Problems and challenges in startup for women entrepreneurs

Literature review
Introduction:

Worlds half of population are women (Khalid et al., 2020) but their contribution towards economic is
less than men. Accordance with the law women can start their any economic activity in order to earn.
Now a days businesses of women are emerging globally (Henry et al., 2016; Jamali, 2009; Jennings &
Brush, 2013)., therefore it is considered an active act for development in nations of the world. It will not
only increase jobs but also it increases development of the country (Vladasel et al., 2020). Which will be
the main reason to reduce poverty (Jones Christensen et al., 2015; Kimbu & Ngoasong, 2016; Nasir et al.,
2019; Sutter et al., 2019)..

Islam about women entrepreneurs:

Islam motivates women to contribute in business activities for social and economic growth. Women can
help themselves financially and socially, they can help their men to share burden to run their home,
make decisions and they can use their income for betterment of their children and home (Muhammad,
S., Ximei, K., Sharif, I., & ul Haq, Z. 2020)..

Worldwide role of women

Women entrepreneurs can play a vital role in economic, social and sustainable deployment of the world
through good health, education and other things (Al Mamun et al.2019)..This study tells that there is a
positive impact of women entrepreneurs in every world’s economies either developed or developing
country.

Women are observed that they are that women are rapidly extended entrepreneurs in the world
(Brush and Cooper, 2012; Patil and Deshpande, 2018). At this time it is underestimated that women
entrepreneurs are important index for world development. Women entrepreneurs play a vital role in
bringing out education, jobs, wealth, human development, health and reducing poverty especially in
developing countries.

The family network support

A family network can develop further chances in developing of new markets (Shane & Venkataraman,
2000; Venkataraman, 2019) and also support in continuous markets. It can also increase social distances
because women are not allowed in cultural context especially in western counties to develop social
network. Personal occasions can be the main reason to make social network (Venkataraman, 1997), as
people from locality joins occasions. So that would be the entrepreneur’s opportunity for running
markets. This study tells that family support is a part of social network that is important to make
economic relation among women circle (Larson & Starr, 1993), and it can enhance sales in local regions.

What leads to success to women entrepreneurs?

 family
 Family is playing a vital role in the life of women. Many women entrepreneurs start their
businesses with help of family and friends. . (Lee and Choo, 2001) found that help of family leads
to success and reduce conflicts. (Brindley, 2005) said that family and close friends are the main
root to help and assist to female entrepreneurs because they are trusted roots.

 Strong Social Networking

Mostly women feel that there should be someone with whom we can communicate and
he/she understand us that what we are going through. This can happen through
networks and get to gather with women entrepreneurs to discuss the problems and
spectacles. Research by (Fielden and Dave 2004) tells that socially barriers are the cause
of regretting the women’s succession. (McClelland et al. 2005) researched that women
entrepreneurs from Ireland, Singapore, Canada utilized that networking is important for
developing businesses. Through this networking group of people thing that they are part
of business and it helps to generate new ideas as business grows up.

 Self- motivation
Women who are motivated by their self they puts more efforts and time to make
business successful. (Nearchou-Ellinas et. al. 2004) said that willingness of women to
take decision and have control is the main factor for women to start the business. (Huck
and McEwen 1991) empirical study in Jamaican business owners showed that both
factors marketing and self-motivation factor is main successful factor for women
entrepreneurs.
 Information and Communication Technology (ICT)
The Information and Communication Technology (ICT) has been an important
source for women entrepreneurs to continue their business. According to
(Ndubisi and Kahraman 2006) development of new technologies and internet has
changed the way of business. ICT is a vital support for omen to carry on
business and achieve high profits with less cost of structure. , demographic
factors for women like gender, age, education and background are not as
obvious in cyberspace as in the real world, resulting in decreased head to head
business transactions and no discrimination for women entrepreneurs.

Women entrepreneur problems

Women entrepreneurs get problems in certain things like getting finances for their
business, management of business, marketing and in hiring suitable workers for their
business (Aslam, S., Latif, M., & Aslam, M. (2013).
Women entrepreneurs faces many provocations connected to personal things like help
of family, double role home management and some provocations are related to
business as less knowledge of entrepreneurship, less ablility to convice and bargain, and
to deal with suppliers (Noor, S., & Isa, F. M. (2020).
Factors affecting women Percentage
entrepreneurs
(AdeelAnjum, M., Khan, N.,
Raza, S. A., & Fatima, S.
(2012)

1. Family, self and Social 48%

Domain
- deficiency of family support 10%

- Family responsibility 08%

- Male supremacy 06%
- bitterness of society towards 05%
engagement of women in
businesses
- Non-Cooperation of male 04%
counterparts
- hardness in dealing with 03%
males
- Weak bargaining position 05%
- Intimidation 04%
- unavailability of experience 02%
- deficiency of proper trainings 01%

2. Financial & Economic 19%

Domain
- weak credit potential for 07%
women
- unavailability of finances 06%
- much taxes/fee/ duties etc. 03%
- Inflation 03%

3. Political & Environmental 16%

Domain
- Stringent regulations and 06%
policies
- Red-tape/bribery etc. 03%
- none of Governmental 02%
support
- Improper Training &
establishing Facilities 05%

4. Marketing & Mobility 17%

- fascinate customers 06%
- lack of sale points 04%
- hardness to find particular 03%
markets
- bad market behaviors 04%

Gender based challenges faced by women entrepreneurs

 Insufficiency of capital
The IPO tells that the major challenge that to establish women businesses is to unavailability of
technology and training, and very much low financial necessaries to by raw material in bulk.
Capital is the most challengeable obstacle for growing entrepreneurial plans, as entrepreneurs
handle impediments in getting money from financial sectors for financing the ventures because
there is required collateral. Entrepreneurship researched that presence of finance is most
important part of entrepreneur process. If these things happens than it would be helpful for
them like if three would be low interest, low exchange rates, and priority allocation of credit and
professional loans ( Mahmood, B., Sohail, M. M., Khalid, S., & Babak, I. (2012).

 Less training and education

Success of entrepreneur in is generally related with motives, skills and attitudes. The
ability to create an economic opportunity, creativity, visionary targets, imagination,
innovation, need to achieve, initiative, imagination, risk taking attitudes, co-ordination
and allocation abilities, decision-making, managerial, supervising, marketing and
accounting skills, trust, dynamism, cooperativeness, ability to trust and communicate,
internal focus of control and problem solving are considered most important
characteristics of entrepreneur. Education and training interferences are likely to
influence to behavior of entrepreneur directly or indirectly. The satisfaction of
entrepreneurship, education and training lies with the initiatives stressing practical
applications at the charges of spiritual establishment. Point of views, the psycho-social
foresees at the person and the traditional based, are vital motivators for entrepreneur
behavior pattern. If an individual entrepreneur wat to make effective of his education and
training so it would be through factual knowledge and limited required in the class room,
but through appreciation of new plans and success of that plans ( Mahmood, B., Sohail, M.
M., Khalid, S., & Babak, I. (2012).
Access to Financial Resources
 Challenges in accessing Finance

This is the greatest challenge for women entrepreneurship to grow and development. The barriers that they
handle in small businesses is to access finance to develop and make well stablished business. Little businesses have
little knowledge to acquire formal finance and they have less collateral to give, they are perceived high interest
customers for banks and other financial sector (Manwari, L., Ngare, P., & Kipsang, R. 2017).

 Gender bias in financial institutions

Gender related discrimination in to acquire finance can be directly or indirectly, unreachable for women.
Women mostly select the industry in which they use less capital or which are small-scale businesses because of
lending situation that is too restrictive. Financial sectors avid to give funds to high risk small business, women
related enterprises, and less innovative who are money borrowers. Financial sectors charge high interest because
it is not secured. So that therefore mostly they do acquire fund in formal from families or own savings (Singh, S., &
Dash, B. M. (2021)

Reasons for less market opportunity

 Obstacles to access market
Women had lack of knowledge, expertise, contacts and training therefore they were not able to market
service and goods tactfully. Moderate market has increased competition and enterprises handles big
competition from multinational companies and low cost producers. So that women entrepreneurs should
enhance their abilities to compete them (Nayyar et. al., 2007). Social situation mostly discourages in
dealing with foreign.

 Gender discriminate

(Coleman ,2000) said that man are more linked with planning than female, as regularly work of
women, can prevent them to get opportunity to acquire startup capital. And those women were
under served by financial sectors. ( Hafizullah et al,2012) talked about sovereignty of men in
society, it will generate problems for women entrepreneurs. Along with social and cultural and
religious factors women also handle problems based on gender biasness (Ahmad, 2011; Afza,
Hassan and Rashid, 2010)

 Little information

Entrepreneur’s exact information is very important to operate business unit. (Singh and Krishna ,1994), in the
paper said willingness to gain important information is very necessary to be successful business
entrepreneur. Knowing recent information is important to start, continue and development of new
business companies (Mead and Liedholm, 1998; Kristiansen, 2002; Swierczek and Ha, 2003; Duh, 2003).

 Less ability of risk taking

According to (Yordanova, 2011) capability of taking risk is seriously effect to entrepreneurs’ fitness
to tap the touchable or untouchable and financial resources required for the development of
 business. Deficiency in education gives outcomes of low self-reliance and less sufficiency among the
female entrepreneurs to contribute in strategic business that carries risk taking capability and
attitude. As cited by (Robinson, 2007) women avoided risk more (Anna et al., 1999; Cooper,
1993; Cliff, 1998; Yordanova, 2011; Adoram, 2011) and less possessive about monetary gain
(Rosa et. al., 1996; Brush, 1992). Women entrepreneurs could not bear huge risk because of
limitations. And they avoid risky ventures (Morris et. al., 2006).

Work-life ballace of women

Growing contribution of women in labor force develops certain problems, like arrangements of work
and responsibility of family (Frone et al., 1992; Guendouzi, 2006; Noor,2004; Shelton, 2006; Welter,
2004). Women started joining in working for independence and as they totally control their work and
personal lives (Baber and Monaghan, 1988; Machung, 1989; Ward, 2007). Managing work and
family is not child play for female instead of male because of large burden of family responsibilities
(Bird, 2006). Women have to handle un distribution childcare and some others family responsibilities
which becomes major challenge for their development in the business carrier (Cross and Linehan,
2006). The work life Balance is not only in western but also it is dispersed in eastern culture because of
globalization. The main point of review tells that many researched has been done in western
phenomenon at management level (Lewis et al., 2007; Lewis and Cooper, 2005; White et al.,
2003). This research tells about gap tried to make others know, and it gives thoroughly comprehend the
behavior of entrepreneurs linked with personal responsibilities and achieving personal objectives
(DeMartino et al., 2006; Shelton, 2006).

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