The classic definition of an Entrepreneur is “a person who organizes and manages a business undertaking, assuming the risk for the sake of the profit.” The word ‘entrepreneur’ is derived from the Old French word ‘entreprendre’ which was first used by the economic ‘theorist’ Richard Cantillon in 1755 in an essay where he used this term to describe a person who assumed the risk of buying goods in the belief that they could sell them at a higher price at a later time.
So, the term in French was used to describe ‘one who undertakes’ this particular risk. An Entrepreneur can be anyone of any age who has an idea and builds a business around that idea to provide a product or service to as many people as need it. They see a need and fill it. They are passionate about their idea, product or service. They are visionaries. They tend to see opportunity where others don’t and this often leads them to take risks that most people wouldn’t.
Entrepreneurs create wealth and opportunity, not merely for themselves but for everyone around them as well.
Entrepreneurs are sometimes born but more often, they are made. In the word of Peter. P. Drucker : “Innovation is the specific tool of entrepreneurs, the means by which they exploit changes as an opportunity for different business or a different service” As per Joseph A. Schumpeter- “Entrepreneur is one who innovates, raises money, and assembles inputs, chooses managers and sets the commercial organization going with his ability to identify them and opportunities which others are not able to identify and is able to fulfill such economic opportunities”. Entrepreneurship and therefore “the entrepreneur”, is at the core of what makes an enterprise succeeds, whether you call it an entrepreneurial firm, a small business, a family business, a home-based business, or a new business. So let us see- is setting up one’s business that simple and easy or is there more to it. In order to know what being enterprising is all about we need to understand the following terms- Entrepreneur, Entrepreneurship, and Enterprise. ENTREPRENEUR
An entrepreneur is a person who starts an enterprise. He searches for change and responds to it. A number of definitions have been given of an entrepreneur- The economists view him as a fourth factor of production along with land labour and capital. The sociologists feel that certain communities and cultures promote entrepreneurship like for example in India we say that Gujaratis and Sindhis are very enterprising. Still others feel that entrepreneurs are innovators who come up with new ideas for products, markets or techniques. To put it very simply an entrepreneur is someone who perceives opportunity, organizes resources needed for exploiting that opportunity and exploits it. Computers, mobile phones, washing machines, ATMs, Credit Cards, Courier Service, and Ready to eat Foods are all examples of entrepreneurial ideas that got converted into products or services. ENTREPRENEURSHIP
Entrepreneurship can be described as a process of action an entrepreneur undertakes to establish his enterprise. Entrepreneurship is a creative activity. It is the ability to create and build something from practically nothing. It comprises of numerous activities involved in conception, creation and running an enterprise. According to Peter Drucker Entrepreneurship is defined as ‘a systematic innovation, which consists in the purposeful and organized search for changes, and it is the systematic analysis of the opportunities such changes might offer for economic and social innovation.’ Entrepreneurship is a discipline with a knowledge base theory. It is an outcome of complex socio-economic, psychological, technological, legal and other factors. It is a dynamic and risky process. It involves a fusion of capital, technology and human talent.
Entrepreneurship is equally applicable to big and small businesses, to economic and non-economic activities. Entrepreneurship is a process. It is not a combination of some stray incidents. It is the purposeful and organized search for change, conducted after systematic analysis of opportunities in the environment. Entrepreneurship is a philosophy- it is the way one thinks, one acts and therefore it can exist in any situation be it business or government or in the field of education, science and technology or poverty alleviation or any others. ENTERPRISE
Entrepreneur is a person who starts an enterprise. The process of creation is called entrepreneurship. The entrepreneur is the actor and entrepreneurship is the act. The outcome of the actor and the act is called the enterprise. An enterprise is the business organization that is formed and which provides goods and services, creates jobs, contributes to national income, exports and overall economic development. .
1.2 WOMEN ENTREPRENEURS
Women Entrepreneurs may be defined as the women or a group of women who initiate, organize and operate a business enterprise. .‘Women Entrepreneur’ is a person who accepts challenging role to meet her personal needs and become economically independent. Government of India has defined women entrepreneurs as an enterprise owned and controlled by a women having a minimum financial interest of 51% of the capital and giving at least 51% of employment generated in the enterprise to women. Like a male entrepreneurs a women entrepreneur has many functions. They should explore the prospects of starting new enterprise; undertake risks, introduction of new innovations, coordination administration and control of business and providing effective leadership in all aspects of businesswomen owned businesses are highly increasing in the economies of almost all countries.
The hidden entrepreneurial potentials of women have gradually been changing with the growing sensitivity to the role and economic status in the society. Skill, knowledge and adaptability in business are the main reasons for women to emerge into business ventures A strong desire to do something positive is an inbuilt quality of entrepreneurial women, who is capable of contributing values in both family and social life. With the advent of media, women are aware of their own traits, rights and also the work situations. The glass ceilings are shattered and women are found indulged in every line of business from pappad to power cables. The challenges and opportunities provided to the women of digital era are growing rapidly that the job seekers are turning into job creators. They are flourishing as designers, interior decorators, exporters, publishers, garment manufacturers and still exploring new avenues of economic participation. In order to encourage more and more women enterprises in the MSE sector, several schemes have been formulated by this Ministry and some more are in the process of being finalized, targeted only at the development of women enterprises in India.
In India, although women constitute the majority of the total population, the entrepreneurial world is still a male dominated one. Women in advanced nations are recognized and are more prominent in the business world. But the Indian women entrepreneurs are facing.. The educated women do not want to limit their lives in the four walls of the house. They demand equal respect from their partners. However, Indian women have to go a long way to achieve equal rights and position because traditions are deep rooted in Indian society. Despite all the social hurdles, many women have become successful in their works.
1.3 CHARACTERISTICS OF WOMEN ENTREPRENEUR
1. Mental Ability – Entrepreneur must have creative thinking and must be able to analyze problems and situations. She should be able to anticipate changes. 2. Business Secrecy – She should guard his business secrets from his competitors. 3. Clear Objectives – She must have clear objectives as to the exact nature of business or the nature of goods to be produced. 4. Human Relations – She must maintain good relation with his customers, employees, etc. To maintain good relationship he should have emotional stability, personal relations, tactfulness and consideration. 5. Communication Ability – She should have good communication skills means both the sender and the receiver should understand each others message. 6. Technical Knowledge – She should have sufficient technical knowledge. 7. Independence – This is the most common denominator of all entrepreneurs.
They want to seize control of their future; thus they decide to become their own boss instead of laboring under the gaze of a master. 8. Persistence and Determination – The world of entrepreneurship is fraught with both success and failure. An important quality of a successful entrepreneur is the doggedness to continue pursuing a goal despite some setbacks and obstacles they may encounter on the road. This persistence and determination is fueled by a burning desire to achieve the goal of succeeding in the chosen field of business. 9. Self-Confidence – Along with independence, women entrepreneur possesses self- confidence. They believe in their capabilities and makes sure that they will put in their best effort into their particular endeavors and likewise expect the best results from it. Belief in one’s capabilities is very important in achieving any goal – especially in the world of entrepreneurship. 10. Creativity – In the business world, you cannot afford to be complacent and uncreative unless you want the competition to move up on ahead of you.
Creative people are naturally curious, inquisitive, bright and highly flexible when thinking. They keenly observe their environment and have an eye for spotting new trends that could spark a business opportunity. 11. Organized and goal-oriented -Women entrepreneur knows the value of organization in a business endeavor. A good entrepreneur has the ability to consolidate resources. 12. Visionary – Women entrepreneur has a vision for her future. 13.Risk-taking and Tolerance for Failure – A good women entrepreneur realizes that loss and failure are inherent in any business endeavor. Thus, an entrepreneur must always be ready to make calculated risks and face whatever consequences accompany those risks.
As in all fields of endeavor, the characteristic of a successful entrepreneur is in never giving up and in picking up the pieces and continuing the journey even if failure momentarily obstructs the way. 14. Perseverance and Hard Work – These are perhaps two of the most important entrepreneurial traits. 15. Commitment – Women entrepreneur will not achieve success if she gives up at the first sign of trouble. 16. Honesty and Honor – Another very important mark of a good entrepreneur is being honest and honorable in all business dealings and interpersonal relationships – whether it is between business partners, employees, peers or investors.
1.4 TYPES OF ENTREPRENEUR
Types of Entrepreneurs can be classified on different basis. Some of these basis include : 1. Type of business
2. Use of Technology
5. Stages in development
The entrepreneurs who come under this basis are as follows: TYPE OF BUSINESS
1. Business entrepreneur: Convert ideas into reality; deal with both manufacturing and trading aspect of business (Small trading and manufacturing business) 2. Trading entrepreneur: Undertakes trading activities; concerned with marketing (Domestic and international level)
3. Industrial entrepreneur: Undertakes manufacturing activities only; new product development etc (textile, electronics, etc) 4. Corporate entrepreneur: Interested in management part of organisation; exceptional organising, coordinating skills to manage a corporate undertaking (Ambani, Tata families)
5. Agricultural entrepreneur: Production and marketing of agricultural inputs and outputs (Dairy, horticulture, forestry) USE OF TECHNOLOGY
1. Technical entrepreneur: Production oriented, possesses innovative skills in manufacturing, quality control etc. 2. Non technical entrepreneur: Develops marketing, distribution facilities and strategies 3. Professional entrepreneur: Uses the proceeds from sale of one business to start another one. Brimming with ideas to start new ventures MOTIVATION
1. Pure entrepreneur: Psychological and economic rewards motivate him 2. Induced entrepreneur: Incentives, concessions, benefits offered by government for entrepreneurs motivates him 3. Motivated entrepreneur: Sense of achievement and fulfillment motivate him 4. Spontaneous entrepreneur: Born entrepreneurs with inborn traits of confidence, vision, initiative GROWTH
1. Growth entrepreneur: One who enters a sector with a high growth rate; is a positive thinker 2. Super growth entrepreneur: One who enters a business and shows a quick,steep and upward growth curve STAGES IN DEVELOPMENT
1. First generation entrepreneur: Innovator, risk taker, among the firsts in family to enter business. 2. Modern entrepreneur: Who considers feasibility of business, which can adapt to change and dynamic market. 3. Classical entrepreneur: One who gives more importance to consistent returns than to growth; concerned about customer and marketing needs. 4. Innovating entrepreneurs are generally aggressive in collecting information, analyzing and experimenting attractive possibilities into practice. They are always creative and bringing in innovation in their work. 5. Imitative entrepreneurs are ready to adopt and are more flexible in imitating techniques developed by others. They exploit opportunities as they come and are mostly on a small scale.He is more of an organizer of factors of production than a creator. In the context of a poor country, he is definitely a change agent and hence he is important in underdeveloped countries. OTHERS
1. Area: Rural and Urban entrepreneur
2.Gender/Age: Men and Women entrepreneur
3.Scale : Small and Large scale entrepreneur
1.5 FUNCTION OF WOMEN ENTREPRENEUR
These are the functions performed by women entrepreneur.
1. Planning of the project: She is the organizer to conceive the idea of launching the project and to program the structure of business. 2. Management: The entrepreneur is also responsible for the management of business. She tries to have a least cost combination of factors of production. 3.To Face Risks: She faces uncertainly and bears risks in his business uncertainly comprising those risks against which it is not possible to insure. She also faces the risk of other producers may enter the market. 4. Distribution of Rewards: She is responsible of distributing the rewards to all factors of production. She pays the reward in the shape of rent, wage, and interest and bears the risk of profit or loss she. 5. Sale of Products: Women entrepreneur is also responsible of marketing, advertising. She wants to maximize her profits by selling her product in the market.
6. Scale of Production: She decided the scale of business in according with the provision of capital. Then, she takes the decision of what where and how to produce goods. 7. Joint stock Organization: In a partnership, the entrepreneurial functions are divided between the partners. But in public limited company, the board of directors takes this responsibility with nationalized enterprise; the entrepreneurial decisions are left to the government or a body to which government has delegated its powers. 8. Identifying Entrepreneurial opportunity – There are many opportunities in the world of business. These are based on human needs like food, fashion, education, etc., which are constantly changing. Women entrepreneur therefore, has to keep her eyes and ears open and require imagination, creativity and in formativeness. 9. Turning ideas into action –Women entrepreneur should be capable of turning her ideas into reality. She collects information regarding the ideas, products, practices to suit the demand in the market. Further steps are taken to achieve the goals in the light of the information collected.
10. Feasibility study – The women entrepreneur conducts studies to assess the market feasibility of the proposed product or services. She anticipates problems and assesses quantity, quality, cost and sources of inputs required to run the enterprise. 11. Resourcing – The entrepreneur needs various resources in terms of money, machine, material, and men to running the enterprise successfully. An essential function of women entrepreneur is to ensure the availability of all these resources..She also tries to find out a suitable location, design the premises, install machinery and do many other things. 13. Managing the enterprise – One of the important functions of women entrepreneur is to run the enterprise. She has to manage men, material, and finance and organize production of goods and services. She has to market each product and service, after ensuring appropriate returns (profits) of the investment. Only a properly managed organization yields desired results. 14. Growth and Development – Once the enterprise achieves its desired results, the entrepreneur has to explore another higher goal for its proper growth and development. The entrepreneur is not satisfied only with achieving a set goal but constantly strives for achieving excellence.
1.6 QUALITIES OF WOMEN ENTREPRENEUR
Being an entrepreneur is about more than just starting a business or two, it is about having attitude and the drive to succeed in business. All successful Entrepreneurs have a similar way of thinking and posses several key personal qualities that make them so successful in business. Successful entrepreneurs like the ambitious Richard Branson have an inner drive to succeed and grow their business, rather than having a Harvard Business degree or technical knowledge in a particular field
1. Inner Drive to Succeed: Women Entrepreneurs are driven to succeed and expand their business. They see the bigger picture and are often very ambitious. Entrepreneurs set massive goals for themselves and stay committed to achieving them regardless of the obstacles that get in the way. 2. Strong Belief in themselves: Successful entrepreneurs have a healthy opinion of themselves and often have a strong and assertive personality. They are focused and determined to achieve their goals and believe completely in their ability to achieve them. Their self optimism can often been seen by others as flamboyance or arrogance but entrepreneurs are just too focused to spend too much time thinking about un-constructive criticism. 3. Search for New Ideas and Innovation: All women entrepreneurs have a passionate desire to do hinge better and to improve their products or service. They are constantly looking for ways to improve. They’re creative, innovative and resourceful.
4. Openness to Change: If something is not working for them they simply hange.Women Entrepreneurs know the importance of keeping on top of their industry and the only way to being number one is to evolve and change with the times. They’re up to date with the latest technology or service techniques and are always ready to change if they see a new opportunity arise. 5. Competitive by Nature: Successful women entrepreneurs thrive on competition. The only way to reach their goals and live up to their self imposed high standards is to compete with other successful businesses. 6. Highly Motivated and Energetic: Women Entrepreneurs are always on the move, full of energy and highly motivated. They are driven to succeed and have an abundance of self motivation. The high standards and ambition of many entrepreneurs demand that they have to be motivated. 7. Accepting of Constructive Criticism and Rejection: Innovative entrepreneurs are often at the forefront of their industry so they hear the words “it can’t be done “quite a bit.
They readjust their path if the criticism is constructive and useful to their overall plan, otherwise they will simply disregard the comments as pessimism. Also, the best entrepreneurs know that rejection and obstacles are a part of any leading business and they deal with them appropriately. 8. Women entrepreneur must be a risk-taker: A businessman must always have the confidence and the guts to pursue a venture that she believes would push through and flourish. She cannot be risk-averted, for it could take its toll on the opportunities that he will miss. 9. Women entrepreneur must think critically: A thorough analysis and study of the industry and the business environment. In this way, she could identify the trends and the current status of the industry that she wishes to pursue or join. Matched with her risk-taking attitude, certain success awaits her.
She should think, always, “outside-of-the-box.” 10. Women entrepreneur must have a wide network of contacts: She must have numerous connections with other entrepreneurs, so as to expand her horizons and discover further business opportunities. 11. Women entrepreneur must know how to rise again when she stumbles: Failure is not the end of the game. Instead, it should be considered as a challenge and as the start of another business chapter. Through failures, one learn to cope and recover, as experience is gained at each circumstance. 12. Women entrepreneur must be persistent and resourceful: Just like the foregoing attribute, she must learn how to stand up from a fall, muster enough courage to recover and face the business fray once more. IN the process, as she perseveres, she is also ought to discover, invent and devise ways on how to correct her previous mistakes and so prevent them from recurring. 13. Self-confident: Self confidence is a key entrepreneurial skill for success. It is easy to become demoralized, frustrated and resentful if you lack self-confidence. Self-confidence is concerned with how a person feels about his ability.
A successful women entrepreneur believes in her abilities. She is not scared to explore un-chartered territories, take risk and take difficult decisions. Self-confidence, however, is not a personal trait that either you have or you don’t. A person can have high self-confidence in one situation and totally lack in another. This is one of those skills that can be developed by training. 14. Hard working: Successful entrepreneurs are persistent and hardworking. They master self-discipline to such extent that if a work is important and related to their goals, they will, eventually, complete it. Getting things done is the vital link between motivations and their outcome. At times, entrepreneurs force themselves to choose work over fun, a boring job against a pleasant one, working on tax papers rather than reading a glamour magazine.
This requires a self-control that many people simply fail to develop in them. 15. Responsible: Successful entrepreneurs try to take ful l responsibility for their actions. They know that what they are today, and what they are going to be tomorrow, depend solely on themselves, as it is the outcome of their own choices and decisions. They are proactive people, who set goals, walk an extra mile to achieve them and rely, primarily, on their own resources and abilities. 16. Goal-oriented: Successful entrepreneurs are capable of leading people and get work done by them. They use a combination of various methods – effective motivation, planning, coaching and evaluation – to lead people. They are concerned about the wellbeing of others and easily get along with people. 17. Risk taking: Risk taking- successful entrepreneurs must have ability to face with any risk, evolved from the action taking. And also, they must capable to find out any new solutions in their business matters or problems.
18. Creative and innovative : Creativity is the ability to use your insights and come up with new solutions to old problems, get things done in a different way or find a totally different approach for conventional things to work together. Entrepreneurs need creative thinking ability virtually in everything. Each new product, each new marketing method, each business decision – all these are fertile ground for creative thinking. All entrepreneurs have a passionate desire to do things better and to improve their products or service. They are constantly looking for ways to improve. They’re creative, innovative and resourceful. True entrepreneurs are resourceful, passionate and driven to succeed and improve. They’re pioneers and are comfortable fighting on the frontline The great ones are ready to be laughed at and criticized in the beginning because they can see their path ahead and are too busy working towards their dream.
1.7 THE ENTREPRENEURIAL PROCESS
A wide range of factors could influence someone to become an entrepreneur, including environmental, social, personal ones, or a combination of them. After one decides to be an entrepreneur, there are four steps of the entrepreneurial process he/she has to follow: 1. Spot and assess the opportunity.
2. Draw up a business plan.
3. Establish the resources needed and get them.
4. Run the company created.
1. Spot and assess the opportunity, to identify an opportunity and analyse its potential in terms of: market needs, competitors and market potential and product lifecycle. It is important the entrepreneur to test his/her
business idea/concept with potential customers, asking if they would buy the product or service, doing some research to find the market size and whether if it is growing, stable or stagnating, finding out about his/her competitors strengths and weaknesses, threats and opportunities. 2. Draw up the business plan. The business plan is an important part of the entrepreneurial process. A well planned business will have more chance to succeed all the other aspects of the company being equal. It is crucial for the entrepreneur to know how to plan his/her actions and lay out strategies for the business to be created or under expansion. 3. Establish the resources needed and provide them.
The entrepreneur should use his/her planning ability and bargaining skills to get to know the best alternatives on the financing market for their business, that is, which will offer the best cost benefit ratio. 4. Run the firm created. Running the company can seem to be the easiest part of the entrepreneurial process, since the opportunity has been identified, the business plan developed and the source of funding provided. But running a company is not as straightforward as it seems. The entrepreneur must recognize his/her limitations, recruit a first rate team to help manage the company, implementing actions to minimize problems and maximize profits. That is, the firm has to produce more, with the fewest resources possible, combining efficiency and efficacy. QUALITIES OF A SUCCESSFUL ENTREPRENEUR
1.8 SCHEME FOR THE DEVELOPMENT AND PROMOTION OF WOMEN ENTREPRENEUR In order to encourage more and more women enterprises in the MSE sector, several schemes have been formulated by this Ministry and some more are in the process of being finalized, targeted only at the development of women enterprises in India. 1. TRADE RELATED ENTREPRENEURSHIP ASSISTANCE AND DEVELOPMENT SCHEME FOR WOMEN (TREAD) With a view to encourage women in setting up their own ventures, government implements a Scheme, namely, “Trade Related Entrepreneurship Assistance and Development (TREAD) during the 11th Plan. The scheme envisages economic empowerment of women through the development of their entrepreneurial skills in non- farm activities.
There are three major components of the scheme; (i)GoI grant up to 30% of the total project cost to the Non-Government Organizations (NGOs) for promoting entrepreneurship among women. (ii) GoI grant up to Rs.1 lakh per programme to training institutions / NGOs for imparting training to the women entrepreneurs, subject to these institutions/NGOs bring their share to the extent of minimum 25% of GOI grant and 10% in case of NER. (iii) Need-based GoI grants up to Rs.5 lakh to National Entrepreneurship Development Institutions and any other institutions of repute for undertaking field surveys, research studies, evaluation studies, designing of training modules etc. 2. MICRO & SMALL ENTERPRISES CLUSTER DEVELOPMENT PROGRAMME
A cluster is defined as a group of enterprises, ideally having 100 members, producing same/similar products/services. While 100 members could be the minimum per cluster, depending on the density of population and other factors, even 200-300 could be a good target group for undertaking Diagnostic Study and the subsequent Soft Interventions in a cluster. However, in difficult and backward regions the target numbers could come down to 50 or less but it should not be too small as a lot of Government expenditure is made per cluster. 3.CREDIT GUARANTEE FUND SCHEME FOR MICRO AND SMALL ENTREPRISES The Scheme was launched in August 2000 to ensure better flow of credit to micro and small enterprises by minimizing the risk perception of financial institutions and banks in lending without collateral security.
Under the scheme, guarantee cover is provided to collateral free credit facility extended by member lending institutions (MLIs) to the new as well as existing micro and small enterprises on loans up to Rs.50 lakh. The guarantee cover available is up to 75% of the loans extended. The extent of guarantee cover is 80% for (i) micro enterprises for loans up to Rs.5 lakh; (ii) MSEs operated and/or owned by women; and (iii) all loans in the North-East Region. 4. SUPPORT FOR ENTREPRENEURIAL AND MANAGERIAL DEVELOPMENT
MSME-DIs regularly organize a number of Entrepreneurship Skill Development Programme (ESDPs)/ Entrepreneurship Development Programme (EDPs)/ Management Development Programmes (MDPs) to train the potential entrepreneurs in improving their techno/managerial knowledge and skill with a view to facilitating them to start MSEs in various fields. Many of the programmes are tailor made for the target group for SC,ST, OBC,Women, Minorities and other weaker sections and exclusively for women also.
These programmes are also called “Out-reach Programmes” as they are conducted in rural / less developed areas. 22.5% of total target of ESDPs/EDPs are conducted exclusively for SC,ST, Women and Physically Challenged persons with a stipend of Rs. 500/- pre month per candidate under the Promotional Packages for MSEs. No fees is charged from SC / ST,w omen and Physically Handicapped. 5. EXHIBITIONS FOR WOMEN UNDER PROMOTIONAL PACKAGE FOR MICRO & SMALL ENTERPRISES APPROVED BY CCEA UNDER MARKETING SUPPORT
DC (MSME) has formulated a scheme for women entrepreneurs to encourage Small & Micro manufacturing units owned by women and register in DI/DIC in their efforts at tapping and developing overseas markets, to increase participation of representatives of small/micro manufacturing enterprises under MSME stall at International Trade Fairs/Exhibitions, to enhance export from such units. Under this scheme, participation of women entrepreneurs in 25 international exhibitions is envisaged during the 11th Plan (2007-2012). With a view to encourage women entrepreneurs to participate in the International Exhibitions under MDA scheme it has been decided to: i) provide rent free space (6/9 Sq Mts) in the exhibitions
ii) reimburse 100% economy class air fare for one representative The overall ceiling shall however be Rs. 1.25 lac. During the period April 2008 to September 2008, Office of DC(MSME) participated in the following exhibitions with 36 women out of total 74 participants. Being an entrepreneur is about more than just starting a business or two, it is about having attitude and the drive to succeed in business. All successful Entrepreneurs have a similar way of thinking and posses several key personal qualities that make them so successful in business. Successful entrepreneurs like the ambitious Richard Branson have an inner drive to succeed and grow their business, rather than having a Harvard Business degree or technical knowledge in a particular field.
All successful entrepreneurs have the following qualities:
1. Inner Drive to Succeed : Entrepreneurs are driven to succeed and expand their business. They see the bigger picture and are often very ambitious. Entrepreneurs set massive goals for themselves and stay committed to achieving them regardless of the obstacles that get in the way. 2. Strong Belief in themselves : Successful entrepreneurs have a healthy opinion of themselves and often have a strong and assertive personality. They are focused and determined to achieve their goals and believe completely in their ability to achieve them. Their self optimism can often been seen by others as flamboyance or arrogance but entrepreneurs are just too focused to spend too much time thinking about un-constructive criticism.
3. Search for New Ideas and Innovation: All entrepreneurs have a passionate desire to do things better and to improve their products or service. They are constantly looking for ways to improve. They’re creative, innovative and resourceful.
4. Openness to Change : If something is not working for them they simply change. Entrepreneurs know the importance of keeping on top of their industry and the only way to being number one is to evolve and change with the times. They’re up to date with the latest technology or service techniques and are always ready to change if they see a new opportunity arise.
5. Competitive by Nature : Successful entrepreneurs thrive on competition. The only way to reach their goals and live up to their self imposed high standards is to compete with other successful businesses.
6. Highly Motivated and Energetic : Entrepreneurs are always on the move, full of energy and highly motivated. They are driven to succeed and have an abundance of self motivation. The high standards and ambition of many entrepreneurs demand that they have to be motivated! 7. Accepting of Constructive Criticism and Rejection : Innovative entrepreneurs are often at the forefront of their industry so they hear the words “it can’t be done” quite a bit. They readjust their path if the criticism is constructive and useful to their overall plan, otherwise they will simply disregard the comments as pessimism.
Also, the best entrepreneurs know that rejection and obstacles are a part of any leading business and they deal with them appropriately. 8.An entrepeneur must be a risk-taker :A businessman must always have the confidence and the guts to pursue a venture that he believes would push through and flourish. He cannot be risk-averted, for it could take its toll on the opportunities that he will miss. 9.An entrpeneur must think critically : A thorough analysis and study of the industy and the business environment. In this way, he could identify the trends and the current status of the industry that he wishes to pursue or join. Matched with his risk-taking attitude, certain success awaits him. He should think, always, “outside-of-the-box.” 10.An entrepeneur must have a wide network of contacts : He must have numerous connections with other entrepeneurs, so as to expand his horizons and discover further business opportunities.
1.9 INDIAN SCENARIO OF WOMEN ENTREPRENEUR
Powerful women Entrepreneurs in India-Indra Nooyi, S.Gandhi, Lalita & Kalpana,Vidya Manohar, Anu Aga,Simone Tata, Indu Jain, Priya Paul, Sulajja, Neelam Dhawan. The educated women do not want to limit their lives in the four walls of the house. They demand equal respect from their partners. However, Indian women have to go a long way to achieve equal rights and position because traditions are deep rooted in Indian society. Despite all the social hurdles, many women have become successful in their works. Recently, Forbes, one of the famous international business magazines, has published a list of most powerful women in various fields such as, politics, business. Indian women were also included in the list. Here are the names:
❖ Indra Nooyi- 4th position- Chief Executive—designate, Pepsi Co. This Madras born woman was a straight “A” student in her school. Nooyi did her bachelors from Madras Christian College and MBA from Indian Institute of Management, Calcutta. Nooyi then went to USA and attended Yale University. From Yale, she obtained degree on management. This brilliant corporate woman started her career in Boston Consulting Group and moved on to Motorola and Asea Brown Boveri. She joined Pepsi Co. in 1994. She turned the company into a bold risk taker. In 1998, Pepsi acquired Tropicana. In 1997, Pepsi started its own fast food chain. In 2001, she became President of Pepsi Cola. Wall Street Journal included her name in their top 50 women to watch in 2005.
Fortune magazine declared her 11th most powerful women in business. ❖ Sonia Gandhi-13th position—President, Congress Party She was born in Italy and had a normal upbringing. In 1964, she went to Cambridge to study English and met Rajiv Gandhi. The two fell in love and got married in 1968. Sonia’s entrance into politics was accidental. In 1991, after the assassination of Rajiv Gandhi, she was approached by the Congress Party leaders but she refused. She finally joined politics in 1998 by taking over the charge of Congress Party. Her opponents tried to ruin her image by labeling her as a foreigner, but with her timely decision to give up the position of Prime minister to Dr. Manmohan Singh, after winning the general election of 2004, she outmatched her opponents. ❖ Lalita Gupte & Kalpana Morparia—93rd position—Joint Managing Directors, ICICI Bank Kalpana Morparia and Lalita Gupte are Joint Managing Directors of ICIC Bank, the second largest bank of India. Lalita Gupte holds a Master’s Degree in Management Studies from Jamnalal Bajaj Institute of Management Studies. She joined ICIC Bank in 1971. Her reason behind success is her supportive family. She got great support from her husband and in laws. Ms. Kalpana Morparia is a graduate in law from Mumbai University. She joined ICIC in 1975 as a senior legal officer. In 1996, she became General Manager. She became Executive Director in 2001. In 1999, for her contribution in Finance and Banking sector in India, Indian Merchants’ Chamber awarded her.
❖ Vidya Manohar Chhabria—95th position—Chairman, Jumbo Group The wife of late Manohar Rajaram Chhabria, is now leading Jumbo Group, a Dubai based $1.5 billion business conglomerate. She became chairperson of the company after the death of her husband in 2002. She runs the business with the help of her three daughters. She was ranked 38th most powerful women by the Fortune magazine in 2003. you must have a clear idea of the things you must do for the day. Especially if you are running a one-person operation, you must have the ability to multi-task be the secretary at the start of the day typing all correspondences and emails, become the marketing man writing press releases before noon, make sales call in the afternoon, and become a bookkeeper before your closing hours. Imagine if you are selling products and you still have to create the products, deliver and fulfill the orders, rush to the bank to cash the checks. Lots of job for a simple home-based business!
No, you don’t have to be a superman (or superwoman). You simply have to know how to manage time and prioritize your tasks. One difficulty of working from home is that you can never seem to stop. There are simply too many things to do, as if work never stops (and it doesn’t!). Part of having good time management skills is knowing when to stop and when to leave work, and begin doing your other roles in your family as the husband, wife, mother or father. You must be able to know how to keep your home life separate from your work life, and ensure that there exists a balance between the two.
Administration skills : If you can afford to hire an assistant who will organize your office space and file your papers and mails, lucky you! However, most start-up entrepreneurs cannot afford such luxuries. Over and above the tasks of managing, marketing and planning your business, you also need to possess a great deal of administration skills. You need to file your receipts so tax time will not be a trip to Hades. You need to do all the work in terms of billing, printing invoices, collecting payments, and managing your receivables. Starting a business is never easy, even if you have the perfect background and
possess all the above skills. Having all the needed skills and qualities will not even ensure your success. But having these basic skills will, at least, lessen the pain of the start-up process, giving you greater chance in seeing your business grow and prosper. TYPES OF RISK FACED BY ENTREPRENEUR:
1. Financial risk
2. Family and social risk
3. Career risk
4. Psychological risk.
THE ENTREPRENEURIAL PROCESS
A wide range of factors could influence someone to become an entrepreneur, including environmental, social, personal ones, or a combination of them. After one decides to be an entrepreneur, there are four steps of the entrepreneurial process he/she has to follow:
1. Spot and assess the opportunity.
2. Draw up a business plan.
3. Establish the resources needed and get them.
4. Run the company created.
REVIEW OF LITERATURE
The purpose of this section is to review the theories and concepts that help to find the base of this study .The study mainly focus on what are the problems along with the socio cultural constraints that are affecting women entrepreneurial activities. To have in-depth knowledge, previous and past relevant studies have been quoted as below: Joseph Schumpeter and Alfred Chandler (1940) contributed in the study of entrepreneurship through their diverse coverage of countries, regions and industries, and – in contrast to much management research over the past two decades – through exploring how the economic, social, organizational, and institutional context matters to evaluating entrepreneurship. This working paper suggests that there are now exciting opportunities for renewing the research agenda on entrepreneurship, building on the strong roots already in place, and benefiting from engaging with advances made in the study of entrepreneurial behavior and cognition.
There are also major opportunities to complement research on the role of institutions in economic growth by exploring the precise relationship between institutions and entrepreneurs Hashemi (1986) asserted that women’s access to credit helps significantly to make an economic contribution by women, it makes possible an increase in asset holding by women in their name, they can exercise their increased purchasing power and get benefitted with higher level of mobility, political participation and involvement in major decision making. MYRADA (2000) asserted that the financial position of old women group had improved to better in comparison of new group. The members were also benefited with the increased confident level and awareness regarding health and child education. In order to visit the poor women, the activists for social alternatives have started a micro finance programme covering 2500 villages in Tamil Nadu. Mayox (2001) pointed out that the micro finance has negative impact on poor women.
Micro entrepreneurial activities increase the work load of women and loan repayment pressure. The rate of return on their investment is lower. When income of the women increased it is used for household activities. There has been a wider gap between the demand and supply of credit to women particularly rural women and naturally, they have to rely on money lender for credit which is easily available but at an exorbitant interest rate The ministry of women development, Malaysia (2003), reported that more women are moving into higher paying occupations of legislators, senior officials and managers from 5.0% in 2000, to 5.9% in 2003-2004. This figure is far better than Pakistan’s statistics of 1.4% in the same category for the year 2003-04. It is therefore expected that perception of the women managers of Malaysia should be more positive regarding organization, when compared to their Pakistan counterparts, thereby reflecting national values and priorities. Government of Pakistan (2003) observed that out of total no. of employee in the federal government, 165802 were male and 9387 females, of which 1898 were in officer category. In the northern areas secretariat, there was only one female official. In provincial government of Sind at the secretarial, out of 603 officers,18 female. Most were doctors and teachers.
The Sind police had 11Deputy superintendents of police mostly confined to women police stations. The Punjab secretarial had 21 female officers and 792 male officers. The report concludes” there is a virtual absence of women in the posts that carry power, status and prestige and in those which are considered to be decision making post. Total Entrepreneurship Activity (TEA) (2004) reported in varied from a low of 1.5 percent of the adult population to a high of 40 percent with Uganda, Peru, Ecuador and Brazil emerging as the countries with the highest TEA. Necessity entrepreneurship in these countries is high: in Peru and Uganda, as many as one in seven working adults are active entrepreneurs by necessity. Japan, Belgium, Italy, Sweden and Finland have the lowest levels of overall TEA. The level of entrepreneurship activity reflects differences in countries’ national income, increasing or decreasing depending on their per capita income level and living standards. Holvet (2005) observed that micro finance to poor women through women SHGs resulted into active participation of women in decision making.
Hussin (2006) found that “Malaysia has come a long way since independence in 1952. At that time, 75% of our population was under poverty, 80%of our economy was based on two commodities, namely tin and rubber. Through education and other measures, the government has been able to reduce poverty from almost 505 in 1970 to about 55 at present. Hard core poverty is now 1%. Minister, secretary general of the ministries and senior government official, many are women. And 60% of students in Malaysian universities today are women” Moyale, Dollar and Biswas (2006) observed that after joining SHG, the women members has achieved social and economic empowerment in terms of collective efficiency proactive attitude, self esteem, self sufficiency. EDA rural system and APMAS (2006) found out those women members got politically empowered after joining the groups and in every 5 SHGs, there was a women member who was either a ward member or a sarpanch. Kauffman (2009) provides researchers with a unique opportunity to study a panel of new businesses from startup to sustainability, with longitudinal data centering on topics such as how businesses are financed; the products, services, and innovations these businesses possess and develop in their early years of existence; and the characteristics of those who own and operate them.
This report highlights basic trends within the panel and some of the new questions that were added to the survey in 2009. Calendar year 2009 data on the firms’ sixth year of operations are now available online, in the NORC Data Enclave, and at the Census Bureau’s Research Data Centers. Professor Robinson (2009) reported that “women-owned businesses are the fastest growing segment of new business start-ups, and black women’s businesses are a larger share of black-owned businesses than white women’s businesses are of all white firms.” Beyond expanding the existing entrepreneurship literature, this study may be used by scholars as a foundation for subsequent empirical studies on African-American women entrepreneurs. Further, the study’s results may prove influential in creating new (or augmenting existing) policies and programs related to small business development and economic development Aisha Akram , Fehmida Akmar , Madiha Latif , Madeeha Jabeen (2010) reported that women empowerment has been increasing so rapidly all over the world and women are starting their own business to seek greater control over their personal and professional lives.
In Pakistan, women do not enjoy the same opportunities as men. The segregation of gender starts early and becomes a way of life. However, economic necessity is forcing more and more women to engage in economic activities-employment or entrepreneurship. These women are engaged in crafts such as embroidery, tailoring, carpet or mat making, shawl making, leatherwork, pottery, ceramics and food processing having incredible skills and potential. After observing the various past and previous relevant studies, we found out that number of women entrepreneur is growing. Various facilities like health facilities, child education, easy loans etc. are provided to them by government. Micro finance facilities are provided to poor women so they actively participate in decision making. So, it give us deep knowledge about the women entrepreneur.
Research is a careful investigation or inquiry especially through search for new facts in any branch of knowledge. It is a scientific and systematic search for pertinent information on a specific topic. It is an art of scientific investigation. Research is also considered as a movement from known to unknown, a voyage of discovery. According to Clifford woody research comprises defining and redefining problems, formulating hypothesis or suggested solutions; collecting, organizing and evaluating data; making deductions and reaching conclusions to determine whether they fit the formulating hypothesis. In short, the search for knowledge through objective and systematic method of finding solution to a problem is research.
As such the term ‘research’ refers to the systematic method consisting of enunciating the problem, formulating a hypothesis, collecting the facts or data, analyzing the facts and reaching the facts and reaching certain conclusions either in the form of solutions towards the concerned problem or in certain generalization for some theoretical formation. Methodology enables the investigator, look at a problem in a systematic, meaningful and orderly way. It comprises of sources of data, various designs and techniques used for analyzing the data. Research methodology is a way to systematically solve the research problem. In it we study various steps that are generally adopted by a researcher in studying his research problem along with the logic behind them. It is necessary for the researcher to know not only the research methods/ techniques but also the methodology. Researchers not only need to know how to develop certain indices or tests, how to calculate the mean, the mode, the median or the standard deviation or chi-square, how to apply particular research techniques, but they also need to know which of these methods or techniques, are relevant and which are not, and what would they mean and indicate and why.
Researchers also need to understand the assumptions underlying various techniques and they need to know the criteria by which they can decide that certain techniques and procedures will be applicable to certain problems and others will not. From what has been stated above, we can say that research methodology has many dimensions and research methods do constitute a part of the research methodology. The scope of research methodology is wider than that of research methods. Thus, when we talk of research methodology we not only talk of the research methods but also consider the logic behind the methods we use in the context of our research study and explain why we are using a particular method or technique and why we are not using others so that research results are capable of being evaluated either by researcher himself or by others. Further research can be either quantitative or qualitative. Quantitative research is based on the measurement of quantity or amount. It is applicable to phenomena that can be expressed in terms of quantity. Qualitative research, on the other hand, is concerned with qualitative phenomenon, i.e., phenomena relating to or involving quality or kind.
1. To find out how many women want to become entrepreneur in the near future. 2. To find out the growth of women entrepreneur.
3. To find out in which activities women are mostly engaged. 4. To measure the extent to which each variables has an impact on women’s entrepreneurial activities. These variables are like finance, access to technology, skill development, expensive raw material, working environment, communication skills, training, education, experience, etc. 5. To identify the problems and barriers which are faced by women in conducting entrepreneurial activities 6. To know how women respond to these barriers
7. To know how women overcome these barriers.
8. To create awareness in women about their efforts and role in the society
The study was carried in the month of June and July 2011. The aim of study to conduct the research is to identify the problem and barriers which are faced by women in conducting entrepreneurial activities. The opinions were collected from 100 women. Ludhiana city is included in the sample size because of easy accessibility. it includes only females. The study is conducted in different areas of Ludhiana city. These are: ❖ Jammu colony
❖ Vishvkarma Town
❖ White Quarter
❖ Lal Quarter
❖ Dhuri Line
❖ Abdulapur Basti
❖ Dugri, Phase 2
❖ Model Town
❖ Kamla nagar
3.4 SAMPLE DESIGN
The study is based on descriptive research design which is concerned with described the preference of a particular, individual or a group. It is designed for protection against bias and unreliability. Sample units:
The sample size is an important feature of any empirical study in which the goal is to make inferences about a units of sampling. So in this project the sample units are 100 women. Further this is divided into 3 sections: 1 Women who are entrepreneur.
2. Women who wants to be entrepreneur.
3. Women who don’t want to be entrepreneur.
Size of sample:
The size of sample should neither be too large nor too small. It should be optimum which fulfills the requirements of efficiency, reliability and flexibilities. Sampling Technique
Convenient sampling has been taken for the study. As our target population is entrepreneur/self employed women, so we will do convenient sampling Sampled population
• Women doing embroidery work
• Women having their own Beauty parlor
• Women who are running schools , play way school
• Women who are running Boutique.
• Women who are running dress material shops.
• Women running training and coaching centre.
3.5 DATA COLLECTION
There are two sources of data collection namely primary source and secondary source. Both primary as well as secondary sources of data have been used for the purpose of research project. The primary source include questionnaire. The questionnaire was designed as closed ended questions after Pilot test and then supplied to 100 respondents for collecting the data and secondary source includes books, magazines, and journals and internet websites so on. Primary data was collected through well structured Questionnaire from those areas of Ludhiana city. ❖ Jammu colony
❖ Vishvkarma Town
❖ White Quarter
❖ Lal Quarter
❖ Dhuri Line
❖ Abdulapur Basti
❖ Dugri, Phase 2
❖ Model Town
❖ kamla nagar
Questionnaire For this research purpose we will prepare a questionnaire. And this questionnaire wills approximately containing 23 questions relating to concern problem. Nature of questionnaire will be self explanatory while keeping in mind that questionnaire should be motivated in nature. 3.6 ANALYSIS OF DATA
Analysis of data is done with the help of percentage method and weighted mean method. Bar diagrams and pie charts are also used to present the data. To find out the most significant factors which influence the respondents while conducting research Garrett’s ranking technique was used. As per this method, respondents have been asked to assign the rank for all the factors and outcome of such ranking have been converted into score value with the help of the following formula: Percent position= 100(Rij-0.5)/Nj
Rij= Rank given for the ith factor by the jth respondents
Nj= Number of factors ranked by the jth respondents.
By referring the Garrett’s table, the percent position estimated is converted into scores. Then for each factor the scores of each individual are added and then mean values is considered to be the most important. 3.7 LIMITATIONS OF THE STUDY
• Since convenience sampling method was adopted to choose the sample hence the sample may not be true representative of whole population. • A small sample size of 100 respondents may not be representative of the universe. • Due to time and resource constraints the survey was conducted within the limited area of Ludhiana city, hence the results of the study may not be held good for other town, cities etc. • Biasing in respondents views cannot be ignored. Accuracy of the respondents depends upon his or her mood and interest. • Time was another limiting factor. It was very difficult to complete this project in weeks.
ANALYSIS AND INTERPRETATION
Gender wise distribution
|Gender |Who are entrepreneur |Want to be an
entrepreneur |Don’t want to be an entrepreneur | | |No of Respondents |%age |No of Respondents |%age |No of Respondents |%age | |Male |0 |0 |0 |0 |0 |0 | |Female |40 |100 |40 |100 |20 |1 00 | |Total |40 |100 |40 |100 |20 |100 |
Source: Primary Data
Table 1 indicates that 100% respondents belongs to female group out of which 40% of respondents are entrepreneur, 40% are those who want to be an entrepreneur and 20% are those who don’t want to be an entrepreneur.
Age wise distribution
|Age |Who are entrepreneur |Want to be an entrepreneur |Don’t want to be an entrepreneur | | |No of Respondents |%age |No of Respondents |%age |No of Respondents |%age | |Below 20 years |0 |0 |6 |15 |0 |0 | |20-30 years |11 |27.5 |26 |65 |5 |25 | |30-40 years |13 |32.5 |8 |20 |5 |25 | |40-50 years |12 |30 |0 |0 |8 |40 | |Above 50 years |4 |10 |0 |0 |2 |10 | |Total |40 |100 |40 |100 |20 |100 |
Source: Primary Data
Table 2 indicates that maximum 32.5% respondents are entrepreneur belongs to 30-40 age group as against to 65% respondents who want to be an entrepreneur belongs to 20-30 age group whereas 40% respondents who belongs to 40-50 age group don’t want to be an entrepreneur
Categorization of Respondents
|Categorization |No. of Respondents |%age | |Entrepreneur |40 |40 | |Who want to be an entrepreneur |40 |40 | |Who don’t want to be an entrepreneur |20 |20 | |Total |100 |100 |
Source: Primary Data
Table 3 shows that 40% respondents are entrepreneur and 60% are not out of which 40% are those who want to be an entrepreneur while 20% are those who don’t want to be an entrepreneur.
Reasons for not being an entrepreneur
|Reasons |Who want to be an entrepreneur | | |1 | | |1 |2 | | |No of Respondents |%age |No of Respondents |%age | |Matric |3 |7.5 |3 |7.5 | |Higher secondary |7 |17.5 |3 |7.5 | |Graduation |21 |52.5 |20 |50 | |Post graduation |9 |22.5 |14 |35 | |Any other |0 |0 |0 |0 | |Total |40 |100 |40 |100 |
Source: Primary Data
Table 5 depicts that 52.5% women entrepreneur are graduate as against to 50% are graduate who wants to start their business in near future.
Importance of professional education for women entrepreneur
|Factors |Who are entrepreneur |Want to be an entrepreneur | | |No of Respondents |%age |No of Respondents |%age | |Yes |40
|100 |40 |100 | |No |0 |0 |0 |0 | |Total |40 |100 |40 |100 |
Source: Primary Data
Table 6 depicts that 100% of women entrepreneurs and 100% of those who want to be an entrepreneur in near future think that professional education is necessary for everyone to start their own business
Occupation wise distribution
|Occupation |Who are entrepreneur |Want to be an entrepreneur | | |No of Respondents |%age |No of Respondents |%age | |Boutique |16 |40 |7 |17.5 | |Beauty parlours |3 |7.5 |7 |17.5 | |School |2 |5 |2 |5 | |Play way school |5 |12.5 |4 |10 | |Interior decorator |0 |0 |3 |7.5 | |Training centre |9 |22.5 |14 |3.5 | |Shop |5 |12.5 |3 |7.5 | |Total |40 |100 |40
Source: Primary Data
Table 7 depicts that 40% of respondents who are entrepreneur running boutique as against to 17.5% women want to open their boutique and beauty parlour in near future
8(a) Responses showing reasons to start your business
|Reasons |Who are entrepreneur |Who want to be an entrepreneur | | |1 |2 | | |Garrett score |Avg. |Garrett rank |Garrett score |Avg. |Garrett rank | |To earn profit |2585 |64.6 |1 |2735 |68.4 |1 | |Freedom to make decision |1950 |48.7 |3 |1805 |45.1 |3 | |Self achievement |1795 |44.8 |4 |1725 |43.1 |4 | |Want for control |1365 |34.1 |5 |1360 |34 |5 | |Social status |2305 |57.6 |2 |2375 |59.4 |2 |
Table 8(b) depicts that 64.6 score is highest in case of those who are women entrepreneur,1 rank to earn profit as against to 68.4 in case of those who want to be entrepreneur, 1 rank to earn profit which shows that to earn profit as is the main reason to start business.
Age of starting a business
|Age |Who are entrepreneur |Want to be an entrepreneur | | |No of Respondents |%age |No of Respondents |%age | |Below 20 years |3 |7.5 |0 |0 | |20-30 years |25 |62.5 |22 |55 | |30-40 years |10 |25 |15 |37.5 | |Above 40 years |2 |5 |3 |7.5 | |Total |40 |100 |40 |100 |
Source: Primary Data
Table 9 depicts that 62.5% respondents starts their business at the age between 20-30 years as against to 37.5% respondents who want to start their business in future at age between 30-40 years
Mode of starting the business
|Mode |Who are entrepreneur |Want to be an entrepreneur | | |No of Respondents |%age |No of Respondents |%age | |Self started |33 |82.5 |35 |87.5 | |Inherited |7 |17.5 |4
|10 | |Bought from other |0 |0 |0 |0 | |Any other |0 |0 |1 |2.5 | |Total |40 |100 |40 |100 |
Source: Primary Data
Table 10 shows that 82.5% women self started their business as against to 87.5% women who also want to self start their business in near future.
|Location |Who are entrepreneur |Want to be an entrepreneur | | |No of Respondents |%age |No of Respondents |%age | |Within home |31 |77.5 |23 |57.5 | |Outside home |7 |17.5 |11 |27.5 | |Rented shop |2 |5 |6 |15 | |Any other |0 |0 |0 |0 | |Total |40 |100 |40 |100 |
Source: Primary Data.
Table 11 indicates that 77.5% women do their business within the home as against to 57.5% women also want to start their business within home in near future.
Responses regarding person employed
|Responses |Who are entrepreneur |Want to be an entrepreneur | | |No of Respondents |%age |No of Respondents |%age | |Yes |16 |40 |12 |30 | |No |24 |60 |28 |70 | | |40 |100 |40 |100 |
Source: Primary Data
Table12 indicates that 40% women entrepreneur employ other people as against to only 30% women want to employ other people in the future when they start their business
No of people employed by women entrepreneur
|No. of employee |Who are entrepreneur |Want to be an entrepreneur | | |No of Respondents |%age |No of Respondents |%age | |Less than 5 |13 |81.25 |10 |83.33 | |5-10 |1 |6.25 |1
|8.33 | |10-15 |2 |12.5 |0 |0 | |Above 15 |0 |0 |1 |8.33 | |Total |16 |100 |12 |100 |
Source: Primary Data
Table 13 indicates that 81.25% women entrepreneur employed less than 5 employee as against to 83.33% women who want to be an entrepreneur also want to employ less than 5 employee.
No of working hours of Women entrepreneur
|No. of hours |Who are entrepreneur |Want to be an entrepreneur | | |No of Respondents |%age |No of Respondents |%age | |0-8 hours |11 |27.5 |15 |37.5 | |8-10 hours |12 |30 |10 |25 | |10-12 hours |13 |32.5 |12 |30 | |Above 12 hours |4 |10 |3 |7.5 | |Total |40 |100 |40 |100 |
Source: Primary Data
Table 14 indicates that 32.5% women entrepreneur work for 10-12 hours as against to 37.5% women want to work only for 0-8 hours when they will start their business.
15(a) Problems you faced when you started your business
|Problems |Who are entrepreneur |Want to be an entrepreneur | | |1 |2 | | |Garrett |Average |Garrett rank |Garrett score |Average |Garrett rank| | |score | | | | | | |No problem |0 |0 |0 |0 |0 |0 | |Lack of self confidence |1870 |46.7 |4 |1890 |47.3 |4 | |Financial problem |2745 |68.6 |1 |2660 |66.5 |1 | |Lack of information |1945 |48.6 |3 |2035 |50.8 |3 | |Combining family & work life |2440 |61 |2 |2415 |60.4 |2 |
Table 15(b) indicates that 68.6 score is highest in case of those who are women entrepreneur,1 rank for financial problem as against to highest score is 66.5 in case of those who want to be an entrepreneur, 1 rank for financial problem which shows that financial problem is the main problem
Problem between family and work life
|Responses |Who are entrepreneur |Want to be an entrepreneur | | |No of Respondents |%age |No of Respondents |%age | |Yes |20 |50 |16 |40 | |No |20 |50 |24 |60 | |Total |40 |100 |40 |100 |
Source: Primary Data
Table 16 indicates that 50% women entrepreneur have problems to balance family and work life as against to only 40% women think that they suffer from these problem when they will start their their business.
17(a) Problems that occurred to balance family and work life
|Problems |Who are entrepreneur |Want to be an entrepreneur | | |1 |2 | | |Garrett score |Average |Garrett rank |Garrett score |Average |Garrett rank | |Lack of support |658 |32.9 |3 |679 |39.9 |3 | |Lack of time |1152 |57.6 |2 |926 |54.5 |2 | |Dual role |1190 |59.5 |1
|945 |55.6 |1 |
Table 17 (b) depicts that highest score is 59.5 in case of those who are women entrepreneur, 1 rank for dual role as against to 55.6 score is highest in case of those who want to be an entrepreneur, 1 rank for dual role. So dual role is main problem in both cases.
18(a) Responses regarding factors that help in overcome those problems
|Responses |Who are entrepreneur |Want to be an entrepreneur | | |1 |2 |Total |1 |2 |Total | |By cooperation |11 |9 |20 |9 |8 |17 | |Compromise with family members |9 |11 |20 |8 |9 |17 | |Garret Table value |63 |37 | |63 |37 | |
Source: Primary Data
18(b) Garrett ranking selection factors results
|Responses |Who are entrepreneur |Want to be an entrepreneur | | |Garrett score |Average |Garrett rank |Garrett score |Average |Garrett rank | |By cooperation |1026 |51.2 |1 |863 |50.7 |1 | |Compromise with family members |974 |48.7 |2 |837 |49.2 |2 |
Table 18(b) depicts that highest score is 51.2 is assigned to cooperation factor in case of those who are women entrepreneur as against to 50.7 is highest score in case of those who want to be an entrepreneur for cooperation factor. So it shows that women entrepreneur and those who want to be an entrepreneur overcome those problems by cooperation with family members.
19(a) Advantages to be Women entrepreneur
|Advantages |Who are entrepreneur |Want to be an entrepreneur | | |1 |2 | | |Garrett score |Average |Garrett rank |Garrett score |Average |Garrett rank | |Freedom/independence |1932 |48.3 |3 |2090 |52.3 |3 | |Financial help to family |2564 |64.1 |1 |2530 |63.3 |1 | |Self respect |2126 |53.1 |2 |2116 |52.9 |2 | |Woman got a respectful place in society|1378 |34.5 |4 |1264 |31.6 |4 |
Table 19(b) indicates that highest score is 64.1 in case of those who are women entrepreneur and 63.3 is highest score in case of those who want to be an entrepreneur is given to factor financial help to family which shows that financial help to family is the main advantages for becoming an entrepreneur.
Growth of women entrepreneur
|Responses |Who are entrepreneur |Want to be an entrepreneur | | |No of Respondents |%age |No of Respondents |%age | |Yes |40 |100 |40 |100 | |No |0 |0 |0 |0 | |Total |40 |100 |40 |100 |
Source: Primary Data
Table 20 depicts that 100% women entrepreneur and 100% of those who want to be an entrepreneur in the near future believe that there is growth of women entrepreneur.
21(a) Reasons for the growth of women entrepreneur
|Reasons |Who are entrepreneur |Want to be an entrepreneur | | |1 |2 | | |Garrett |Average |Garrett rank |Garrett score |Average |Garrett rank| | |score | | | | | | |More awareness |2160 |54 |2 |2155 |53.8 |2 |
|For self achievement |1840 |46 |3 |2012 |50.3 |3 | |Subsidies given to women |1325 |33.1 |4 |1165 |29.1 |4 | |To earn more money |2675 |66.8 |1 |2668 |66.7 |1 |
Table 21(b) indicates that highest score is 66.8 in case of those who are women entrepreneur as against to 66.7 is highest score in case of those who want to be an entrepreneur is given to factor, to earn more money which shows that main reasons for the growth of women entrepreneur is to earn more and more money.
22(a) Challenges faced by women entrepreneur
|Challenges |Who are entrepreneur |Want to be an entrepreneur | | |1 |2 | | |Garrett |Average |Garrett rank |Garrett score |Average |Garrett rank| | |score | | | | | | |Gaining acceptance of customer |1211 |30.3 |4 |1327 |33.1 |4 | |Combining family & work life |2277 |56.9 |2 |2256 |56.4 |2 | |Financial problem |2627 |65.7 |1 |2576 |64.4 |1 | |No time for acquiring training |1885 |47.1 |3 |1841 |46.0 |3 |
Table 22(b) indicates that highest score is 65.7 in case of those who are women entrepreneur as against to 64.4 is highest score in case of those who want to be an entrepreneur is given to factor financial problem which shows that main challenges that are faced by women entrepreneur and those who want to be an entrepreneur is financial problem.
FINDINGS AND RECOMMENDATIONS
The main findings of the study are:
1. 100% respondents belong to female group out of which 40% of respondents are entrepreneur, 40% are those who want to be an entrepreneur and 20% are those who don’t want to be an entrepreneur.
2. Maximum 32.5% respondents are entrepreneur belongs to 30-40 age group as against to 65% respondents who want to be an entrepreneur belongs to 20-30 age group
3. 40% respondents are entrepreneur and 60% are not out of which 40% are those who want to be an entrepreneur while 20% are those who don’t want to be an entrepreneur.
4. Lack of interest is the main reasons for not being an entrepreneur as well as lack of self confidence, lack of education, lack of self confidence are the other reasons.
5. 52.5% women entrepreneur are graduate as against to 50% are graduate who wants to start their business in near future.
6. 100% of women entrepreneurs and 100% of those who want to be an
entrepreneur in near future think that professional education is necessary for everyone to start their own business.
7. 40% of respondents who are entrepreneur running boutique as against to 17.5% women want to open their boutique and beauty parlour in near future.
8. Rank 1 to earn profit which shows that to earn profit as is the main reason to start business.
9. 62.5% respondents starts their business at the age between 20-30 years as against to 37.5% respondents who want to start their business in future at age between 30-40 years
10. 82.5% women self started their business as against to 87.5% women who also want to self start their business in near future.
11. 77.5% women do their business within the home as against to 57.5% women also want to start their business within home in near future.
12. 40% women entrepreneur employ other people as against to only 30% women want to employ other people in the future when they start their business
13. 81.25% women entrepreneur employed less than 5 employee as against to 83.33% women who want to be an entrepreneur also want to employ less than 5 employee.
14. 32.5% women entrepreneur work for 10-12 hours as against to 37.5% women want to work only for 0-8 hours when they will start their business.
15. Rank 1 for financial problem and dual role shows that financial problem and dual role is the main problem that is faced by women.
16. 50% women entrepreneur have problems to balance family and work life as against to only 40% women think that they suffer from these problem when they will start their business..
17. Financial help to family is the main advantages for becoming an entrepreneur.
18. 100% women entrepreneur and 100% of those who want to be an entrepreneur in the near future believe that there is growth of women entrepreneur.
19. Rank 1 to earn more money which shows that main reasons for the growth of women entrepreneur are to earn more and more money.
5.2 SWOT ANALYSIS
The SWOT analysis is a tool for auditing your small business and its environment – both internal and external. SWOT analysis is a framework for analyzing the strengths and weaknesses of your business, and the opportunities and threats you face. It’s generally a good idea to carry out a SWOT analysis once a year as part of your strategic planning process. This analysis that takes into account not only your own business, but also your competitor’s activities and current industry and marketplace trends.
Strength of women entrepreneur
Supplementing family income and support and cooperation of husband were reported as biggest strength for the women entrepreneur. Some points that shows the strength for the women entrepreneur. These are:
• Employee attitude towards women entrepreneur.
• Commitment and dedication of women entrepreneur towards business.
• Contacts of women entrepreneur in the society.
• Availability of easy loans.
Weakness of women entrepreneur
Less education and lack of business background act as their main weakness to run the enterprise. Some points that shows the weakness for the women entrepreneur. These are:
• Lack of in depth knowledge
• No idea of doing business
• Less interaction with the society that leads to lack of idea generation.
Opportunity for women entrepreneur
Increased production due to advanced machinery, satisfactory rates of raw material and availability of basic amenities were major opportunities perceived by women entrepreneur. Some points that shows the opportunities for the women entrepreneur. These are:
• Good education
• Urban area.
• Liberal views.
• Help of family members.
• More interaction with society.
Threats for women entrepreneur
Major threat felt by women entrepreneur was burden of dual responsibility. Some points that shows the threats for the women entrepreneur. These are:
• Obsolescence of product technology.
• Big unit competition.
• Lack of zeal and enthusiasm.
• Shifting place.
• Government non-acceptance.
• Shortage of capital.
• Community non-acceptance.
1. Family members and society have to support the women which help in the growth of entrepreneurial skills. 2. More and more opportunities have been provided to women so that they can start their own business. 3. Awareness about the financial institutions have been created among the women so that they can take the advantages of various schemes provided by these institutions in the form of incentives, loans, schemes etc. 4. Consider women as specific target group for all developmental programmes. 5. Better educational facilities and schemes should be extended to women folk from government part. 6. Adequate training programme on management skills to be provided to women community. 7. Encourage women’s participation in decision-making.
8. Vocational training to be extended to women community that enables them to understand the production process and production management. 9. Training on professional competence and leadership skill to be extended to women entrepreneurs. 10. Training and counseling on a large scale of existing women entrepreneurs to remove psychological causes like lack of self-confidence and fear of success. 11. Managerial experts and technical personnel should be provided to existing and emerging women entrepreneurs. 12. Making provision of marketing and sales assistance from government part. 13. Infrastructure, in the form of industrial plots and sheds, to set up industries is to be provided by state run agencies.
14. Industrial estates could also provide marketing outlets for the display and sale of products made by women. 15. A Women Entrepreneur’s Guidance Cell set up to handle the various problems of women entrepreneurs all over the state. 16. Programmes for encouraging entrepreneurship among women are to be extended at local level. 17. Training in entrepreneurial attitudes should start at the high school level through well-designed courses, which build confidence through behavioral games. 18. More governmental schemes to motivate women entrepreneurs to engage in small scale and large-scale business ventures.
An entrepreneur is a person who organizes and manages a business undertaking, assuming the risk for the sake of the profit. Women Entrepreneur is a person who accepts challenging role to meet her personal needs and become economically independent. The main characteristics of women entrepreneur are Mental Ability, Technical Knowledge, Communication Ability, Independence, Business Secrecy, Clear Objectives, Human Relations, Self-Confidence, Creativity, Organized and goal-oriented, Visionary, Risk-taking and Tolerance for Failure, Honesty and Honor, Commitment, Perseverance and Hard Work. There are various types of entrepreneur and these are divided on the basis of these factors:- Type of business, Use of Technology, Motivation, Growth, Stages in development, Others. Women entrepreneur perform various types of functions and possess various types of qualities. During research we found out that the various types of problems that are faced by women entrepreneur in starting their business and still continuously facing. Various government and non-government organizations take various steps to promote entrepreneurial activities. So various types of facilities are provided to women for the growth of women development.
I have done a research work on “Comparative study of Women Entrepreneur-Entrepreneurs versus would be an Entrepreneur” which various challenge, problems or advantages for being an entrepreneur. The main objectives of the study are to find the problems and barriers that are faced by women in conducting their entrepreneurial activities and to find out that how women manage all these problems. In this competitive era there is growth of women entrepreneur. Various opportunities are provided to them but according to the study conducted the results shows that in India still women entrepreneur are facing various problems in conducting their entrepreneurial activities. Women in India are faced many problems to get ahead their life in business. A few problems can be detailed as:- 1. Male dominance- The greatest deterrent to women entrepreneurs is that they are women. A kind of patriarchal – male dominant social order is the building block to them in their way towards business success. Male members think it a big risk financing the ventures run by women. 2. Poor creditworthiness-The financial institutions are skeptical about the entrepreneurial abilities of women. The bankers consider women loonies as higher risk than men loonies.
The bankers put unrealistic and unreasonable securities to get loan to women entrepreneurs. According to a report by the United Nations Industrial Development Organization (UNIDO), “despite evidence that woman’s loan repayment rates are higher than men’s, women still face more difficulties in obtaining credit,” often due to discriminatory attitudes of banks and informal lending groups (UNIDO, 1995b). 3. Inadequate financial resources and working capital- Entrepreneurs usually require financial assistance of some kind to launch their ventures – be it a formal bank loan or money from a savings account. Women in developing nations have little access to funds, due to the fact that they are concentrated in poor rural communities with few opportunities to borrow money (Starcher, 1996; UNIDO, 1995a). The women entrepreneurs are suffering from inadequate financial resources and working capital.
The women entrepreneurs lack access to external funds due to their inability to provide tangible security. Very few women have the tangible property in hand. 4. Family obligations- Women’s family obligations also bar them from becoming successful entrepreneurs in both developed and developing nations. “Having primary responsibility for children, home and older dependent family members, few women can devote all their time and energies to their business” (Starcher, 1996, p. 8).The financial institutions discourage women entrepreneurs on the belief that they can at any time leave their business and become housewives again. The result is that they are forced to rely on their own savings, and loan from relatives and family friends. 5. Dual Role- Indian women give more emphasis to family ties and relationships. Married women have to make a fine balance between business and home. More over the business success is depends on the support the family members extended to women in the business process and management.
The interest of the family members is a determinant factor in the realization of women folk business aspirations 6. Low-level management skills- Another argument is that women entrepreneurs have low-level management skills. They have to depend on office staffs and intermediaries, to get things done, especially, the marketing and sales side of business. Here there is more probability for business fallacies like the intermediaries take major part of the surplus or profit. Marketing means mobility and confidence in dealing with the external world, both of which women have been discouraged from developing by social conditioning. Even when they are otherwise in control of an enterprise, they often depend on males of the family in this area.
7. Male-female competition-The male-female competition is another factor, which develop hurdles to women entrepreneurs in the business management process. Despite the fact that women entrepreneurs are good in keeping their service prompt and delivery in time, due to lack of organizational skills compared to male entrepreneurs women have to face constraints from competition. The confidence to travel across day and night and even different regions and states are less found in women compared to male entrepreneurs. This shows the low level freedom of expression and freedom of mobility of the women entrepreneurs. 8. Knowledge of alternative source of raw materials availability-Knowledge of alternative source of raw materials availability and high negotiation skills are the basic requirement to run a business. Getting the raw materials from different souse with discount prices is the factor that determines the profit margin. Lack of knowledge of availability of the raw materials and low-level negotiation and bargaining skills are the factors, which affect women entrepreneur’s business adventures. 9. Knowledge of latest technological changes- Knowledge of latest technological changes, know how, and education level of the person are significant factor that affect business.
The literacy rate of women in India is found at low level compared to male population. Many women in developing nations lack the education needed to spur successful entrepreneurship. They are ignorant of new technologies or unskilled in their use, and often unable to do research and gain the necessary training (UNIDO, 1995b, p.1). Although great advances are being made in technology, many women’s illiteracy, strucutural difficulties, and lack of access to technical training prevent the technology from being beneficial or even available to females (“Women Entrepreneurs in Poorest Countries,” 2001). 10. Low-level risk taking attitude- Low-level risk taking attitude is another factor affecting women folk decision to get into business. Low-level education provides low-level self-confidence and self-reliance to the women folk to engage in business, which is continuous risk taking and strategic cession making profession.
Investing money, maintaining the operations and ploughing back money for surplus generation requires high risk taking attitude, courage and confidence. Though the risk tolerance ability of the women folk in day-to-day life is high compared to male members, while in business it is found opposite to that. 11. Lack of Achievement motivation- Achievement motivation of the women folk found less compared to male members. The low level of education and confidence leads to low level achievement and advancement motivation among women folk to engage in business operations and running a business concern. 12. High production cost- Finally high production cost of some business operations adversely affects the development of women entrepreneurs. The installation of new machineries during expansion of the productive capacity and like similar factors dissuades the women entrepreneurs from venturing into new areas.
Cite this essay
Women Entrepreneur. (2016, Mar 24). Retrieved from https://studymoose.com/women-entrepreneur-essay