Ian Bathgate University of East London
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1 Ian Bathgate University of East London FP7-KBBE Network for the transfer of knowledge on traditional foods to SMEs. Coordinator: Institute of Technology Tralee, Tralee, Co Kerry, Ireland. Funded by the EC (Grant No: ).
2 Gender equality is not just about economic empowerment. It is a moral imperative, it is about fairness and equity, and includes many political, social and cultural dimensions. Female entrepreneurs make significant contributions to economic growth and to poverty reduction. In developed countries, opportunity is the driving factor. In developing countries, however, entrepreneurship comes about largely due to necessity. In the absence of other viable alternatives to provide for or supplement household incomes, entrepreneurship or selfemployment is the only viable option
3 Ida is a 41-years-old Dane. She has been married for 15 years now and has three kids at the age of 11 and 18. She is one of the few entrepreneurs in her family. Ida has master s degree in languages for specialized purposes from The Business School and is a translator and interpreter. She was offered a job as translator at a translation agency while she was writing her thesis and continued working there for some time. After one and a half year she left on maternity leave and gave birth of her second child. The baby was born with health problems and the whole family needed flexibility in order to be able to visit physiotherapists and doctors with the child.
4 Female entrepreneurs are more likely to operate in the informal sector or in traditional female sectors. Women-owned businesses tend to be informal, home-based and concentrated in the areas of small-scale entrepreneurship and traditional sectors, which primarily includes retail and service. Research suggests that the networks used by women entrepreneurs tend to be smaller. The Global Entrepreneurship Monitor suggests that female entrepreneurs in middle and high-income countries are substantially less likely than male entrepreneurs to know an entrepreneur
5 While women are making major strides in terms of educational attainment at primary and secondary levels, they often lack the combination of education, vocational and technical skills and work experience needed to support the development of highly productive businesses. Gender differences in opportunity identification have been linked to differences in human capital variables including education and work experience. Evidence generally suggests that women have less human capital to bring to self-employment which negatively impacts their opportunity identification and exploitation potential.
6 General entrepreneurship constraints Lack of technical and business skills Occupational segregation Gender-specific constraints Lack of a combination of education, work experience, vocational and technical skills Differences in endowments, preferences and barriers to entry and exit
7 General entrepreneurship constraints Lack of information and capital Barriers to entry and exit including costs and capital requirements Limited access to finance and capital Gender-specific constraints Overrepresentation in traditional sectors that have low start-up costs and limited barriers to entry Female entrepreneurs, especially those in informal enterprises, operate home-based businesses
8 General entrepreneurship constraints Use of cheap technology resulting in high production costs and lack of competition Limited market opportunities which leads to lower profits Gender-specific constraints Lack or limited access to technology due to affordability, lack of knowledge, and/or social norms Women more likely to start enterprise in sectors with low effective demand leading to lower profits
9 General entrepreneurship constraints Limited access to finance due to absence of financial markets, high collateral requirements and interest rates, and additional bank charges Financial institutions reluctant to lend to MSMEs that are just starting due to high risk involved given their lack of financial record Lack of financial products and services for MSMEs Gender-specific constraints Less favourable profile with investors since women own small businesses and do not have adequate collateral Financial institutions may require higher collateral from female entrepreneurs. Some banks may also require women to have a male co-signer in order to open accounts Low financial market participation Preference for own savings to finance enterprises instead of credit from financial institutions
10 General entrepreneurship constraints Operating informal businesses Lack of business training leads to low productivity Gender-specific constraints Informality and home-based enterprises are mainly the result of a need to combine work and family responsibilities Limited vocational and technical skills may be caused by women s lower educational attainment or social norms that limit their physical mobility
11 General entrepreneurship constraints Excessive bureaucracy and regulations create additional costs and elongate length of time to register and start a business. Men usually defined as head of household and are legal owners of matrimonial property. Gender-specific constraints Limited knowledge of government legislation and less experience on starting a business than men and compliance thus discouraged. Women more vulnerable to corrupt officials. Denial or limited ability to own assets and inheritance due to laws.
12 General entrepreneurship constraints Low profits and growth Lack of mobility Gender-specific constraints Competing demands between market and household work for time due to family responsibilities Limited female labour market participation Mobility constraints Need for a male co-signer in financial documents.
13 The FEIW project was an enterprise development programme for women who already have an existing business and who are interested in growing that business further. A pioneering initiative, the FEIW programme was tailor made for women in business. It considered the issues that women face when running and growing their businesses such as access to advice and funding, accessing new markets, dealing with staff issues, developing contacts and managing work/life balance. This innovative programme covered one topic per month in two, three-hour sessions. Each session gave the opportunity to review best practice in a given area and engage in practical sessions to apply what was learned to the business.
14 Worldwide, at least 30 percent of women in the nonagricultural labour force are self-employed in the informal sector Women-owned businesses tend to be informal, home-based and concentrated in the areas of small-scale entrepreneurship and traditional sectors, which primarily includes retail and service. Operating from the home allows women to satisfy competing demands for their time caused by the disproportionate share of housework and childcare responsibilities. While working in a traditional sector requires less experience and lower start-up capital, the downside is that these sectors also offer lower returns.
15 The program identification and design stages offer a number of opportunities for gender issues to be taken into consideration. During program identification, the focus should be on establishing what information is available on female entrepreneurship and identifying specific constraints. During program design, the focus should be on integrating gender in entrepreneurship program, identifying beneficiaries and establishing communication channels to reach them. Starting with the main issue limited opportunities for growth project teams should first develop a profile of female entrepreneurs
16 Icilda is starting her own Fish and Chips restaurant in Cornwall, even though she is not native to the area. Icilda differs from her male counterpart in their initial motivation to start up a business; however, as they grow in experience and confidence, they become more enthusiastic about growth, and therefore become more significant in creating jobs and wealth beyond their own family. Icilda s husband is in charge to wider social networks, and tries to make more use of them to raise finance for their businesses.
17 What do we know about female entrepreneurship? What are the constraints affecting women s entry into entrepreneurship and/or the growth of their enterprises? How do household assets tend to be distributed owned jointly or separately? Who is working on this topic? What will be the program s objectives? Who will the program target? Who will be the implementing partners? How can the program reach female entrepreneurs? What gender-disaggregated data needs to be collected?
18 Use gender-disaggregated data to analyze the business environment Identify gender-specific differences in access and control of resources and assets Carry out preparatory assessments Consult with stakeholders Identify gender-specific data needs for M&E Identify communication channels to reach intended program beneficiaries
19 Emma is a 38-year-old Canadian from Quebec who is not married and has no kids, but is in a relationship for a year and a half. Her brother and father used to have their own business. However, Emma states that this was not inspiratin for her. Emma has a master s degree in dramaturgy which she graduated in During her education, she did teaching jobs and worked with theatre for children. In 2003/2004, while she was finishing her thesis, she started to perform together with a colleague from the university. One of the milestones, or happy accidents as Emma calls them, was that they got a call from Maersk who wanted to hire them for a big event. Another important event was a call from Danfoss who also wanted to use their service. Afterwards, the girls registered the company finding out that there is a demand for the type of service they offer, organic food for festivals. In 2009 Emma s partner stepped out of the company and she took over. Currently there are 14 employees in the company plus Emma. During the years she was growing the company and was using different strategies to lower the expenses. She took different event and entrepreneurship courses, established a good network and customer base and created a professional mindset.
20 Business Development Services (BDS), in the context of private sector development, refer to a wide range of nonfinancial services provided by public or private, local or international, non-profit or commercial providers Training programs can be especially important for women. BDS programs can either focus on microbusinesses such as small retail shops, micro enterprises in handcrafting or services; or they can also focus on developing capacity for SMEs and mature entrepreneurs who want to grow their business. Technical, operational, strategic or assistance can help incorporate their business in the value chain and address the specific constraints that limit the growth of their businesses.
21 In the context of private sector development, access to finance relates to the provision of capital for enterprises through two main mechanisms equity and debt financing Access to finance is one of the most common challenges faced by entrepreneurs, and this is especially true for women. Barriers faced by female entrepreneurs include: Norm/rule-based barriers Gaps and bias in the financial sector capacity and attitude
22 ICTs have the potential to benefit women no matter what their occupation or business. Access to ICTs increases the potential for doing business and creating jobs. Many women do not have access to finance to purchase ICTs which could improve their productivity and efficiency, or improve their skills. When engendering programs, the role of ICTs needs to be considered in terms of: Use of ICT ICT-based enterprises
23 Monitoring and Evaluation (M&E) represent key steps in assessing the extent to which programs or projects acknowledge the different needs of men and women, and can address gender issues. Therefore, it is considered that M&E frameworks are important entry-points for facilitating gender-disaggregated data collection and analysis. Gender is a universal dimension of diversity, and, often, a dimension of disadvantage Capturing these different dimensions of diversity is one of the key tasks of the M&E framework.
24 Number of entities receiving advisory services Number of reports (assessments, manuals) completed Number of procedures/practices proposed for improvement or elimination Number of new laws, regulations, codes, and amendments drafted or submitted for drafting Number of participants in training events, workshops, conferences, and so on Number of participants providing feedback on satisfaction Number of media appearances Number of participants reporting satisfied or very satisfied with workshops, training, seminars, conferences, and so on
25 Value of aggregate private sector savings from recommended changes Value of investment financing facilitated by advisory services Number of formal jobs created Value disaggregated by gender of business owner Disaggregated investment flows, by gender of business owner Number of formal jobs created, disaggregated by gender and by sector
26 M&E frameworks with a gender dimension help to improve project performance. During project preparation the inclusion of gender helps teams set specific targets and design activities to reach desired impact for female and male entrepreneurs. The following five steps can be used to guide the design of a monitoring and evaluation framework that integrates a gender dimension: Identify indicators to be measured, data sources and monitoring tools to be developed, and agree on frequency of data collection. Agree on evaluation methods Develop communication channels that govern the flow of monitoring data and identify resources, constraints, and opportunities available for monitoring.
27 The National Water Resources Institute (NWRI) Kaduna hopes that to help raise awareness the importance of gender consideration to increase women participation and subsequent empowerment in the institute s training programmes. The National Water Resources Institute was set up to contribute to skill oriented manpower training applied research and provision of technical services in water resources. The main training activities are to train all categories of professional cadre manpower that will execute and operate various water resources project in Nigeria and where possible in other African countries. To this the institute runs on a regular basis a certificate course, a diploma course in civil engineering, higher diploma course and professional postgraduate course in water resources engineering. It also organizes conferences, workshops and short courses in aspect of water resources their exploitation and management for agricultural domestic and industrial use. Lesson learnt 1. Equality of access to training is not one of the cardinal objectives of decree establishing the NWRI. 2. NWRI does not take gender factor into account in the recruitment and placement of staff. 3. The management of NWRI over the years, has not been fairly constituted by both sexes. 4. There is no specific admission quota for both sexes. 5. Steps are hardly taken to ensure adequate participation of both sexes in the regular programmes and extension
28 Set gender-sensitive goals and objectives with a clear understanding of how this would inform the impact evaluation. Create a clear plan for a gender-sensitive field assessment prior to data collection and indicator creation to account for social norms and cultural nuances that are not commonly known Create survey questions that are sensitive to gender-related indicators. Create a plan to test out the questions created through a pilot survey, and amend if necessary for either another round of pilot surveys or for the baseline study Create a plan for qualitative data collection, or focus groups, to inform context behind survey data.
29 After the questionnaire has been created the data collection team needs to be trained on gender-sensitive questions. Make sure to appropriately assign male and female surveyors for different gender groups under analysis to ensure that the most accurate responses are captured. For example, a female respondent may be more comfortable responding to a question about sexual behavior or domestic violence when asked by a female surveyor. Similarly, the data entry team needs to be trained on the identification of gender-sensitive responses, and particularly in identifying odd trends during data entry.
30 Over the last few years, there have been a number of impact evaluations conducted to measure the effectiveness of programs to support female entrepreneurship in developing countries. Common themes around these interventions include skills/management training and access to finance. Below is a summary of the findings from these studies: Skills and management training Access to Finance Combination programs
31 The second case is Sussi who is a 45-year-old Australia. She has many entrepreneurs in her family and almost everyone on her dad s side has started a business- her dad, aunt, uncle and aunt s husband. Beside that Sussi s brother and sister have established companies as well. Susi seems as a person who starts a lot of things and keeps herself busy. That is true for both- her education and entrepreneurship activities. Between 1987 and 1990, she was enrolled in Computer Science and Math education, after that she moved to London where she completed NHD in photography. Beside that she took a one year course on how to teach grown-ups, and a business colleague about how to make business strategic decisions and build a business. Last but not least, she took some courses about being on the board of companies. Sussi has started several initiatives and companies during the years. One of the first initiatives she started was a network for photographers in Australia. Then she became a self-employed teacher in photography, which today she considers as her first business. Between 2003 and 2010 she had a photography studio specialized in kids photography. Her recent business activities includes Sussi Bianco and Bianco Lausen which are both dealing with consulting, courses and speeches on various topics and Traditional Food Matters, which is a project aiming to promote female traditional food entrepreneurship in Australia.
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