sound hypothetical structures that

particularly delineate the procedures underlying intentional acts. Metaexaminations (Kim &

Hunter, 1993) empirically demonstrate that “Intentions effectively predict behaviour and attitude

(states of mind) effectively predicts intentions.” Over an extensive variety of studies identifying

a wide range of behaviours and intentions to take part in those behaviour’s, attitudes explain

more than half of the changes in intentions. Intentions clarify at least 30% of the changes in

behaviour. Clarifying 30% of the difference in behaviour analyses positively to the 10% level

and is ordinarily clarified straightforwardly by quality measures or attitudes (Ajzen, 1987). More

distal marvels, for example, profession decisions will probably bring about a smaller effect. Still,

intentions remain a huge, unbiased indicator of career choice (Lent et al., 1994).

The theory of reasoned action (TRA) (Fishbein & Ajzen, 1975; Ajzen & Fishbein, 1980)

generally asserts that “The central cause of an action/behaviour is the intention, more specifically

behavioural intention, that is, what one anticipates doing or not doing.” The intention, on the

other hand, is dictated by attitude (evaluation of the action/behaviour) and a subjective norm

(evaluation of other available options) (Trafimow, 2009). TRA is comprised of three noteworthy

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constructs: (1) the behavioural intention that relies upon (2) subjective standards (nor) (3)

dispositions (attitudes). The more grounded the inspirational dispositions toward conduct are and

the more grounded the social standards toward conduct are, the more grounded the intention is.

Behavioural Intentions measures the quality of the intention to execute a predefined activity.

Subjective standards depict the weight by associates or companions to conform to standards. If,

for instance, entrepreneurship is viewed as excessively unsafe by guardians and companions, an

individual will be more averse to entrepreneurial conduct. Attitudes comprise the assumptions

about the outcomes of performing a predefined activity. Behavioural beliefs are assumed to be a

principle impact on one’s attitude towards performing a certain action/behaviour; normative

beliefs on the other hand impact one’s subjective norm towards performing an action/behaviour

(Madden et al., 1992). In summary, according to the theory of reasoned action, the immediate

precursor of behaviour is intention which is a function of information and beliefs (Madden et al.,

1992).

The TPB (Ajzen, 1985) extends the limit of unadulterated volitional control indicated by the

TRA. This is accomplished by including convictions with respect to the ownership of essential

assets and opportunities to proceed with a given conduct. The more assets and opportunities

people think they have, the more prominent their apparent behavioural control over their conduct

ought to be. As an account of behavioural and standardized convictions, it is additionally

conceivable to isolate these convictions and regard them as halfway autonomous determinants of

conduct (behaviour) (Madden et al., 1992). Marketing researchers, as well as social

psychologists, have had significant achievements utilizing intention-based models in pragmatic

applications and fundamental research. Such reliable, vigorous and replicable ideal models have

been generally applied in practical circumstances, such as career/profession preferences, weight

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loss and coupon use (Ajzen, 1987; Kim & Hunter, 1993). TPB distinguishes three attitudinal

predecessors of expectation. Two mirror the apparent attractive quality of playing out behaviour:

individual attitude toward results of the behaviour and perceived social standards/norms. The

third, perceived behavioural control reflects observations that the behaviour is individually

controllable. Perceived behavioural control reflects the apparent feasibility of playing out

behaviour and is accordingly identified with a view of situational competence (self-efficacy).

TPB additionally determines the forerunners of each of these attitudes.

Shapero’s model of the Entrepreneurial Event (SEE) is another important theory in the

entrepreneurship intentions world. It has been referred to as an implicit intention model specific

to the entrepreneurship domain (Krueger et al., 2000). In this model, the intention to venture into

business is said to be derived from the propensity to act upon opportunities, perceptions of its

attractiveness and lastly, likelihood of its success (Krueger et al., 2000). The model assumes that

“human behaviour is guided by inertia until an outside force interrupts that inertia.” The

interruption is most often negative such as an abrupt job termination; however, sometimes the

interruption of the inertia can be due to positive events such winning a lottery (Shapero & Sokol,

1982). The interruptions trigger a change in behaviour and the victim is always forced to make

decisions that seek the best opportunity available. (Krueger et al., 2000) According to Shapero,

behaviour depends on credibility and propensity to act. Credibility demands behaviour to be both

feasible and desirable. Thus, entrepreneurial events require both in order for the desired

potentiality, to start a business, to be achieved. In summary, the entrepreneurial event is viewed

as a result of cultural, social and personal factors further, Shapero defines perceived desirability

as the attractiveness of starting a business, i.e., both intra and extra personal impacts and defines

perceived feasibility as the level to which one feels capable of venturing into the

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entrepreneurship world. This is achieved empirically by using his proposed testable, eight-item,

inventory questions that aim at various aspects of perceived feasibility and desirability.

“People act on decisions based on their own personal disposition and thus reflect the aspects of

intentions.” Acting on an opportunity is highly dependent on control perceptions; the urge to

gain control as a result of taking action.

According to Ajzen, the interpretation of a behaviour is the set of the attitude towards it (i.e.

behavioural beliefs or perceived desirability), subjective norms (i.e., normative beliefs or

perceived feasibility) and perceived behavioural control (i.e., control beliefs or self-efficacy).

The attitude towards a certain behaviour is the degree to which an individual assesses a certain

behaviour or action to be beneficial and useful; thus, it indicates the personal favourable or

unfavourable evaluation of the intention to become an entrepreneur. The social norm is the social

pressure that considers people’s opinions of the proposed behaviour. It depends on the

expectation of aid from other important people, such as parents in the case of young

entrepreneurs. The perceived behavioural control represents the propensity to act and the

perceived feasibility of exhibiting a particular behaviour. It is the individual’s perception of

situational capabilities (i.e., self-efficacy). In our case, this predictor refers to students’

perception of the ease or difficulty of performing the entrepreneurial behaviour, and it is assumed

to reflect past experiences as well as anticipated impediments and obstacles. Ajzen clarified that

the exact nature of these relationships remains uncertain and is still an empirical issue, as there is

a general adherence to the particular context of reference. In this study, we focused on the

prediction of entrepreneurial intentions rather than on its realisation because the increasing

flexibility of jobs has led to increasing uncertainty of permanent work. Hence, given that the

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excess of flexibility has brought context to an excess of uncertainty, people prefer the

entrepreneurial way to avoid unemployment concerns.

Studies on Women Entrepreneurial Intentions Women would also like to try the way of

entrepreneurship. Indeed, the number of “pink” businesses increased in the last years. However,

many studies have found that males have a higher preference for entrepreneurship behaviour

than females. This preference is not due to a greater capacity of one compared to the other but

rather to the difficulties that women often meet, for example, in obtaining a bank loan because

women are perceived as less creditable than men. Different studies, however, analyse the

determinants of entrepreneurial intention according to the gender of people interviewed, but final

results are still mixed. Kolvereid (1996) found that males have a significantly higher preference

for self-employment than females. The author concluded that gender influences self-employment

intentions indirectly through their effect on attitude, subjective norm and perceived behavioural

control. Similarly, Veciana et al. investigated the attitude, social norms and perceived

behavioural control for entrepreneurship according to students’ gender in Spain and Puerto Rico

and concluded that, although the female students interviewed had a favourable perception of the

attitude towards entrepreneurship, their perceived social pressures were not positive and their

intentions were relatively low. It might seem obvious that women could have a high

entrepreneurial intention because governments often develop policies and special programs

addressed to them to encourage innovation and business development; however, despite these

facilities, women often find barriers in their entrepreneurial activity. Indeed, Davidsson (2003)

investigated the determinants of entrepreneurial intention based on Swedish participants and

concluded that gender has little or no direct influence on entrepreneurial intentions. In contrast to

the aforementioned studies, Hackett et al. found that gender differences are mediated by changes

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in self-efficacy. This was confirmed by Krueger et al. who stated that the role of gender enhances

our understanding of entrepreneurial intention. Similarly, Wang and Wong explained

entrepreneurial interest of students in Singapore based on personal background. The study

reveals that gender, family business experience and education level are significant factors in

explaining entrepreneurial interest. (Exploring the Entrepreneurial Intention of Female Students

in Italy)

Females who perceive themselves as entrepreneurially-skilled have higher intentions because it

also strengthens their motives to pursue entrepreneurship, and are willing to be more risky

toward achieving them. This is not the case by PBC, suggesting their push toward certain

entrepreneurial beliefs may be more resource-dependent than belief-based. This effect is

consistent whether there are or not necessity-related responses controlled for, suggesting

necessity, risk taking and an intrinsic motives toward entrepreneurship may be intertwined. A

serial mediation effect from motives and risk propensity between skill and intention is

significant, whether there are necessity-related responses controlled or not.

Males PBC of entrepreneurial endeavors does not increase intentions because is strengthens their

motives, nor perceiving themselves as entrepreneurially-skilled. Neither of these variables

increases their intentions as an effect of becoming riskier either. This effect is not consistent

when there are necessity-related responses controlled for. When they are, neither their motives,

nor their willingness to take risk, become impactful in any way whatsoever toward

entrepreneurial intentions, nor mediate any effect, suggesting they are better driven in our sample

by job security.

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Females answered in a way that, the more skillful they feel, the higher they would perceive their

propensity to take risks, which also significantly impacts their intentions for business. This same

statement applies for their motives to pursue entrepreneurship. This means both beliefs get

pushed by perceiving highly their abilities. Langowitz and Minniti (2007) also found a relation

between skill and intention in female students, and others, like Kickul et al. (2008) did with high

school students. We further strengthen and boost on these findings by including these indirect

effects. Unexpectedly, this is not what we found for males, neither by skills or PBC. It is worth

noting that their answers for risk taking propensity are not significantly different from females,

which means is not because they wouldn’t be risk takers themselves.

Risk taking propensity as an entrepreneur trait has been previously questioned (Brockhaus,

1980), and have found its usefulness as phase-specific (i.e., only for intentions; Zhao et al.,

2010). These results indicate some significant relationship (and only in one group), although, like

some of them would argue, it does not hint as an entrepreneur trait neither. Risk taking behavior

varies according to its context, regardless if people rate themselves as high risk takers (Nicholson

et al., 2005).

It’s not very likely that this case points to excitement for novelty or sensation-seeking for

riskiness, as it’s sometimes attributed to entrepreneurs [which has also been linked to biological

responses related to certain risk-taking behaviors, but usually involving danger (Zald et al.,

2008), which we seriously question it’s the entrepreneur case]. In fact, people in Spain rank

higher than their European neighbors in fear of failure (Peña et al., 2019), and has been

expressed as a reason for not being entrepreneurs, more so by females (Sánchez Cañizares and

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Fuentes García, 2010; Alemany et al., 2011; Peris-Ortiz et al., 2014). This hints the relation to

riskiness in this case may be out of a different reason.

The relation would likely sum up to whether people dare to stand up and take risks as a

composite of, both, an adaptive response to high uncertainty in the country, such as that given by

unemployment, and a personal likeability for business. Unlike males, necessity responses do not

dampen any path on females. What was found with the female sample is that the effect of skill,

combined with an increase of personal motives and risk propensity to intentions is present

regardless of the effects of necessity, suggesting they generally become riskier toward venture

creation to avoid unemployment, while finding achievable personal goals through it (which also

gets impacted by the prospects of job security). In other words, because they want it and because

they could use it to evade uncertainty. For the male sample, this does not seem to be the case,

and works dichotomously: being driven by necessity factors, but not for personal goals or

motives. Instead, it looks as if males may be considering entrepreneurship as a hypothetical

second option or failsafe, which may explain the non-significant relationship of risk-taking with

intentions.

Results also show females have stronger motives for entrepreneurship than males, which could

be due to some reasons. The first instinctual explanation would be because it’s an artifact defect,

as the variable lacks some items that have been found of importance to males, such as economic

ambition or the inherent challenge of what implies creating a business (Maes et al., 2014). In

other words, the variable slightly favors females. While this may be valid argument, however, it

is also linear thinking to fit results to an assumption: that males are always supposed to find it

more attractive, which can be a defect in reasoning. The item composition of this variable shows

females actually responded higher in all four of its items, and the difference in their mean is

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significantly different. It can be said for certain the female sample is looking for independence,

novelty, and a feel of personal achievement as goals through entrepreneurship slightly higher

than males, and these impact their intentions, but not in males.

We believe this is partly due to field demographics. Males and females distribute among

different business sectors (Klapper and Parker, 2011), the latter more prone to create small,

single handed business (Coleman, 2007), which is the most common type in Spain (Peña et al.,

2019). Second, more than half of the female participants are education or social-related (i.e.,

Psychology) students, which is a female-dominated market in business (Kelley et al., 2017).

These results are logically reasoned if they their motives to pursue entrepreneurship are higher,

and means there are likely some sectors where females are looking for entrepreneurship because

it fills them as individuals more than in males. Irrelevant of the size of the difference, this is

important for female entrepreneurship literature.

Competitive environment is a powerful control that is perceived by women to start a business,

where they feel that they have a competitiveness with male entrepreneurs and produce

competitive products in the market, it will cause a strong intention to behave entrepreneurship.

The study also show that government support has no direct influence on the perceived

behavioural control but influence on competitive environment. Based on the research, the

government role is still lacking in enhancing women entrepreneurial intention.

Entrepreneurship training conducted by the government still does not reach the rural areas, so

many women entrepreneurs are lack managerial knowledge. To enhance the intention of women

entrepreneurs, the government must have an active role in facilitating women. Coaching and

mentoring programs are an effective way to enhance the women entrepreneurial intentions,

especially in rural areas. Therefore, the promotion of women's entrepreneurship as social choice

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will be very relevant instrument to enhance women entrepreneurial intention.

(https://www.globalilluminators.org/wp-content/uploads/2014/09/327.pdf)

The growing viability of entrepreneurship has promoted individual career options of

entrepreneurship. In recent years, female entrepreneurship has been increasingly popular and it

plays a more and more important role in economic development (Verheul, Thurik, and Grilo,

2006), contributing to job creation and social wealth, as well as the diversity of entrepreneurship

(Langowitz and Minniti, 2007). However, the rate of women entrepreneurship still falls far

behind that of men. Women business ownership only accounts for about half of that for men

(Fairlieand Robb, 2009) and the lower rate of women entrepreneurship has been found in

different countries, such as Canada, US, Portugal, and UK (OECD, 2008). Although the increase

in entrepreneurship rate, males seem to dominate the entrepreneurship world. The disparity

between females and males regarding their entrepreneurial career interests and attitudes has

provoked loads of study on the effect of gender on entrepreneurship. For example, researchers

found that several factors influence the participation of male and female entrepreneurs, including

financial support, risk-taking propensity (Verheul, Thurik, and Grilo, 2006), alertness to existing

opportunities (Langowitz and Minnitti, 2007), and internal control (Wilson, Kickul, and Marlino,

2007).Some researchers believed that the divide between men and women is determined by their

gender stereotypes which impact people’s cognition and behavior (Gupta et al., 2005).

Entrepreneurship is traditionally considered masculine, so men tend to have higher intention to

pursue an entrepreneurial career (Johnson, Stone, and Philips, 2008; Langowitz and Minnitti,

2007; Petridou, Sarri, and Kyrgidou, 2009). To encourage entrepreneurship for both females and

males, governments and academics concentrated on entrepreneurship education, which is

recognized to improve entrepreneurial intention and performance (Linan, Rodriguez-Cohard, and

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Cantuche, 2011). Many scholars argued that education and training on entrepreneurship are

crucial to fostering the entrepreneurial intention that predicts entrepreneurial behavior (Dickson,

Solomon, and Weaver, 2008; Dutta, Li, and Merenda, 2010; Souitaris, Zerbinati, and Al-Laham,

2007). These studies, however, did not investigate the effect of entrepreneurship education by

gender, i.e., what are the differences between male and female students being exposed to

entrepreneurship education? Or does entrepreneurship education have a different degree of

impact on entrepreneurial attitudes and intentions of females and males? As the perception of

females and males about entrepreneurship are different (Gupta et al., 2005), the influence of

entrepreneurship education on their entrepreneurial attitudes and intentions would be different.

The interaction between gender and entrepreneurial intent as it relates to Communal Tendency,

in which women with intent to become entrepreneurs endorsed more communal tendencies than

men, has an important implication. Whereas entrepreneurship has classically been

conceptualized as an individualistic, masculine endeavor, much research has shown that women

entrepreneurs often endorse motivations that are inconsistent with that model of entrepreneurship

(Allen & Curington, 2014; Kirkwood, 2009). Our finding highlights that women may already

bring a different entrepreneurial personality to the table. Illuminating diversity in entrepreneurial

personality could encourage more women to start their own businesses and expand the field in

general.

Studies have shown that gendered stereotypes about entrepreneurship have a profound effect on

intention to become an entrepreneur. Women are more likely to see feminine traits more

consistent with entrepreneurship than men (Gupta, Turban, Wasti, & Sikdar, 2009). In addition,

stereotypes may play a role in gender differences in entrepreneurship through stereotype threat

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(see Spencer, Logel, & Davies, 2016 for a review of the literature). That is, women who

associate femininity with poor performance in a particular domain may do less well on relevant

tasks when subtly reminded of gender. This process may deter women’s entry into

entrepreneurship to the extent that entrepreneurship and the related tasks are perceived as “male”

(Farrington, 2012). Beliefs about one’s own personality could influence performance in

entrepreneurship contexts, which could in turn confirm those beliefs. Accordingly, we see

research into self-perceptions of personality traits, as well as interventions targeting self-

perceptions, as a promising avenue for future studies.

Present results challenge masculine stereotypes of entrepreneurship, which has important

implications. If those who support entrepreneurship, such as venture capitalists and investors,

understand the advantages of different profiles of entrepreneurship, it could potentially increase

female entry into entrepreneurship. For example, our finding that Communal Tendency is

elevated among women who want to become entrepreneurs highlights a pro-social trait that may

have specific benefits in building social capital. As others have suggested (Díaz-García &

Jiménez-Moreno, 2010), if research and policy can increase the visibility and desirability of

women’s strengths in entrepreneurship, the field may be able to increase women’s perception

that entry into entrepreneurship is consistent with core elements of their gender identity.

Studying the self-perceptions of women entrepreneurs also provides an opportunity to identify

alternative forms of entrepreneurship that may have gone unnoticed in favor of more traditional

entrepreneurial styles. By diversifying conceptions of entrepreneurship, we also may be able to

foster a more diverse and robust economy.

Past research has shown that business education can increase entrepreneurial motivation, which

can in turn increase entry into entrepreneurship (Krueger, Reilly, & Carsrud, 2000, Petridou,

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Sarri, Kyrgidou, 2009; Raven & Le, 2015). However, women are less likely to enter

entrepreneurship-focused educational programs when recruiting materials only include male-

typed language and images (Hentschel, Horvath, Peus, & Sczesny, 2018). A worthwhile locus

for intervention into the gender disparity in entrepreneurship would be providing space and

acknowledgement of prosocial motivation and goals as one highly successful route to

entrepreneurship. Primary, secondary, and business schools and workplaces could utilize the

information presented in this study to develop programs to better foster women’s

entrepreneurship from an early age. (https://www.ncbi.nlm.nih.gov/pmc/articles/PMC6892344/)

Not all of the hypotheses were confirmed, but on the basis of them we can say that there is one

undisputed conclusion – Polish high school students’ entrepreneurial intentions don not differ

significantly because of gender. The reason for this statement was the result of the regression

analysis. That analysis shows that there is no significant influence of gender on entrepreneurial

intention and that the same factor affects entrepreneurial intention in males as well as in female’s

cases. That results show how the attitude of Polish young women to entrepreneurial activity in

next few years can change. Nowadays they are more women who are self-confident and ready to

take risk. It can be also confirmed by the level of masculinity of Polish society, which has score

of 64 on Hofstede’s cultural dimension scale. Women’s entrepreneurship can also be the effect

of the situation on the Polish labour market. The period of time when young people after

graduation look for a job which equals their aspirations and level of education lasts often a year

or more. This situation motivates them to look for alternative solutions. In the case of women

this motivation can be higher because of maternity leave. Working in their own company can

guarantee them a stability of workplace and elastic work hours. What can be interesting is the

fact that the attitude toward behaviour is the factor which does not influence young Poles’

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entrepreneurial intention. It can be an introduction to a more detailed consideration. Here we

should look for answers to the following questions: why does this factor not have any significant

impact on entrepreneurial intention, do Polish young people perceive entrepreneurship as an

unattractive job perspective and what should be done to change it?

(http://soep.ue.poznan.pl/jdownloads/Wszystkie%20numery/Rok%202016/02_pawlak.pdf)

Input Process Output

 What are the  Interview  Analysis based
entrepreneurial
 Survey from the data
intentions of woman
in rural area for Questionnaire collected in
carrying out a new  Mean Rating order to identify
business? the
 What entrepreneurial
businesses/sectors in intentions and
which women
entrepreneurs are
capabilities of
mostly involved? women in a
 Does personal rural area.
attitude influence
entrepreneurial
intentions of
women?
 Does the capabilities
of woman is enough
to handle a
business?

Figure 1: Paradigm of the Study

Figure 1 shows the conceptual framework on which the researcher is guided to conduct this

study. The input box contains the variables which are needed to be collected. The process box

contains the methods on how inputs could be collected analysed through the use of survey

questionnaires which will be answered by the respondents and on how the data collected could

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be analysed. The output box contains the suggestions based from the data collected in order to

find out the entrepreneurial intentions and capabilities of women in a rural area specifically in

San Luis Pampanga.

The researcher aims to identify the entrepreneurial intentions and capabilities of women in a

rural area. Through this research, specifically it will answer the following:

 What are the entrepreneurial intentions of woman in rural area for carrying out a new

business?

 What businesses/sectors in which women entrepreneurs are mostly involved?

 Does personal attitude influence entrepreneurial intentions of women?

 Does the capabilities of woman is enough to handle a business?

Method of research is mainly focus in discovering or exploring new knowledge that could

widened up an individual understanding about the chosen topic or study. Thus, it intends to

identify the entrepreneurial intentions and capabilities of women in a rural area. For instance,

studying or identifying the entrepreneurial intentions and capabilities of women can help all the

aspiring woman entrepreneur to do their best to build a new business and it will give them more

clear perspective on how their capabilities affect their entrepreneurial intentions. It will also

benefit and help the future researcher as their guide for having deeper understanding or

knowledge about entrepreneurial intentions and capabilities of woman.

The research is all about the entrepreneurial intentions and capabilities of woman in rural area.

This study will focus only to the entrepreneurial intentions and capabilities of woman and it will

be conducted through the help of the perception of some woman entrepreneur in San Luis,

Pampanga.

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 Entrepreneurship- Entrepreneurship is the act of creating a business or businesses while

building and scaling it to generate a profit.

 Entrepreneurial- Characterized by the taking of financial risks in the hope of profit;

enterprising.

 Entrepreneur- An entrepreneur is an individual who creates a new business, bearing most

of the risks and enjoying most of the rewards. The entrepreneur is commonly seen as an

innovator, a source of new ideas, goods, services, and business/or procedures.

 Intentions- An intention is idea that you plan (or intend) to carry out.

 Capabilities- A capability is defined as a set of tasks that a system is potentially able to

perform (acquired skills) at a certain performance level (available capacity).

Chapter II: Method

The researcher utilize the descriptive quantitative design of the study in order to identify

the entrepreneurial intentions and capabilities of woman in rural area. The method is design for

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the researcher to gather information. Survey questionnaire will use to gather data from the

respondents in regards to their intentions and capabilities in business industry.

The respondents of the study were the woman entrepreneur of San Luis Pampanga. These

woman will be the research subjects since they’ve already have an existing business in San Luis

area. Personal data such as names and addresses of the woman entrepreneur of San Luis are

obtain from their records at the office of the municipality.

The researcher will use survey questionnaire answer by the respondents. Survey

questionnaires are used in order for the researcher to identify the intentions and capabilities of

woman entrepreneur.

The researcher will provide questionnaire to the respondents. The floated questionnaire

will check by the researcher and the data gathered will tally to get the majority responses made

by the participants of the study. The results will then discuss and recommendations will be made.

Ethical aspects of research must be followed in this research. To ensure privacy of data,

confidentially of the responses will be maintain. The researcher have reference and also asked

permission to conduct an interview or survey. The researcher put citation on the secondary data

and gather primary through survey research and sharing of ideas.

The basis of the data gather by the researcher on this research are the survey

questionnaire answers by the woman entrepreneur of San Luis. The data gather will be treated

through frequency method and ranking through the use of mean rating.

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