Female Entrepreneurship in Denmark

Female Entrepreneurship in Denmark Multiple Case Study on Danish and International Women Who Have Business in the Country Written by: Stanislava Nedelcheva Exam Nr. 403014 Supervisor: Steffen Korsgaard Master Thesis, MSc in International Business Aarhus University, Business and Social Sciences September, 2012

Acknowledgment: I would like to thank to all the incredible women who agreed to participate in this study. Without them, it would be impossible to conduct the research. I would also like to thank to my supervisor, Steffen Korsgaard, who made the process of writing a thesis well structured and organized, and was always ready to help with advises and guidance. I also appreciate the support of my family, friends and colleagues, who encouraged me on the way. Last, but not least, I would like to thank to my mother, who is a female entrepreneur, and was the main source of inspiration for this thesis.

Abstract In recent years, the number of female entrepreneurs worldwide is slowly increasing, and female entrepreneurship receives more attention by researchers and policy makers. However, the topic is still underdeveloped and there is a great potential for research and improvement. Denmark is one of the countries where female entrepreneurs receive increased attention. The country has a great business potential and entrepreneurship conditions, and is ranking among the best countries in the world in terms of entrepreneurship. The policy makers have started various initiatives to stimulate the creation of new companies, and to attract more women to choose entrepreneurship as a career path. However, the number of female entrepreneurs in the country remains relatively small, compared to the male-owned businesses. This inspired the present study to find what motivates women in Denmark to become entrepreneurs. Six women, both Danes and internationals, were invited to participate and share their experiences for the purpose of the study. During the interviews, they talked about their personal and professional motivations, experiences, and practices as entrepreneurs.

Contents 1. Introduction... 5 1.1. Entrepreneurship Environment in Denmark... 5 1.2. Problem Statement and Research Question... 6 1.3. Motivation... 7 1.4. Delimitations... 7 2. Theoretical Framework... 9 2.1. Entrepreneurship from the Point of View of Human Motivation... 9 2.1.1. The decision to behave entrepreneurially as a result of personal characteristics and goals, environment, business idea, expectations and outcome- the model of Naffziger, Hornsby and Kuratko (1994)... 10 2.1.1.1. Personal characteristics... 10 2.1.1.2. Personal Environment... 10 2.1.1.3. Personal goals... 11 2.1.1.5. Business Idea... 12 2.1.1.6. Perceived implementation-outcome relationship and perceived expectation-outcome relationship... 12 2.1.1.7. A Graphical model of entrepreneurial motivation... 12 2.1.2. The entrepreneurial process as a result of the variation among people in their willingness and ability to act as entrepreneurs the model proposed by Shane, Locke and Collins (2003)... 13 2.1.2.1. Opportunities and entrepreneurial motivation... 13 2.1.2.2. Personal characteristics influencing the decision to become entrepreneur... 14 2.1.2.3. Cognitive factors influencing entrepreneurial behavior... 14 2.1.2.4. Environmental conditions... 15 2.1.2.5. A Graphical model of human motivations and their influence over the entrepreneurial process... 15 2.2. Female Entrepreneurship Studies... 16 2.2.1. Financial Capital... 16 2.2.1.1. Bank loans as a source of external financing... 16 2.2.1.2. Why female entrepreneurs are less likely to use bank credits?... 17 2.2.1.3. Equity funding as a source of external capital... 19 2.2.2. Social Capital and Network... 20 1

2.2.2.1. Definition of social capital... 20 2.2.2.2. Importance of Formal and Informal Social Networks... 21 2.2.2.3. Gender effect on social capital and networking... 22 2.2.3. Business Growth... 24 2.2.3.1. Studies challenging the traditional perception of growth... 24 2.2.3.2. Female entrepreneurship and Business Growth... 25 2.2.3.3. Qualitative model of women s business growth... 26 2.2.4. Work-Life Balance... 28 2.2.4.1. Work-life balance as a contemporary policy issue... 29 2.2.4.2. Models explaining the relationship between work life and family life... 29 2.2.4.3. Female entrepreneurs and work-life balance... 32 3. Methodology... 34 3.1. Research Paradigm... 35 3.2. Research Reasoning... 36 3.3. Research Strategy... 37 3.3.1. Sampling Strategy... 38 3.3.2. Sampling Size... 39 3.3.3. Units of analyzes... 40 3.3.4. Sampling frame and criteria... 40 3.4. Data collection... 42 3.5. Data analysis... 43 3.6. Limitations and Generalization... 45 3.6.1. Limitations... 45 3.6.2. Generalization... 45 4. Data Analysis... 46 4.1. Presentation of cases... 46 4.1.1. Case 1... 46 4.1.2. Case 2... 47 4.1.3. Case 3... 48 4.1.4. Case 4... 48 4.1.5. Case 5... 49 4.1.6. Case 6... 50 4.2. Main findings of the study... 51 2

4.2.1. Women who are in their natural environment and have their well-established network are more often pulled to become entrepreneurs, while the non-local women are exposed to conditions that push them to start their own businesses.... 52 4.2.2. Women often have intrinsic motives behind their business activities... 56 4.2.3. Women who have already tried once to have their own business are willing to remain entrepreneurs and easily start new companies again.... 58 4.2.4. Women have a preference to start small and without making large investments. Furthermore, they establish different strategies to cut down their expenses.... 59 4.2.5. Even though women have different perception and strategies in relation to networking, they are all aware of the power of networking and social capital, and know how to establish contacts and get support... 63 4.2.6. When it comes to social support, the role of the husband and the figures of the business advisor and mentor are vital and important.... 69 4.2.7. The perception of business growth and the desire to grow the company are closely related to the stage of business, the goals implemented in the company, the impotence of work-life balance and the intrinsic motivation of the entrepreneur.... 73 5. Conclusions and recommendations for future research... 78 Bibliography... 81 Appendices: Appendix 1 -Interview Guide Appendix 2- Form of Informed Consent cons Appendix 3- Transcripts of the Interviews Appendix 4 -Codlings of the Interviews Tables: Table 1 Presentation of the Cases List of Figures: Fig. 1: Thesis Structure Fig. 2: A Model of Entrepreneurial Motivation. Source: (Naffziger, Hornsby et al. 1994) 3

Fig. 3: Model of entrepreneurial motivation and the entrepreneurship process (Shane, Locke et al. 2003) Fig. 4: Growth Platforms and Motivation in a Hierarchical Model (Dalborg, Friedrichs et al. 2011) Fig. 5: Business platforms and strategic building blocks (Dalborg, Friedrichs et al. 2011) Fig. 6: The Research Onion Structure (Saunders, Lewis et al. 2007) Character count: 181 559 (with spaces) Words: 28 994 4

1. Introduction The introduction chapter will present an overview of the contextual framework of this study. The first section will provide a brief description of the entrepreneurship environment in Denmark and recent initiatives concerning the female entrepreneurship in the country. Then, the purpose of the study will be presented through formulation of the problem statement and the main research question. The third part of the chapter will describe the main motives behind the study and why the topic is found to be of interest. Subsection four will outline the delimitations imposed to the study. At the end of the chapter the structure of the thesis will be introduced. 1.1. Entrepreneurship Environment in Denmark According to the Doing Business Project initiated by The World Bank, Denmark is one of the countries with great ease of doing a business. The country is ranked on the fifth place among 183 economies around the globe 1. Denmark also has a leading position in the EU in regard to establishment of new businesses as stated in the 2010 Entrepreneurship Index.The report shows that Denmark is one of the countries with the best performance concerning business regulations and policy, access to financing and market conditions. However, it also informs that there are still some areas where improvements are needed as the country ranks low in terms of entrepreneurial skills and knowledge, and creation and diffusion of knowledge 2. Entrepreneurship is set high in the public policy agenda and the Danish government has two main goals in this area- 1) to maintain the leading position in Europe in terms of number of start-up companies and 2) by 2020 to have leading position in terms of high-growth enterprises 3. To achieve these goals, the government has started various initiatives and development centers promoting entrepreneurship nationwide 4. 1 The World Bank Doing Business Project: www.doingbusiness.org/rankings 2 2010 Entrepreneurship Index-Entrepreneurship Conditions in Denmark: www.ebst.dk/publikationer/ivaerksaettere/entrepreneurship%20index%202010/index.htm 3 2011 National and Cross- national Policies on Women s Entrepreneurship in the Baltic Sea Region- A Comparative Perspective: www.bdforum.org/cmsystem/wpcontent/uploads/files/thematic_reports_women_entrepreneurs_2011.pdf 4 Danish Enterprise and Construction Authority: www.ebst.dk/opstar 5

Since 2009 the policy makers in Denmark are paying increased attention toward female entrepreneurship. As part of the multiple initiatives for entrepreneurship promotion, the Danish Enterprise and Construction Authority launched Action Plan for Women Entrepreneurs 5. One of the initiatives in the action plan was the creation of a web platform for female entrepreneurs where women can find relevant information regarding business establishment and growth 6. The action plan and the earlier publication Kvinder kan få succes med egen virksomhed 7 recognized the need of attracting more women in Denmark to start a business. Even though the country has a great business and entrepreneurship potential, the number of female compared to male business owners is still relatively small. A recent report on National and Cross- national Policies on Women s Entrepreneurship in the Baltic Sea Region informs that the share of women business owners in Denmark is between 25 % and 27% and remains steady. The same information has been shared by the GEM 2010 Report: Women Entrepreneurs Worldwide 8.The report acknowledges that by the end of 2010, the gender gap in Denmark was narrowed down, however, the reason for this positive result is not an increased share of women entrepreneurs, but rather a decreased number of male entrepreneurs in the country. 1.2. Problem Statement and Research Question The overview of various reports and statistics point to the fact that female entrepreneurship n Denmark is still underdeveloped and there is a great potential for improvement. Consequently in the years to come the topic should increasingly attract attention among researchers and governing authorities. The present paper recognizes the need for more research in the field and aims to generate insights about motives and personal experiences of women who have established business in Denmark. Keeping in mind the call for international presence in Denmark the study focuses not only on Danish women, but also on women with foreign origins. In order to fulfill the goals, the study is guided by the following main research question: 5 Action Plan for Women Entrepreneurs: ebst.dk/publikationer/ivaerksaettere/handlingsplan_for_kvindelige_ivaerksaettere/index.htm 6 Web Platform for Women Entrepreneurs: www.startvaekst.dk/virksomhedskvinder.dk 7 http://www.ebst.dk/publikationer/ivaerksaettere/kvinder_kan_faa_succes_med_egen_virksomhed/index.htm 8 GEM 2010 Report: Women Entrepreneurs Worldwide: http://www.gemconsortium.org/docs/download/768 6

Why do Danish and international women in Denmark start their own businesses? In order to answer the main research question, the paper will put forward the following questions: What motivates women in Denmark to start their companies? What are their personal backgrounds and do these women have some special characteristics? How do they finance their businesses? How women perceive social capital and network and how important it is for their businesses? How do they perceive business growth and do they have an intention to grow their companies? How do they balance between work life and family life and do they have any challenges in doing so? What is their opinion about the entrepreneurship environment in Denmark and do they have some recommendations for improvement? 1.3. Motivation The need for more research in the area of female entrepreneurship in Denmark has already been described in the previous chapter. Indeed, this is one of the reasons for my decision to conduct the present study. Beside this, the decision was also inspired by very personal motives. As a daughter of a female entrepreneur, I have always been interested in this field and grow up with an idea that entrepreneurship is going to be my career path. During my stay in Denmark I took an entrepreneurship course and was an active participant in events concerning entrepreneurship. Meeting different entrepreneurs was inspiring experience which evolved into a decision to study female business owners in Denmark more closely. 1.4. Delimitations The study poses a geographical delimitation by focusing particularly on female entrepreneurship in Denmark. During the data collection process, interviews were 7

conducted in two cities- Aarhus in Odense. Thus the study represents only two of the country s regions - Midtjylland and Fyn. 1.5. Thesis Overview The present thesis is divided in five chapters. The figure bellow presents the structure of the paper and gives a brief description of the content of each chapter: Chapter 1: Introduction Presents a brief overview of the entrepreneurship environment in Denmark and describes the problem statement and the main research question of the thesis. Chapter 2: Theoretical Framework Examines entrepreneurship through existing literature. The first part of the chapter introduces two models of entrepreneurial motivation and the second part discusses four main topics important to the female entrepreneurs-financial capital, social capital and network, work-life balance, and business growth. Chapter 3: Methodology Describes critical realism research paradigm and abductive reasoning. Explains the motives behind the choice of qualitative strategy in the study. Presents information about the sampling strategy, data collection and data analysis techniques.finally, it states limitation and generalization problems. Chapter 4: Data Analysis As starting point, the chapter presents the six cases included in the study. The second part of the chapter contains the main findings of the study along with quotes supporting the results. Chapter 5: Conclusion and Recomendations for Future Research The last chapter sum up the findings, outlines a conclusion, and recommends topics that might be of interest for future research. Fig. 1: Thesis structure 8

2. Theoretical Framework This part of the paper has a purpose to establish initial knowledge in the field of female entrepreneurship and to serve as a base for primary research. As starting point, the chapter will provide a brief review of the entrepreneurial motivation theories proposed by Naffziger, Hornsby and Kuratko (1994) and Shane, Locke and Collins (2003). The second part of the chapter will discuss theories related to female entrepreneurship. Four themes have been identified as important and relevant for the study on female business owners in Denmark. These are financial capital, social capital and network, business growth, and work-life balance. On the later stage of the study the entrepreneurial motivation and the female entrepreneurship theories served as a source of information for the establishment of an interview guide. The theories described in the present chapter were a source of inspiration for the themes and the questions in the interview. 2.1. Entrepreneurship from the Point of View of Human Motivation Entrepreneurial activity is a result of human actions. Consequently entrepreneurship cannot be discussed outside the context of the human factor. Personal motivations, perceptions and characteristics play a critical role in the decision to act entrepreneurially: Economic circumstances are important; social networks are important; entrepreneurial teams are important; marketing is important; finance is important; even public agency assistance is important. But none of these will, alone, create a new venture. For that we need a person, in whose mind all of the possibilities come together, who believes that innovation is possible, and who has the motivation to persist until the job is done (Shaver, Scott 1991; p. 39) The main aim of the paper is to find why the female entrepreneurs in Denmark took the decision to start their businesses. In order to acquire theoretical knowledge about the main factors that motivate people to behave entrepreneurially, the following part of the paper will review two models, the first one proposed by Naffziger, Hornsby and Kuratko (1994) and the second established by Shane, Locke and Collins (2003) 9

2.1.1. The decision to behave entrepreneurially as a result of personal characteristics and goals, environment, business idea, expectations and outcome- the model of Naffziger, Hornsby and Kuratko (1994) The purpose of the model developed by Naffziger, Hornsby and Kuratko (1994) is to explain the factors that influence the decision to establish a company. Furthermore, the model describes the factors that motivate entrepreneurs to implement strategies and to continue their entrepreneurship activities: An expanded view of entrepreneurship should include the entirety of the entrepreneurial experience, that is, behaviors necessary in the operation of the firm, its performance, and the psychological and non- psychological outcomes resulting from firm ownership (Naffziger, Hornsby et al. 1994; p.31) The authors indicate seven factors influencing the decision to behave entrepreneurially. Each one of the factors will be discussed below. 2.1.1.1. Personal characteristics Naffziger et al. (1994) discuss three personal characteristics important in the process of establishing a new venture. The first two are the need of achievement and the locus of control. These characteristics are related to the human desire to accomplish something significant and the perception of control over the circumstances, and can be influential for the decision to start own business. Another factor is the risk-taking propensity, or in other words, how much risk an individual is predisposed to take. In addition to these three characteristics, Naffziger et al. (1994) also list energy level, conformity, the need for autonomy, persistence and dominance, the desire for personal control and the desire to build something on one s own (Naffziger, Hornsby et al. 1994) 2.1.1.2. Personal Environment According to Naffziger et al. (1994) beside the individual characteristics some factors from the personal environment can also influence the decision to start a business. The authors point out three significant aspects of the personal environment- marital status, gender, and growing up in an entrepreneurial family. 10

Cooper at al. (1994) acknowledge that people coming from families in which the parents were entrepreneurs are predisposed to start their own business. The authors further explain that individuals growing up in such families see parents as role models and that entrepreneurship is perceived as a viable career. (Cooper, Gimeno-Gascon et al. 1994; p.377) Davidsson and Honig (2003) also confirm that people coming from entrepreneurial families can easily recognize business opportunities. (Davidsson, Honig 2003). 2.1.1.3. Personal goals People have different aims behind the decision to act entrepreneurially and each entrepreneur may have a set goal unique to his or her particular business and molded by his or her individual situation (Naffziger, Hornsby et al. 1994; p.35). The authors consider that personal intentions, goals and vision are important force for the formation of the company and acknowledge that regardless of the goals, it is believed they will influence the decision and shape the eventual business (Naffziger, Hornsby et al. 1994; p.35) 2.1.1.4. Business Environment An entrepreneur does not exist on its own, but rather operates in interaction with other actors and under the influence of external elements. Consequently, environmental conditions are important when people take a decision whether or not to act entrepreneurially (Naffziger, Hornsby et al. 1994). The authors discuss economic conditions, societal attitudes toward entrepreneurship and business, and access to financing as significant environmental conditions. In addition to these variables, participation in entrepreneurship networks has also been found as influential (Naffziger, Hornsby et al. 1994) Minniti and Naudé (2010) discuss that even though the factors influencing the decision to behave entrepreneurially are the same for both women and men and are also identical across the countries, the macroeconomic environment has a greater impact on the entrepreneurial decisions of women than on those of men (Minniti, Naudé 2010; p.285) 11

2.1.1.5. Business Idea There is a concept behind every business organization. The new venture creation starts with awareness of a business idea that may be further developed by the entrepreneur (Naffziger, Hornsby et al. 1994). The authors emphasize the importance of the business idea for the venture establishment and discuss that the existence of an idea and the evaluation of that idea is an important part of the new venture decision-making process (Naffziger, Hornsby et al. 1994; p.35) 2.1.1.6. Perceived implementation-outcome relationship and perceived expectationoutcome relationship Besides the above discussed five factors, Naffziger et al. (1994) also talk about perceived implementation-outcome relationship and perceived expectation-outcome relationship. Perceived implementation-outcome relationship refers to the relationship between managerial and strategic decisions implemented by the entrepreneur and the results he expects to be achieved by his firm (Naffziger, Hornsby et al. 1994) The authors propose that the stronger this relationship is perceived to be, the stronger will be the resulting motivation to continue to behave entrepreneurially, either in the form of continued pursuit of the current venture or initiations of further ventures (Naffziger, Hornsby et al. 1994; p.36) Perceived expectation-outcome relationship is related to the entrepreneur s perceptions that the outcomes of the company will meet his anticipations (Naffziger, Hornsby et al. 1994). The authors hypothesize that the extent to which an entrepreneur believes that his or her entrepreneurial expectations will be met or exceeded by the inception or continuance of adventure, the stronger will be the motivation to engage in entrepreneurial behavior (Naffziger, Hornsby et al. 1994; p.36) 2.1.1.7. A Graphical model of entrepreneurial motivation Based on the discussion of the seven main variables influencing the decision for new venture creation, Naffziger et al. (1994) present the following graphical model of entrepreneurial motivation: 12

Fig.2: A Model of Entrepreneurial Motivation. Source: (Naffziger, Hornsby et al. 1994) 2.1.2. The entrepreneurial process as a result of the variation among people in their willingness and ability to act as entrepreneurs the model proposed by Shane, Locke and Collins (2003) Shane, Locke and Collins (2003) discuss entrepreneurial motivation factors and make suggestions how these factors can influence the entrepreneurial process. The authors argue that: human motivations influence these decisions, and that variance across people in these motivations will influence who pursues entrepreneurial opportunities, who assembles resources, and how people undertake the entrepreneurial process (Shane, Locke et al. 2003; p.258). In the model proposed by them, Shane, Locke et al. (2003) consider the importance of opportunities, personal characteristics, cognitive factors, and macro-economic environment as aspects influencing the entrepreneurial activities. Each of these variables will be briefly discussed below. 2.1.2.1. Opportunities and entrepreneurial motivation The authors present discussion on the relationship between opportunities and motivation. They share two visions of this relationship-the first one described by Shane and Collins, and the second one formulated by Locke. 13

Shane and Collins explain the opportunities as aspects of the environment that represent potentialities for profit making (Shane, Locke et al. 2003; p.260). According to the authors, opportunities vary within different industries and have different economic value, and can influence the entrepreneurial behavior (Shane, Locke et al. 2003) Locke describes opportunities as aspects of the environment viewed from a certain perspective (Shane, Locke et al. 2003; p.262). His view is that opportunities are potentialities for profit making, but realizing an actuality out of potentiality depends not on any mechanical laws of finance but on free will the capacity of the human mind to discover, through creative thought, solutions that had not existed before (Shane, Locke et al. 2003; p.263) 2.1.2.2. Personal characteristics influencing the decision to become entrepreneur Shane, Locke et al. (2003) list several variables influencing the entrepreneurial behavior. These are 1) need for achievement (nach) 2) tolerance of ambiguity 3) locus of control 4) desire for Independence 5) drive 6) egoistic passion 7) self-efficacy and 8) goal setting The model discussed by Shane, Locke et al.(2003) propose that: entrepreneurship is a process that begins with the recognition of an entrepreneurial opportunity and is followed by the development of an idea for how to pursue that opportunity, the evaluation of the feasibility of the opportunity, the development of the product or service that will be provided to customers, assembly of human and financial resources, organizational design, and the pursuit of customers (Shane, Locke et al. 2003; p.275) 2.1.2.3. Cognitive factors influencing entrepreneurial behavior In addition to personal characteristics, the model also includes cognitive factors influencing the entrepreneurial behavior. The authors described three cognitive factors- knowledge, skills and abilities (KSAs). According to them the entrepreneur must have relevant knowledge about the industry and the technology, to have skills such as management, selling, decision making, negotiating etc., and last, but not least the entrepreneur should have certain abilities (Shane, Locke et al. 2003). They acknowledge that: 14

Possessing the necessary KSAs enables the entrepreneurs to develop a viable vision, including a strategy for the organization and to carry it out successfully. Motivation helps the entrepreneur to acquire such KSAs in the first place and provide the impetus and energy to implement the needed actions (Shane, Locke et al. 2003; p.275) 2.1.2.4. Environmental conditions According to Shane, Locke et al. (2003) the environmental conditions can also be a driving force. The legal system, the age of the industry, the availability of capital, the conditions of the capital market and the overall economy are factors that according to Shane, Locke et al. (2003) will definitely matter for the decision to engage in entrepreneurial activity. 2.1.2.5. A Graphical model of human motivations and their influence over the entrepreneurial process Based on the discussion presented in their paper, Shane, Locke and Collins suggest a graphical model of human motivations and their influence over the entrepreneurial process: Fig.3: Model of entrepreneurial motivation and the entrepreneurship process. Source: (Shane, Locke et al. 2003) 15

2.2. Female Entrepreneurship Studies This part of the paper will discuss four topics that have been found significant for the entrepreneurship field and particularly for the female entrepreneurs. As starting point, the chapter will discuss financial capital and some issues related to female business owners and the use of bank credits. The second part will talk about the importance of social capital and network. In the third part the focus will be moved to business growth and recent studies on female entrepreneurs and growth. The last part of the chapter will discuss work-life balance and its significance in recent years, especially for working women and female business owners. 2.2.1. Financial Capital Financial capital is an important part of each business. No one can start a company without at least a small amount of money. Further the capital is vital for the development and growth of the company. Because of its importance, the topic is also considered in the present study. This part of the paper will discuss two sources of external capital- bank loan and equity funding. The section will also review some problems concerning the use of bank credits among the female business owners and three possible explanations why women use less bank loans compared to men. 2.2.1.1. Bank loans as a source of external financing Financing is an important part of a new venture creation and further for its development and business growth. Access to capital is a critical issue for small businesses. Without sufficient capital, small firms are unable to develop new products and services or grow to meet demand (Coleman 2000; p.37). Cooper et al. (1994) explain that capital can influence the business performance directly and indirectly: Direct effects include the ability to buy time, undertake more ambitious strategies, change courses of actions, and meet the financing demands imposed by growth. In terms of indirect effects, capital accumulation may reflect better training and more extensive planning (Cooper, Gimeno-Gascon et al. 1994; p.391 ) In contrast to the big corporations, small companies commonly do not have access to the capital markets (Coleman 2000). This makes them heavily dependent on bank loans, trade 16

credit, and informal sources of financing such as personal savings, credit cards, home equity loans and loans from family and friends (Coleman 2000; p.37). Coleman (2000) also acknowledges that small companies use bank loans as a main source of external financing. However, previous research conducted by Cole and Wolken (1995), based on National Survey of Small Business Finances in the USA since 1993, found that female entrepreneurs are less probable to use bank credits compared to their male counterparts (Cole, Wolken 1995a). Brush (1992) acknowledges that women experience difficulties accessing informal financial networks and rely on personal capital and resources when starting a new venture. 2.2.1.2. Why female entrepreneurs are less likely to use bank credits? There are different explanations of the fact that women use less bank loans compared to men when they have to finance their business. Three of the explanations found in the literature will be discussed below. Some authors talk about discrimination factors, other explain the phenomenon with the specific characteristics of the female owned firms which make them less favorable when it comes to bank credits. A third group of researchers explain the use of less bank credits by the female business owners with their modest financial needs. The discrimination explanation Some authors explain the slight use of bank credits among female business owners with the difficulties women face when they try to obtain bank credits. Stevenson (1986) explicates that female entrepreneurs face some financial barriers which male business owners do not experience, and access to finances is an issue examined by most of the studies on female entrepreneurship. The author acknowledges that credit applications made by women are not well perceived by bank representatives (Stevenson 1986). Research conducted by Buttner and Rosen (1988) on how bank officers evaluate successful entrepreneurs features, shows that characteristics attributed to successful entrepreneurs were more commonly ascribed to men than to women (Buttner, Rosen 1988; p.249). In later research made by Buttner and Rosen in 1989, the authors investigated whether the bank officers perceptions actually influence their decisions, and no evidence for sex stereotypes and gender based 17

discrimination were found. The results indicated that, other things equal, bankers are not significantly influenced by sex stereotypes in funding decisions (Buttner, Rosen 1989; p.267) The specific characteristics of the female owned companies as another explanation Another discussion on the topic explicate that female owned businesses are les favored by the banks because of their characteristics. Research by Riding and Swift (1990) conducted in Canada discuss whether women are treated differently from men in terms of loans and credits. The authors also analyze the differences between female owned and male owned businesses in order to explain the gender bias. The study concludes that female entrepreneurs in Canada receive loans on less favorable conditions than their male counterparts. However, the authors posit that the patterns of ownership of female owners relative to those of male owners differed in terms of firm size, firm age, industrial sector, sales growth, and business form (Riding, Swift 1990; p.338). As a result of their research Riding and Swift (1990) conclude that: Apparent gender-related differences in the other aspects of banking practices (rates of loan approvals, cosignature requirements, requirements for loan collateral, and interest rates on loans and lines of credit) can be accounted for by the differences in the characteristics of male- and female-owned businesses (Riding, Swift 1990; p.338) Research by Haines et al. (1999) address the effect of gender on the relationship between small business clients and banks. The authors propose that lenders employ a set of criteria that determine the bankability of a prospective client. SME clients that meet the threshold criterion obtain credit; others do not (Haines, Orser et al. 1999; p.291). After analyzing the sector, size and age of firm they find no evidences supporting the concept of gender discrimination. In conformity with Riding and Swift (1990), the authors posit that the differences between women and men owned businesses in regard to financial services and bank credits can be explained by the specific characteristics of the female owned companies (Haines, Orser et al. 1999) 18

The minor financial needs as a third possible explanation Other researchers discuss that the use of less bank credits by the female business owners is a result of their modest financial needs. Cole and Wolken (1995) propose that the difference between male and female entrepreneurs in regard to use of bank credits may be attributable to differences in other firm characteristics, such as size (Cole, Wolken 1995; p.635).the authors report that 15 percent of the small firms in their study used nonfinancial sources of capital where friends, family members and other firms are financial providers. The findings of their research acknowledge several factors influencing the use of financial services 1) the growth of the firm lead to increased use of financial services 2) solo traders use less or no financial services compared to partnership companies, S corporations and C corporations 3) the oldest companies which are in the business for 25 or more years under the same ownership are less likely to use financial services compared to younger firms- five to nine years old (Cole, Wolken 1995a). Consequently, the factors referring to the firm s size and the firm s age can be a possible explanation of the fact that women are less willing to use financial services. Coleman (2000) discuss that women-owned firms are, in fact, smaller, newer, and less profitable than men-owned businesses (Coleman 2000; p.40). Since the female owned firms are usually described by researchers as younger, smaller and located in the service sector (Coleman 2000; Riding and Swift 1990), it can be also proposed that they don t need external financing and bank credits that much: women owned businesses use less debt because they don't need it. Women-owned firms tend to be smaller and more heavily concentrated in service lines of business. Because they are small, they may be able to finance their needs using personal resources. In addition, many service businesses do not have much in the way of assets to be financed because the principal resource is the human capital of the owner; financial capital requirements for businesses of this type may be relatively modest. (Coleman 2000; p.39) 2.2.1.3. Equity funding as a source of external capital Another form of business funding for female entrepreneurs, beside self- financing and bank loans, is external equity funding. However, this third kind of financing received lack of attention from the researchers. There is presently no knowledge of the factors related to 19

successfully seeking and obtaining equity capital by women entrepreneurs (Carter, Brush et al. 2003; p.4). Research by Buttner and Rosen (1992) finds that after rejection for a bank loan, female entrepreneurs become more active than men in seeking alternative funding. The authors acknowledge that Female entrepreneurs were significantly more likely to present their proposal at a venture forum and to seek funding from venture capitalists than were their male counterparts (Buttner, Rosen 1992; p.61). Research by Brush et al. (2002), investigating the participation of female business owners in equity investment at both supply-side and demand-side, shows that some women are making significant inroads on the demand side, especially with regards to early stage financing (Brush, Carter et al. 2002; p.316).however, the authors findings demonstrate that the number of women receiving equity funding is inadequate to the overall number of female business owners, and the number of women venture capitalists is also significantly small (Brush, Carter et al. 2002). The current research will try to discover what kind of financial strategies the female business owners in Denmark use-do they rely on bank loans, personal capital and help from their closest network or do they seek access to venture capital and equity funding. Furthermore, it will be of interest to learn if the Danish and international women use different kinds of funding, and to explore if the international women in the research experience any difficulties to obtain external capital. 2.2.2. Social Capital and Network In the last thirty years, the significance of social capital and network has received broad attention by the study of entrepreneurship (Cope, Jack et al. 2007). Social capital and network and its importance for the female entrepreneurs will also be included in the current study. This part of the chapter will present different definitions of social capital, will discuss previous studies concerning networking, and last but not least will make an overview of research on gender differences and gender effect on social capital and networks. 2.2.2.1. Definition of social capital Previous research have addressed the difficulties of defining social capital as an asset and pointed out that its meaning is elusive (Cope, Jack et al. 2007; Anderson, Jack 2002). One 20

definition given by Anderson and Jack (2002) describes social capital as the operation of a social process, where non-co-operative action would lead to a reduction in information and resources flows (Anderson, Jack 2002; p.195). The authors acknowledge that entrepreneurial social capital is a significant component of the business activity. The findings of their research confirm that entrepreneurs use the process of networking as ways of generating information sources, developing resources and as a mechanism for acquiring business potentials (Anderson, Jack 2002; p.202). Social capital has been described by Baron and Markman (2000) as the actual and potential resources individuals obtain from knowing others, being part of a social network with them, or merely from being known to them and having a good reputation (Baron, Markman 2000; p.107). Further, the authors acknowledge that social capital helps entrepreneurs to acquire access to financing, clients and other important connections (Baron, Markman 2000). Lin and Dumin (1986) define social capital as a resource facilitating instrumental action taken for the purpose of gaining valued resources such as wealth, status, and power (Lin, Dumin 1986; p.365). They posit that both access to and use of social resources are affected by the strength of positions and the strength of ties (Lin, Dumin 1986; p.384). 2.2.2.2. Importance of Formal and Informal Social Networks Essential element of the social capital is social network. It is very beneficial especially for the small companies. Social network provides small firms with easier access to resources and contributes to their development (Neergaard, Shaw et al. 2005). Buttner (1993) acknowledge that: To be successful, entrepreneurs must be well- integrated in their communities. Networking can be a way for an entrepreneur to gain access to resources (information, advice, or capital) needed for initiating and operating a new venture. Entrepreneurs connected to many diverse information sources are more likely to survive and make their businesses grow (Buttner 1993; p.63) In a study conducted by Davidsson and Honig (2003) regarding entrepreneurs personal and business networks, the authors discuss the strength of ties within the networks and also emphasize the importance of both formal and informal networks. They posit that: 21

Social capital is often operationalized through the identification of networks and network relationships, sometimes defined by the strength of ties, repetitive group activity such as the frequency of meetings and other formal interactions, as well as informal gatherings and other social activities, and social and family relationships. From an entrepreneurial perspective, social capital provides networks that facilitate the discovery of opportunities, as well as the identification, collection and allocation of scarce resources (Davidsson, Honig 2003; p.309) Study conducted by Birley (1985) examines how and to what extent entrepreneurs collaborate with their networks during the process of establishing of a new business. The author s supposition is that during the process of starting a new business, the entrepreneur is looking not only for tangible resources such as equipment, capital, and office and production space, but also intangible resources like information, encouragement, guidance and advices (Birley 1985). Birley (1985) further discuss the importance of formal and informal networks and their influence over the entrepreneur and the nature of the company, and suggest that the efficient entrepreneur would seek help from a variety of sources in both types of network (Birley 1985; p.114). 2.2.2.3. Gender effect on social capital and networking Alongside the studies that explore social capital and social network and their effect on business creation and development, some researchers also acknowledge gender differences and gender effect on social capital, networking and entrepreneurship (Brush 1992; Buttner 1993; Neergaard et al. 2005 ). Neergaard, Shaw and Carter (2005) acknowledge that there is a need to address the gender blindness and gender bias which has dominated small business network research (Neergaard, Shaw et al. 2005; p.340). The authors further suggest a new framework on social capital and network viewed from female perspective and based on social support theory (Neergaard, Shaw et al. 2005). Social support has been previously conceptualized as supportive resources such as guidance, advices, financial and emotional help that people can receive from participation in supportive social networks of family, friends, coworkers and acquaintances (Walker, Wasserman et al. 1993). Lately, researchers have addressed the importance of the social network structure and its role in offering and receiving social support (Walker, Wasserman et al. 1993). Walker, Wasserman and Wellman (1993) acknowledge that different connections and actors in the network will 22

provide different kinds of help.four categories of social support have been described by Wan, Jaccard and Ramey (1996). These are emotional support, informational support, companionship support and tangible support (Wan, Jaccard et al. 1996). In their study Walker, Wasserman et al. (1993) propose that in order to receive diversified support individuals should maintain many different types of contacts. Social support perspective has been also discussed by Neergaard et al. (2005) who suggest that studies on entrepreneur networks should focus their attention on connections providing different types of support, both tangible and intangible, in order to acquire better knowledge of the influence that social capital has on entrepreneurship (Neergaard, Shaw et al. 2005). The authors share the view that: by integrating social support theory into network studies of the business owner a more comprehensive understanding of the impact which gender may have on business networks, social capital and business ownership may be acquired (Neergaard, Shaw et al. 2005; p.346) Integrative Perspective has been previously proposed by Brush (1992) for describing gender differences between men entrepreneurs and women entrepreneurs. The Integrative Perspective posit that female business owners perceive their business as interconnected system of relationships (Brush 1992; p.6): This system of relationships composing the business is ''integrated" into the woman business owner's life. The woman business owner is at the center of a network of various relationships that include family, community, and business. In other words, when a woman starts or acquires her own business, in her view she is not creating/acquiring a separate economic entity, rather she is "integrating" a new system of business-related relationships into her life (Brush 1992; p.6) In similar vein, Buttner (1993) discuss that Women and men may also have different priorities in establishing networking relationships. Men's motives are often more instrumental (seeking personal gain), while women have more affective considerations in social relationships (Buttner 1993; p.63). Brush (1992) note that many female entrepreneurs perceive their business not as a separate unit for profit -making, but rather they see it as a network of interpersonal connections. In accordance with Brush (1992), Moore and Buttner (1997) acknowledge that the socialization aspects of networks are of 23

high importance to the women business owners. Their value appears to lie more in terms of sounding boards, rather than in resource gathering (Moore, Buttner 1997; p.150). The discussion presented above, underlines the importance of social capital and its role in the new venture creation. The current study will try to ascertain what kind of networks the female entrepreneurs in Denmark have access to. In what manner they use their connections and to what extend it s important to them to receive different kinds of support from both formal and informal network. Furthermore, it will be of interest to find out if the international women in the study experience any challenges to establish a network in Denmark and to receive social support. 2.2.3. Business Growth This part of the chapter will focus on business growth and development. As starting point, the section will overview theories that challenge the traditional perception of growth, later it will discuss studies on female entrepreneurship and growth and at the end will present the hierarchical model of Growth Platforms and Motivation established by Dalborg, Friedrichs and Wincent (2011). 2.2.3.1. Studies challenging the traditional perception of growth Traditionally business growth has been perceived as financial development, cash flows and company profits. The traditional view of performance is fundamentally a quantitative approach, where attention has been paid to growth in numbers measured as a progression to a present state from a lower historical state (Dalborg, Friedrichs et al. 2011; p.2). This view of growth has been adopted by entrepreneurship policy and research which are strongly interested in entrepreneurs as entities creating growth in the countries economic systems (Korsgaard 2007). Leitch, Hill and Neergaard (2010) point out that: For 50 years, the field has been heavily influenced by economics and, in particular, Edith Penrose s monolithic Theory of the Growth of the Firm (Penrose, 1959), which defines growth as both an internal process of development and an increase in amount. Most emphasis has been placed on the latter, which accounts for the dominant use of outcome-based quantitative indicators (Leitch, Hill et al. 2010; p.251) 24

This quantitative perspective has been discussed by Mc Kelvie and Wiklund (2010), who argue that growth must be analyzed and understood from a qualitative point of view before studying its quantitative perspective. The authors suggest: researchers have prematurely tried to answer questions of how much firms grow. We suggest that we first need to get a better grasp of the answer to the question how firms grow, i.e., what mode of growth firms use and why (McKelvie, Wiklund 2010; p.280) Similarly Leitch et al.(2010) criticize that the predominant preoccupation with growth as change in amount is premature and overly simplistic (Leitch, Hill et al. 2010; p.258). The authors agree with McKelcie and Wiklund (2010), and discuss the need for better understanding and theoretical elaboration on business growth with more attention on the process itself as a complex composition. 2.2.3.2. Female entrepreneurship and Business Growth Just like Leitch, Hill and Neergard (2010) and Mc Kelvie and Wiklund (2010), Korsgaard (2007) criticize the quantitative perspective of growth. He argues that the purely financial idea of growth creates a very limited picture of the entrepreneurship capacity (Korsgaard 2007). In regard to female business owners and growth, the author suggests that the concepts of growth and thereby the measure of entrepreneurial success are embedded in a traditional masculine value system, which emphasises male values over female, making it relatively more difficult for women to succeed (Korsgaard 2007; p.42). The need of new research approaches to study female entrepreneurship has been previously acknowledged by Stevenson (1990). The author argues that male-based models are particularly inadequate when used to explain the experiences of women as entrepreneur (Stevenson 1990; p.439). Concerning female entrepreneurs and business growth, Korsgaard (2007) note that male standards of evaluating entrepreneurs will result in perception that the female entrepreneurs perform worse: The problem, thus, might not be that women entrepreneurs are less ambitious, less adept and less successful than male entrepreneurs, but that it is simply a measurement problem, in that the measures are incapable of presenting the real 25

value, success, and therefore also the real problems as well as successes of female entrepreneurs (Korsgaard 2007; p.43) Study by Haugum, Mørkved, Lilleenget,Dalborg and Friedrichs (2011), focusing on female entrepreneurs and growth, shows that according to women business owners, growth is not necessarily related to the traditional quantitative and financial notions, but is rather perceived as personal development as well as development of their companies (Haugum, Mørkved et al. 2011) This findings can be interpreted as confirmation that the problem is not that women perform worse than men, but rather that their success is not measured in the correct way. 2.2.3.3. Qualitative model of women s business growth The purely economic definition of growth has been also discussed by Dalborg, Frederichs and Wincent (2011) who say that: It does not explain how growth has occurred, the goals set by the individual entrepreneurs, and even when the research focuses on seemingly relevant growth measurements, it is usually not comparable because what the entrepreneurs themselves define as growth (or progress) may not necessarily be measurable with quantitative secondary data or the available registers (Dalborg, Friedrichs et al. 2011; p.2) With the main argument that growth may not necessarily be an increase in sales or in profits growth could be more meaningful to study when taking account of goal progress and qualitative considerations (Dalborg, Friedrichs et al. 2011; p.3), the authors make a research on growth of female owned businesses from a qualitative perspective. They conduct interviews and a survey among 191 female entrepreneurs. Dalborg et al. (2011) establish a concept of business platforms in the women owned business and find similarities with Maslow s pyramid of unsatisfied human needs. The findings of their research show that women give description of growth depending on the phase of their business and the factors that motivate them to develop their companies (Dalborg, Friedrichs et al. 2011). In addition, they acknowledge that the goals and ambitions to grow can be motivated by intrinsic and extrinsic factors: 26

Inspired by hierarchical classification and movements of motives, we believe it is reasonable to assume that extrinsic growth needs are replaced by intrinsic growth motivation when the extrinsic needs are fulfilled. Research into motivation usually makes a distinction between intrinsic and extrinsic motivation. The difference depends on whether an act is valuable in itself or if it leads to a reward (Dalborg, Friedrichs et al. 2011; p.11) Based on their findings Dalborg et al. (2011) present a hierarchical model on growth platforms and motivation: Fig.4: Growth Platforms and Motivation in a Hierarchical Model. Source: (Dalborg, Friedrichs et al. 2011) According to women who run companies in the business platforms Survive and Stability, growth is about creating profitability in the company. Motivation to grow can be assumed to be extrinsically motivated, because growth leads to an indirect result of the action. Women who run their business on a platform further up the hierarchy express the motivation to grow in a different way. Instead it is about contributing to society or obtaining appreciation, which can be considered to be intrinsically motivated (Dalborg, Friedrichs et al. 2011; p.18) Beside the hierarchical model on growth platforms and motivation Dalborg et al. (2011) also establish a model of business platforms and strategic building blocks: 27

Fig.5: Business platforms and strategic building blocks. Source: (Dalborg, Friedrichs et al. 2011) The authors present the following explanation of the business platforms model: the motivation to grow and the transfer of growth ambitions implied a change in attention to building and developing different individual building blocks in each overarching qualitative business platform. To achieve the different levels of motivation, we noticed that women entrepreneurs seem to build their businesses based on a transfer of different hierarchical business platforms, and from paying attention to different building blocks (Dalborg, Friedrichs et al. 2011; p.18) Recent studies on female entrepreneurship and growth clearly show that research and policy concerning entrepreneurship should change their perception of growth from more quantitative to more qualitative perspective. This is especially true in the area of female entrepreneurship. The present study will focus on the qualitative perspective of growth and will try to find how the female entrepreneurs in Denmark define growth. It will be also of interest to learn what are the factors influencing their perceptions and do they have intention to grow their companies. 2.2.4. Work-Life Balance Recently the work-life balance topic has been widely discussed among society, researchers and policy makers. Research concerning female entrepreneurship has also paid attention to the work-life conflict among women business owners. This theme will be also included in the current study on female entrepreneurship in Denmark. In order to acquire some knowledge in the field, the present section will discuss what is a work-life balance and why is it 28

attracting attention. Further, the section will review models explaining the relationship between work life and family life. The third part of the section will discuss theories on the work-life balance issue among the female entrepreneurs. 2.2.4.1. Work-life balance as a contemporary policy issue Before the actual discussion of work-life balance and its significance, it is important to clarify the definition of the term. The following description of a work-life balance has been found at the The European Industrial Relations Dictionary: Work life balance is a term used to describe a state of equilibrium between an individual's work and personal life. A satisfactory work life balance is achieved when an individual s right to a fulfilled life inside and outside paid work is accepted and respected as the norm, to the mutual benefit of the individual, business and society (The European Industrial Relations Dictionary 2009). Until relatively recently the work-life balance question was not perceived as an issue. Nowadays the increasing levels of employment among women, most of whom are also mothers, is one of the main reasons the work-life balance to attract more attention among society and policy makers. (Crompton, Lyonette 2006). Guest (2002) identifies three sets of factors influencing the increasing interest toward work-life balance issue: those concerned with developments at work that might be seen as causing the problem of work-life imbalance, those relating to life outside work that might be viewed as consequences of work-life imbalance and those concerning individuals and their lives outside work that give rise to the need to address the challenge of worklife balance as a contemporary policy issue (Guest 2002; p.256) 2.2.4.2. Models explaining the relationship between work life and family life Guest (2002) and earlier Zedeck and Mosier (1990) point out the existence of five models explaining the relationship between free time and life at work: Spillover Model- proposes that life at work and life outside work can influence each other either positively or negatively (Guest 2002). It asserts that there is a similarity between what occurs in the work environment and what occurs in the family environment (Zedeck, Mosier 1990; p.241). 29

Compensation Model- hypothesizes that both worlds can balance each other. Consequently, what may be lacking in one sphere, in terms of demands and satisfactions, can be made up in the other (Guest 2002; p.258). Segmentation Model-proposes that work life and family life are separate notions and don t affect each other (Guest 2002). According to this model, an individual can function successfully in one without any influence on the other (Zedeck, Mosier 1990; p.241). Instrumental Model- suggests that the two environments are influencing each other in a positive way (Zedeck, Mosier 1990). Within this model activities in one sphere facilitate success in the other (Guest 2002; p.258). Conflict Model- In contrast to the compensation and instrumental models, the conflict model hypothesizes that with high levels of demand in all spheres of life, some difficult choices have to be made and some conflicts and possibly some significant overload on an individual occur (Guest 2002; p.259). Furthermore, satisfaction or success in one environment entails sacrifices in the other, the two environments are incompatible because they have distinct norms and requirements (Zedeck, Mosier 1990; p.241). Guest (2002) acknowledges that the conflict model has recently attracted high attention and most of the studies report on a work-family clash. Greenhaus and Beutell (1985) discuss that the conflict between work life and family life emerges when: (a)time devoted to the requirements of one role makes it difficult to fulfil requirements of another; (b)strain from participation in one role makes it difficult to fulfil requirements of another; and(c)specific behaviors required by one role make it difficult to fulfil the requirements of another (Greenhaus, Beutell 1985; p.76) Thereby the authors define three meanings of work-family clash- role, interrole and work- family conflict. Each one of them will be described below. 1) Role Conflict- There are different forms of conflicting pressure within each role. Role conflicts exist when one set of role pressures is in some sense incompatible with the other set of pressures (Greenhaus, Beutell 1985; p.77). 30

2) Interrole Conflict- people usually have more than one role and each one of the different aspects of their life has its own requirements and is source of different pressures. This is a form of role conflict in which the sets of opposing pressures arise from participation in different roles (Greenhaus, Beutell 1985; p.77). 3) Work-Family Conflict- sometimes participation in the work activities poses challenges to participation in the family activities and vice versa. Work-family conflict is a form of interrole conflict in which the role pressures from the work and family domains are mutually incompatible in some respect.that is, participation in the work (family) role is made more difficult by virtue of participation in the family (work) role (Greenhaus, Beutell 1985; p.77). The last type of conflict has been analyzed in depth by the authors who further distinguish three forms within the framework of the Work-Family conflict- time-based, strain-based and behavior based (Greenhaus, Beutell 1985): 3.1) Time-Based Conflict- when a person has multiple roles and limited time then the time demanded by one role will restrict the amount of time committed to another role (Greenhaus, Beutell 1985). Since the time is separated between the work and the family, Greenhaus and Beutell distinguish Work-Related Sources of conflict and Family-Related Sources of conflict. The authors acknowledge that if the family role requires a significant amount of time this can result in work-family conflict. Consequently they expect married persons and parents to experience higher level of work-family conflict compared to nonmarried and people with no kids (Greenhaus, Beutell 1985). 3.2) Strain-Based Conflict-this type of conflict can emerge as a consequence of lack of support in the family (Greenhaus, Beutell 1985). 3.3) Behavior-Based Conflict- various roles have different behavioral requirements and value systems which may be incompatible with each other. The authors acknowledge that If a person is unable to adjust behavior to comply with the expectations of different roles, he or she is likely to experience conflict between the roles (Greenhaus, Beutell 1985; p.82). 31

2.2.4.3. Female entrepreneurs and work-life balance The work-life conflict and the lack of balance between these two roles have been confirmed by researchers to have a negative impact on people s life. The imbalance affects the effective functioning and causes stress. (Guest 2002). Even though work-family balance is not gender-specific and is a problem for many employees, it is an issue of high significance to women workers (Kirkwood, Tootell 2008). Previous research acknowledges that women compared to men experience greater conflict between their dual roles at the work life and the family life and feel most of the burden of stress (Alpert, Culbertson 1987). Qualitative study conducted by Mc Lellan and Uys (2006) on self- employed women in South Africa observes how they combine their dual roles as mothers and executives and further what effect this can have on their well-being. In interviews with five self-employed women, Mc Lellan and Uys (2006) derive five important themes related to the women s dual roles including quality time with children and family, structure and planning, guilt, support structure and self-reliance, balance between work and life. The authors conclude that the increasing female s role in the business and the working world do not decrease or eliminate the role of a mother in the family- while these women were fulfilling dual roles and continued to strive for coping mechanisms to fulfill both roles effectively, the emphasis on the family as a priority remained (McLellan, Uys 2009; p.28). The findings of the research show that the balancing of work and family responsibilities remains as large a source of stress for women as previously (McLellan, Uys 2009; p.28). Similarly Kirkwood and Totell (2008) conduct qualitative research among entrepreneurs in New Zeeland in order to outline the work-family conflict and work-family balance for entrepreneurs. Even though the research includes both male and female participants, Kirkwood and Totell (2008) emphasize on the work-life balance among the female business owners. The authors state that many people (particularly women) see entrepreneurship as a way of achieving a better balance between work and family than that provided by paid employment (Kirkwood, Tootell 2008; p.285). Female business owners ambition to achieve work-family balance is highly influenced by the fact that they have children (Kirkwood, Tootell 2008).In his article on mompreneurship, Korsgaard (2007) posits that women 32

combining motherhood and entrepreneurship are creating a balance between childcare and work and their general strategy is to create continuity between the different spheres of the life of the mompreneur (Korsgaard 2007; p.43). Stevenson (1986) acknowledge that among the reasons for starting own business flexibility is an important factor for women, and managing own business allows them to care for their children at the same time. Kirkwood and Totell (2008) find a number of strategies used by the entrepreneurs to achieve work-family balance. They include role management, where to work, when to work and who to work with (Kirkwood, Tootell 2008). In a previous paper comparing high growth female entrepreneurs and less successful businesswomen, Shelton (2006) points three main strategies for balancing the dual roles. The strategies identified by Shelton (2006) include role elimination, role reduction and role-sharing. The author posits that successful high growth female entrepreneurs will apply these strategies to balance their multiple roles (Shelton 2006). While Shelton (2006) posits that the use of work-family management strategy will help female entrepreneurs to achieve balance and experience greater well-being, and at the same time good business performance, Kirkwood and Totell (2008) acknowledge that the strategies employed by the women entrepreneurs are not always the key to work-family balance. They conclude that even though many women start their own business in order to balance their dual roles, the reality is different from their expectations and entrepreneurship does not always allow them to manage between the family life and the business life: For many women entrepreneurs, the goal of achieving work family balance by choosing to start a business may be somewhat unattainable. For many women entrepreneurs, balancing and managing the work family divide is a continual struggle. While there is some flexibility in terms of when to work and where to work, the amount of work they do does not lessen. However, they could choose to work with a partner and choose the types of employees they wanted to work with, so some ability to achieve work family balance is apparent that may not be the case for those who are employees of other companies (Kirkwood, Tootell 2008; p.299) The present study will definitely direct the question of work-life balance among the female entrepreneurs in Denmark. It will aim to understand how the female entrepreneurs in 33

Denmark perceive work-life balance in the context of family life, but also in the context of free time and leisure time, do they experience dual role conflict and do they apply workfamily management strategies. 3. Methodology The purpose of this paper is to research and comprehend what motivates Danish and international women in Denmark to start their businesses. Furthermore, the paper aims to build understanding of the female entrepreneurs experience in terms of networking, financial capital, work-life balance and their perception and desire to grow their businesses. In order to fulfill the goals and understand what motivates Danish and international women in Denmark to start their businesses the study employs qualitative research method. It is designed as multiple holistic cases and semi structured interviews are used as a technique for primary data collection within each case. The present chapter is going to introduce and discuss the composing parts of the research that will be applied to fulfill the goals of the study. The structure of the section is going to follow the logic of the so-called Research Onion presented by Saunders, Lewis and Thornhill (2007): Fig. 6: The Research Onion Structure. Source: (Saunders, Lewis et al. 2007) 34

3.1. Research Paradigm In order to study the social phenomena in focus -female entrepreneurship in Denmark, this paper applies a critical realist point of view. Critical realism is considered to be well suited paradigm as the main purpose of the study is to understand the female entrepreneurs activities and experiences related to starting and developing their own business in Denmark. The study applies in-depth semi-structured interviews to gather their personal viewpoints, perceptions and stories. As acknowledged by Fossey et al. (2002), critical research paradigm place emphasis on seeking understanding of the meanings of human actions and experiences, and on generating accounts of their meaning from the viewpoints of those involved (Fossey, Harvey et al. 2002; p.718). Critical realists agree that the world is real and their perception of reality is socially constructed. However, they analyze and try to understand the world rather than compose it. The main focus of investigation is placed on events, outcomes, and social phenomenon (Easton 2010). This paper looks at the phenomenon of female entrepreneurship in Denmark and the outcome of the female entrepreneurs decisions and actions. Adopting the critical realism perspective allows an investigation of causal links that have created the outcome-behaving entrepreneurially and starting a business. In the process of answering the question: Why women in Denmark started their businesses?, the study will go beyond what s visible and will establish a causal explanation of the processes that have motivated the women to become entrepreneurs. The main purpose of the critical realism is to investigate events and outcomes underneath the surface, beyond the visible and to explain what caused those events to happen (Easton 2010; p.121). In order to explain things, critical realists observe the emergence of a phenomenon as a consequence of interaction and combination of different processes (Neergaard, Ulhøi 2007; Easton 2010). Another motive critical realist perspective to be employed for the purpose of this study is the fact that this paradigm is capable of delivering more informed explanations of entrepreneurial activity (Neergaard, Ulhøi 2007; p.63). It has been discussed by Neergaard et al. (2007) as a potential vehicle for entrepreneurship research (Neergaard, Ulhøi 2007 p.49-69). 35

Critical realism paradigm is chosen in this paper as the most suitable approach to study the social phenomenon of female entrepreneurship and the outcome of the women s decision to start their own businesses. The study observes real life as it is, and tries to explain female entrepreneurs actions and experiences from their personal viewpoint. It also investigates why women in Denmark started their own businesses. The focus is sat on the causal powers influencing the decision to behave entrepreneurially. Consequently the application of critical realism perspective enables the study to establish a deeper explanation of the female entrepreneurs actions and enterprises. 3.2. Research Reasoning What distinguishes the critical realism paradigm from other paradigms is the way in which the research process should be organized. Critical realism postulates the use of abductive reasoning which allows constant moving between the theoretical understanding of the phenomenon and the practical processes that underlie it (Easton 2010). The use of abductive reasoning allows systematic combining and going back and forth between framework, data sources, and analysis (Dubois, Gadde 2002; p.556), thus the data collection, theory development and theory-building occur simultaneously (Kovács, Spens 2005). While deductive research test hypotheses and propositions based on existing theories and inductive reasoning focus on pure empirical research and observations, the abductive research process put emphasis on empirical study and at the same time enables the researcher to gather some knowledge about the phenomenon that is studied, and to establish a theoretical framework a priori (Kovács, Spens 2005). Following the abductive argumentation, this study has previously formed a theoretical framework about the entrepreneurship motivation and the female entrepreneurship. This framework has been used as a base for the actual empirical research. The knowledge gathered from previous entrepreneurship theories and research outlined the interviews themes and questions. The aim of abductive reasoning is to develop the theory and establish new knowledge about an individual phenomenon in an intuitive and creative way by observing it from a new perspective (Kovács, Spens 2005). The use of abductive reasoning is consistent with the objectives of this paper since its main aim is to add knowledge about the female 36

entrepreneurship and examine the phenomena from the perspective of Danish and international female business owners in Denmark. 3.3. Research Strategy The choice of paradigm determines the strategy and methods applied in a research: The ways in which qualitative research questions are posed, methods are chosen to address these questions, and qualitative research is conducted are each visibly informed by their underlying research paradigm (Fossey, Harvey et al. 2002; p.731) Seeing the world from a critical realist perspective determines the use of qualitative research methodologies. The qualitative research method aims to address questions concerned with developing an understanding of the meaning and experience dimensions of humans lives and social worlds (Fossey, Harvey et al. 2002; p.717), and thus is the best vehicle for the critical realist who is seeking to understand real life experiences. The use of qualitative methods is also inflicted by the need to gather more in-depth knowledge about the female entrepreneurship phenomenon. As acknowledged by some researchers in the field, development of female entrepreneurship knowledge and theory calls for use of qualitative methods and conduction of depth research (Stevenson 1990). Stevenson (1990) also adds that The best way to discover relationships in the world of women entrepreneurs is to interview them and let them explain the relationships (Stevenson 1990; p.443). This paper aims to gather in-depth qualitative information, and for this purpose it applies case study as a research strategy. Dubois (2002) recognizes that Case studies provide unique means of developing theory by utilizing in-depth insights of empirical phenomena and their contexts. (Dubois, Gadde 2002; p. 555). The use of case study is also motivated form the research paradigm-critical realism. As Euston (2010) acknowledge: Critical realism is particularly well suited as a companion to case research. It justifies the study of any situation, regardless of the numbers of research units involved, but only if the process involves thoughtful in depth research with the objective of understanding why things are as they are (Easton 2010; p. 119). 37

Another argument for the use of case study is the type of the research question in focus: Why Danish and international women in Denmark start their own businesses?.yin (1994) identifies three conditions for evaluating the use of different research strategies: 1) the way in which the research question is posed, 2) a researcher s control over behavioral events, 3) the focus of the research on current as opposed to past events (Yin 1994). Yin (1994) advises that case study should be preferred over other research strategies when how and why question is being asked about contemporary set of events over which the investigator has little or no control (Yin 1994; p.9). All three conditions are covered by this study: 1) It is guided by how and why questions 2) it is about female entrepreneurship which is a contemporary event 3) the investigator has no control over the event. 3.3.1. Sampling Strategy Neergaard and Ulhøi (2007) discuss three major obstacles concerning the sampling in the field of entrepreneurship research, namely identification of population, the size of population (particularly small within female entrepreneurship) and access to relevant databases (Neergaard, Ulhøi 2007). A Combination of sampling strategies has been used in the study as a way to overcome these difficulties and to allow the most beneficial selection of cases. Fossey (2002) informs that qualitative sampling requires identification of appropriate participants, being those who can best inform the study (Fossey, Harvey et al. 2002; p.726). The objectives of qualitative research often require purposive sampling which aim is to explore meanings, to gain understanding of personal or group experience and to gather knowledge for further theory development (Fossey, Harvey et al. 2002; Devers, Frankel 2000). Purposive sampling allows the researcher to select information rich cases which will be a source of robust data and knowledge about the researched phenomena. Purposive sampling is achieved through three types of cases: 1) typical cases, 2) extreme cases, and 3) disconfirming cases (Devers, Frankel 2000). This study uses typical cases. The main aim of typical cases is to describe and illustrate what is typical (Neergaard, Ulhøi 2007; p.261). What is considered typical in the field of female 38

entrepreneurship are small size companies in service and education sector with a small number of employees or no other employees beside the firm owner. Since the data richness is of a great importance for the study, maximum variation is also used as a sampling strategy. A maximum variation strategy increases the strength of the information and data collected and is considered to be by far the most popular strategy with entrepreneurship research (Neergaard, Ulhøi 2007; p.264) Along with the typical and maximum variation strategies, the study also applies referencebased method. Reference-based selection allows the researcher to find key informants according to criteria such as willingness and ability to communicate or cooperate, and impartiality (Neergaard, Ulhøi 2007; p.265). To overcome identification of population and access to official databases the study employs convenience sampling this is one of the strategies used by the random sampling. Even though random sampling has received some critics, Neergaard and Ulhøi (2007) acknowledge that convenience sampling is acceptable when a) the population is very homogeneous or b) if informal, social networks constitute the only means for identifying and selecting cases or informants (Neergaard, Ulhøi 2007; p.267). 3.3.2. Sampling Size Contrary to quantitative research, qualitative research pays more attention to the richness of the collected data and the number of participants is only of secondary importance. Thus a small sampling of participants is absolutely appropriate (Fossey, Harvey et al. 2002) No fixed minimum number of participants is necessary to conduct sound qualitative research, however, sufficient depth of information needs to be gathered to fully describe the phenomena being studied (Fossey, Harvey et al. 2002; p.726) The main advantage of the case study as a research strategy is the flexibility given to the researcher to study complex factors and causal links within one or a small number of representatives (Easton 2010) Case research can therefore be defined as a research method that involves investigating one or a small number of social entities or situations about which data 39

are collected using multiple sources of data and developing a holistic description through an iterative research process (Easton 2010; p.119) 3.3.3. Units of analyzes To address the research question, the study applies a multiple case study design, which is perceived as more robust than the single case design (Yin 1994) Six female entrepreneurship cases were selected for the purpose of this research. Holistic approach was applied and consequently a single unit of analysis is involved within each case. The main units of analysis are individuals - female business owners in Denmark. One half of the six cases depicts international female entrepreneurs and the other half - Danish female entrepreneurs. 3.3.4. Sampling frame and criteria The target population of this study are Danish and international female entrepreneurs in Denmark. However, the study excludes women who do not speak English as this was the only language that could be used to conduct interviews. The six female entrepreneur cases were identified through a formal and informal social network. Two of the Danish female entrepreneurs and one of the international women were found through personal networks-colleagues, friends, fellow students. One of the Danish women was found through personal contact - we met each other at an event organized by the AU Career Center. Personal contacts were established also with two of the international female entrepreneurs through participation in events organized by Entrepreneurship in Denmark. The six cases represent typical female entrepreneurs- small size companies in service, communication, counseling, and education sector, with a small number of employees or no other employees beside the firm s owner. Even though the cases are typical, they also differ from each other and were carefully analyzed and selected in order to represent a mixture of factors: 1)The business activity 2)The age of the company 3) The age of the entrepreneur 4)The nationalities of the international female entrepreneurs. The female entrepreneurs were approached via email and were finally selected based on their availability and 40

willingness to cooperate and participate in the study. Nine women were emailed in total. One of them-a woman with foreign background who has business in Randers never replied back, one of the Danes a designer and producer of cloths was busy and could not take part of the study. One of the selected cases was an English woman who has business in Denmark for more than twenty years. She agreed to participate, but unfortunately the communication did not evolve into an interview. The circumstances regarding these two entrepreneurs hindered the initial desire of the study to include women who have business related with production of goods and international women who have business in Denmark over a long period of time. Within the Danish cases the women have business related to communication, service and consultancy. Among the international cases two of the women have business within service and education and one of them have business related to production of goods, however, all three of them have started their companies recently. A brief overview of all six cases is presented in the table below: Case 1 Case 2 Case 3 Case 4 Case 5 Case 6 Name Rikke Sussi Mette Kathy Jakarta Andréa Nationality Dane Dane Dane Polish raised in the USA Indonesian Age 38 45 41 37 33 45 When was the company started 2003/2004 2003-2010 photography studio 2010-Good Business Matters 2010 Sussi Bianco 2011 Bianco Lausen 2000 2012 2011 2009 Business activity Ownership of the company Number of employees A creative consultancy firm Solo company (used to be partnership) 2 employees and 25 freelancers Photography studio and Consulting companies Solo company and partnership company Table 1: Presentation of the cases B2B English translation firm English school and NGO Photography studio Brazilian Tailoring atelier specialized in lingerie and bikini. Solo company Partnership Solo company Solo company (used to be partnership) No employees No employees No employees No employees No employees. 41

3.4. Data collection The best way to discover relationships in the world of women entrepreneurs is to interview them and let them explain the relationships (Stevenson 1990; p.443).following Stevenson (1990), interviews were chosen as best vehicle for primary data collection. Within each of the six cases the data was gathered through semi- structured interviews with the female entrepreneurs. Gillham (2005) proposes that the semi-structured interview is the most important way of conducting a research interview because of its flexibility balanced by structure, and the quality of the data obtained (Gillham 2005; p.70). An interview guide indicating different themes and questions and their arrangement in the interview was prepared according to Kvale (1993).The topics in the guide were based on the theoretical framework established previously in the study. An extended version of the interview guide can be found in Appendix 1. As per Kvale the questions were evaluated with respect to their thematic and dynamic dimensions (Kvale 1996; p.129). The identified themes include: Background Questions Personal Characteristics About the Company Business Idea Financial Capital Social Capital and Networking Business Environment Personal Goals and Business Growth Work-Life Balance The questions were tested in a trial interview with a young international woman who used to have business in Denmark. The test interview was an important part of the research and created an insight about the relevance of the questions and the time management of the interview. It also gave first impressions and feelings about the interviewing process (Gillham 2005). 42

In order to address the ethical issues a form of informed consent has been prepared. It was provided to each of the participants before the interviews. The form of informed consent was inspired by Gillham (2005) and can be found in Appendix 2. It was important for me to meet all the women in person and conduct the interviews face to face. This required flexibility from my side in order to fit into the entrepreneurs busy schedules. The goal was fulfilled and all the interviews were conducted face-to-face. Four of them took place in the business premises of the women, one at the School of Engineering where Sussi is teaching, and one in a restaurant in Odense downtown. Four of the interviews took place in Aarhus and two of them (with Jakarta and Kathy) were conducted in Odense. All the participants were provided with information about the study before the start of the interview and signed the form of informed consent. Each interview took approximately 1 hour. The audio files can be found in the CD attached to the paper. As a secondary source of information the paper relies on entrepreneurship motivation and female entrepreneurship theories. Previous research and statistics on female entrepreneurship in Denmark have also been reviewed in order to get more knowledge in the field. Prior to the research I participated in events organized by Entrepreneurship in Denmark, which are a great meeting point of foreigners both women and men who would like to establish business or already started a company. During one of the events I had a chance to participate in a discussion group of international women who consider establishing a business in Denmark. The group Women on the Way gave me an insight about the international women ideas, motives, and feelings about the entrepreneurship in Denmark. 3.5. Data analysis Six semi-structured interviews were conducted and recorded during the study. The amount of collected data allowed manual processing in regard to transcription and coding. The data from the audio files was transcribed as soon as possible after each interview. The outcome is 119 pages of transcript, which can be found in in Appendix 3. 43

As a second stage, the transcripts were revised and simultaneously analyzed. A combination of coding procedures was applied in the process of synthesizing the qualitative data. Coding is one of the strategies used to analyze an interview text and interpret qualitative data. It allows arrangement and combination of data into categories and themes that helps a further research and investigation (Flick 2009; Taylor, Gibbs 2010). According to Taylor (2010) Coding the data makes it easier to search the data, to make comparisons and to identify any patterns that require further investigation (Taylor, Gibbs 2010) For the purpose of data analysis the study used thematic coding proposed by Flick (2009) for comparative studies in which the groups under study are derived from the research question and thus defined a priory (Flick 2009; p.318). Thematic coding is applicable for studies where the data collection is conducted in a way that allows comparability between the cases by selection of themes and topics a priory (Flick 2009). Considering the fact that the data for this study was collected with semi structured interviews, based on an interview guide with predefined topic, and the main aim was to achieve comparability between the cases, thematic coding was chosen as an appropriate way for analysis. Following the logic of thematic coding proposed by Flick (2009) a short presentation of each case was prepared in the initial phase. During the analysis, the themes and categories evolved from the topics and questions included in the interview guide. This established a common framework among all the cases. On the other hand, the coding was conducted with eyes open for new categories deriving from the individual interviews. A descriptive coding procedure was applied alongside the thematic coding. During the process of descriptive coding each of the interview transcripts was revised and read through carefully. Pieces of interview text were copied in the framework of themes and codes and were labeled with a summary description of their content (Taylor, Gibbs 2010). The six cases were analyzed one by one, and thematic and descriptive coding procedures were applied to each of the interviews. A table sheet that presents the themes, categories and codes was created for each of the cases, and resulted in 128 pages of codes. This information is saved in Appendix 4. 44

3.6. Limitations and Generalization 3.6.1. Limitations Some of the limitations of the study were already discussed in the previous chapters. The initial plan was to include wider variety of cases, but unfortunately the circumstances imposed some limitations. Among the Danish cases all the women have companies within a business service sector- Rikke with communication, Sussi with consulting and Mette with B2B translation. It was of an interest to include a production company case. Unfortunately, the woman who was invited to represent such type of business was not available to participate. Among the international cases all the women moved to Denmark couple of years ago for the same reason- they got married to Danes, and this makes their perspectives more or less similar. It would be interesting to include also international women who moved to Denmark for different reasons, for example as expatriates or as students. Maybe they would share different points of view and motivations, which could add diverse perspectives to the study. Besides that, the international women who participated in the study have all started their businesses recently. The initial plan was to include a case of an international woman who has started her business in Denmark long time ago. Such case was identified and the woman was contacted, however, the communication did not evolve into an interview. 3.6.2. Generalization The purpose of the qualitative research is not to make statistical generalization. Instead, the qualitative research emphasizes the importance of explaining and comprehending a particular complex situation (Fossey, Harvey et al. 2002). As posed by Neergaard et al. (2007) It is an inherent feature of qualitative studies that they are context dependent and not representative of a large universe, neither do they allow generalization across time and space (Neergaard, Ulhøi 2007; p.271). Consequently, this paper makes no pretence of generalizing the data collected within the case studies to the whole population of female entrepreneurs in Denmark. Yin ( 1994) discusses the so called analytical generalization as an appropriate way of inference within the case study strategy. While in statistical generalization the aim is to make conclusions about a whole population based on information gathered within a sample, 45

in the analytical type of generalization previously developed theory is used as a template with which to compare the empirical results of the case study (Yin 1994; p.31) 4. Data Analysis This chapter is going to present a cross case analysis of the collected qualitative data and discuss the main findings that emerged from it. A short presentation of each one of the cases will be given as a starting point in the analysis. In the second part of the chapter all the main themes which were covered during the interviews will be briefly discussed. The last part of the analysis will address the trends that were found among the cases and the main outlines that emerged during the analysis. 4.1. Presentation of cases Case presentation is the starting point in the analysis. This part of the chapter will shortly describe all the participants in the research and will provide information about who they are. The description will be given in regard to age, marital status and number of children, education and previous work experience, entrepreneurs in the family, personal characteristics and motives to start business. For the international women it will also include reason to move to Denmark and for how long they have been living in the country. 4.1.1. Case 1 The first case is Rikke. She is a 38-year-old Dane 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, Rikke states that this was not inspiration for her. Rikke has a master s degree in dramaturgy which she graduated in 2004. 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 Rikke 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. In 2009 Rikke s partner stepped out of the company and she took over. Currently there are 2 employees in the company plus Rikke and 46

in addition 25 freelancers. During the years she was growing the company and was using different strategies to lower the expenses. She took different sales and entrepreneurship courses, established a good network and customer base and created a professional mindset. Rikke describes herself as a casual-structured person, a definition that she associates with professionalism. She tries to make people feel comfortable and having a purpose. She says that she has always been interested in communication and is passionate about her business activity, about what she does. 4.1.2. Case 2 The second case is Sussi who is a 45-year-old Dane. She has been married for 17 years and has two kids at the age of 9 and 10. 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. Susi has started several initiatives and companies during the years. One of the first initiatives she started was a network for photographers in Denmark. 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 Good Business Matters which is a project aiming to promote female entrepreneurship in Denmark. Sussi describes herself as an altruist, outgoing and natural networker who sees a lot of new possibilities and do many things at the same time. She likes to have an impact and make a difference in the world. 47

4.1.3. Case 3 The third case is Mette who is a 41-years-old Dane. She has been married for 17 years now and has two kids at the age of 17 and 15. She is one of the few entrepreneurs in her family. Her grandfather, who was furniture maker, used to have his own business. However, this was not the reason for her to start her own business. Mette 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 a couple of years. 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. Consequently, Mette needed to reduce her working hours and have more free time. As a result of this situation she was fired from the translation agency. Under the circumstances she decided to set up her own business and be in control of her own time between work and family and specially the care for her daughter. Mette says she always knew that one day she would set up her own business, but never thought that it will be so soon. She started from scratch with her computer, a couple of dictionaries and a phone book to find customers. Mette describes herself as an ambitious, positive and punctual person. She can be impatient, but she likes to get things done well and with high quality. 4.1.4. Case 4 Case number four is Kathy, 37-year-old Pole who was born in Poland and raised in the USA. Kathy is married and has no kids. She moved to Denmark in 2009 because her husband is a Dane. Her mother and father have their own businesses, and Kathy says that maybe in a way this was inspirational for her, because she was exposed to it when she was young and compared what it is like to work for someone and to work for yourself. Her husband is also an entrepreneur and helps her with different aspects of starting a business in Denmark. Kathy s educational background includes master s degree in cultural studies from The University of Poznan in Poland and master s degree in American studies from The University of Southern Denmark. Her previous work experience is related mostly with languages and 48

culture. In Poland, she had her own business related to English teaching. She also worked as a translator and has experience with organizing events in Poland. Since applying for jobs in Denmark didn t lead to the dreamed results, she started looking for other options and tried to find what qualities and skills she can apply in Denmark. In April 2012 her business was started in partnership with another international woman. Alongside the business, she started an NGO together with two colleagues.it focuses on providing workshops and expending communication between the internationals, expats and Danes on Fyn. Kathy describes herself as a hard worker and open and flexible person who likes to be around people. Regarding entrepreneurship, she says that having her own business fits her personality. 4.1.5. Case 5 The fifth case is Jakarta, or as she calls herself Yuni. She is a 33-years-old Indonesian, married with no kids. She has been living in Denmark for two years and the reason to move here is her husband who is a Dane. Yuni is the first entrepreneur in her family and share that her brother, who is a chef, also would like to start his business in Indonesia someday. Her academic background back in Indonesia was secretary and management, and here in Denmark she took language courses at Laer Dansk and nine months course at Tietgen Skole. Yuni worked for women and human rights in Jakarta for two- three years. Her next job was in advertising where she worked together with a friend of hers. After that she found that she is really interested in art and culture and started working as an organizer for international art and culture performance. Furthermore, her interest in art inspired her to make a carrier as a painter and curator. When she first moved to Denmark, after being in the country twice as a tourist, she faced many official requirements and procedures to legalize her stay. The whole situation made her feel a bit depressed and lost, but she didn t give up. Realizing the fact that it will be hard to find the right job as a foreigner in Denmark and feeling the need to do something here, she decided to start something on her own. The idea for photography business was born from looking into her personal skills and experience-she had the knowledge and ability to do something with art. After taking a couple of months to learn 49

about the Danish culture and to brush up her photography skills, Yuni started her photography studio in October 2011. Yuni describes herself as an easygoing, open minded and nice person, who likes to help people. She also says about herself that she is confident when someone needs her help. In such situations she believes that she can make it and help that person. 4.1.6. Case 6 Case number six is Andréa. She is a 45 years old Brazilian woman married for a second time, with two kids at the age of 26 and 19 from her previous marriage. She came to Denmark in 2004 for the first time to visit her brother who has been living here for many years and then she came for a second time in 2006. During the second visit she met a Danish man, who lately became her second husband. In 2007, Andréa moved to Denmark and got married. Her education back in Brazil includes regular gymnasium and two years seminarium. In addition, she took a real estate qualification course. Here in Denmark André attended Laern Dansk classes for three years. Currently, she was accepted to study design technology at Teko Herning, starting from September 2012. She didn t work for many years, because her ex-husband used to work for the government and they had to move around different states in Brazil. She started working in 2000, took education for real estate and then established her own real estate company. Alongside the real estate agency, she started tailoring lingerie and bikini, which was her hobby for many, many years. After eight years in the real estate business, she sold the company and focused on the tailoring business. Her mother was also an owner of a big clothing company for many years. At some point they started a business together, rented a place and continued tailoring bikini and lingerie. Here in Denmark Andréa has worked as a tailor of wedding dresses at a bride s house for a year and a half. In 2009, she started a company together with another Brazilian woman who lives in Denmark. Andréa says that finding a partner was an important event to start her company at that moment, as otherwise she was afraid to start on her own, mainly because of the language. Some of the other motives behind the decision to start her business include the difficulties to balance between work and free time with her husband, and the challenge to have a boss. 50

Currently, Andréa is a single owner of the company and enjoy tailoring special products for her customers. Andréa describes herself as a strong, easy, tolerant person who has quick temper, but forgives and forgets easily. She shares that she has a problem with time management and often do everything in the last moment, but at the same time, she is more efficient when working under time pressure. 4.2. Main findings of the study The number of cases that were included in the study is not enough to make generalization over the whole population of female entrepreneurs in Denmark. However, there are some common trends that were found across the cases and can add useful knowledge about the Danish and international female entrepreneurs in Denmark. Seven main findings about the women in the study derived from the cross case analysis: 1. Women who are in their natural environment and have their well-established network are more often pulled to become entrepreneurs, while the international women are exposed to conditions that push them to start their own businesses. 2. Women often have intrinsic motives behind their business activities. 3. Women who have already tried once to have their own business are willing to remain entrepreneurs and easily start new companies again. 4. Women have preference to start small without making large investments. Furthermore, they establish different strategies to cut down their expenses. 5. Even though women have different perception and strategies in relation to networking, they are all aware of the power of networking and social capital, and know how to establish contacts and get support. 6. When it comes to social support, the role of the husband and the figures of the business advisor and mentor are vital. 7. The perception of business growth and the desire to grow the company are closely related to the stage of the business, the goals implemented in the company, the impotence of work-life balance and the intrinsic motivation of the entrepreneur. 51

This part of the chapter will discuss each of the findings in depth. 4.2.1. Women who are in their natural environment and have their well-established network are more often pulled to become entrepreneurs, while the non-local women are exposed to conditions that push them to start their own businesses. Social capital is an important factor for starting a business In two of the Danish cases was evident that the women naturally evolved into entrepreneurs and the start of their companies was influenced by their surrounding network. This pointed out the importance of social capital when starting a business. In the case of Rikke, she and her partner were pulled to start a company. While studying dramaturgy, Rikke started to perform together with a colleague from the university and they made a couple of gigs around different universities. There was suddenly a demand from big companies in Denmark for the kind of service they were offering. Today Rikke sees the start of her company as a good accident: it was actually the demand who had the company started (Rikke) This lucky accident happened when they were hired by Maersk: and then one day we got a call from Maersk. And they wanted to use us for a big, big event over 300 people at that time.and then we sort of got started from that point. We got registered as a company (Rikke) The demand for the company s service was also a result from the fact that she has relatives and friends who could bring business to her. In the beginning she has established her customer base with the help of family and friends: Actually we also got a call from Danfoss where one of my relatives worked and she said So you can do something about theater and role play and training leaders, can t you?. I obviously said Yes, Sure I can,and that s where it got started and this was 2004-2005 (Rikke) Sussi s case contained some similarities with Rikke. After taking her photography education she became a self-employed teacher in photography and started a professional network in Denmark. The photography studio business was provoked by her maternity group. At that time she was mothering two young children, and while she was meeting the other moms 52

from the group she was just pulled by the idea to implement her photography skills in a business related with kids photography: I had 2 kids and my mother s maternity group said Oh you should photograph kids. And I decided to give myself the challenge of actually try to implement what I have been teaching my students for about five, six years at that time, see if I can actually do it myself (Sussi) Similarly, one of the latest projects started by Sussi was initiated by the Danish Ministry of Business: Good Business Matters was directly as a (mmm) that the head of development in the Danish Ministry of Business asked me if I could come up with some new initiatives to get more female entrepreneurs in DK and that was directly made from that question. He asked me if I would start something and he would help and I said Yes I will take the concept and see if I can develop something I believe in and then I will try to give it to the world (Sussi) In both cases, Rikke and Sussi, a significant factor for starting their business was the natural network. The foundation of their businesses is related to the fact that they were surrounded by people who know them. People who were aware of their skills and competencies and could give them a business idea or help them to establish their customer base. As opposed to the above mentioned Danish cases, two of the international women in the study-kathy and Jakarta discussed the conditions that pushed them into entrepreneurship. Jakarta shared that she had difficulties in the beginning when she moved to Denmark. She faced many administrative procedures and felt depressed and lost in the situation. Jakarta pointed out the difficulty to find a proper job as a motivation to start her business: as a foreigner here OK the normal work is as a cleaner and I didn t think this is my life, so I didn t want to give up just because of the money I think it s like a problem to find the right job in Denmark and then also, yeah, two things- difficult to find the right job and difficult to, yeah, it takes time to to get there because of the language, because you have to know, to really know the culture here- how to work with local people (Jakarta) In these conditions, Jakarta was forced to think about her skills and competencies and find a way to apply them in Denmark for the sake of her personal and professional realization 53

.Similarly Kathy explained that one of the reasons to establish her own company was the obstacle to get a job in Denmark: I applied for various jobs and they were all connected with language, but I really wasn t getting anywhere. And I wasn t getting the jobs that I would like to get, so I thought I would give it a try and still focus on the language, but try to open my own business and see how that goes (Kathy) During the conversation Kathy also compared the start of her business in Denmark and in Poland and explained that in her home country, business came to her: in Poland it was actually quite easy for me because I had a big, big network. So, it may kind of sound funny, but actually business came by itself to me. So in that sense it was very easy. I think that s why I was more, you know, it s going to take a lot more work here..the networking part, because there knowing a lot of people made it very easy. And so you know, here it was kind of starting from square one, because I obviously didn t know so many people (Kathy) This last quotation confirms that in a natural environment, in their home countries and among their friends, relatives and colleagues, it is more likely for women to be encouraged to become entrepreneurs. While as foreigners in another country, they don t have their usual network and surroundings that can lead them to business. The challenges faced by Kathy and Jakarta to find a job and the lack of network in Denmark can be easily explained by the fact that both women have lived in the country for only a couple of years. Maybe international women who have lived in the country for a longer period of time and have established a solid network, similarly to the Danish women in the study, will be influenced by their friends, relative and acquaintances to become entrepreneurs instead of being motivated by the challenges and conditions. The foreign background is imposing some cultural challenges to the international women A common tendency that has been found between the international women in the study is that they all face some cultural challenges. During the interviews it was observed that they were defining their entrepreneurial experience to a greater extend from the position of foreigners in Denmark rather than from the position of women. According to their stories, their international background imposes some challenges. First, as newcomers to Denmark 54

they lack network and start establishing new contacts from square one. And second, they experience cultural difficulties and have to learn how to live here. Kathy discussed that for her the fact that she is not a Dane very challenging, because she is not accustomed to the local culture. For her, it s still difficult to understand the Danish norms of behavior: I think that the big challenge is that I m not Danish. So, I think is harder for me to understand the work culture, and to understand the way people think. And sometimes what it is that they actually want, because I don t come from here. So, as an outsider, I do feel that a lot of times that, you know, it would be easier for me, for example, if I was Danish (Kathy) Despite of these cultural obstacles, Kathy admits that people are open and friendly and she hasn t experienced any problems using her non-fluent Danish. One of the other international women, Jakarta, talked about cultural barriers in Denmark imposed by the fact that she is a newcomer to the country:.of course about time and place, it s like a challenge for me, because I don t have so much money here. As local you can borrow from bank or and then you have certain things, you know, as a local, but here I am nobody, just a foreigner. And, yeah, about the place and the time, of course, I am new here, so it s like a challenge for me. But I am not afraid to compete with them, you know, for the result, the work. I could compete, you know (Jakarta) Andrea explained that she experiences cultural challenges when it comes to her customers, because some of them are not open-minded: Yeah, they are not that open. They are not that open either, because not every woman can come and take her clothes off and and make a new new bra (Andrea) Furthermore, she explained that sometimes customers don t trust her because she is not a Dane (Andrea) because I am not Danish and they don t trust you before they see your job In the beginning of her business Andrea also had some cultural misconceptions regarding products and customers. She thought that Danish women would like the Brazilian design and colors, but lately she discovered that they prefer more practical lingerie. Beside the 55

challenges related to products and customers, Andrea also consider it difficult to think about business growth. At this stage she is concerned more about her adaptation in Denmark, rather than the development of her business: It s quite difficult to talk about this when you are not Danish, because from one point to another today is my surviving point. It s more about the language, about the culture than about the business (Andrea) All three of the international women have lived in Denmark for a couple of years- Andrea since 2007, Kathy since 2009 and Jakarta since 2010. This may explain why they face cultural difficulties, as they are still learning how to conform to the culture. This is a slow process that takes time and the women have to adjust as they go. It would have been interesting for the study to include business owner with an international background who has lived in Denmark for many years, to see her perceptions about having business here and to compare them to these of Kathy, Andre and Jakarta. 4.2.2. Women often have intrinsic motives behind their business activities Even though all the women in the study have different and complex personal goals behind their business activates, it was common for almost all of them to talk about intrinsic motivations, contribution to the society and giving back to the world. For Rikke is important to pay back to the society by creating workplaces in her company. Another goal behind her business is to offer something that people need and can improve their life: I love what I do, because I see there is a reason and a demand for people in work places to live healthier and more good communication wise, so obviously I couldn t, I couldn t have a company who did just anything. There is a reason why it is within communication obviously I care for what we do and I see there is a purpose for what we do. (Rikke) According to Sussi when she started her photography business, she thought that her mission in the world is to change photography in Denmark: I thought my aim in the world was to change photography in Denmark (Sussi) 56

Today in her latest business activities, she is following her heart and trying to make a difference in the world: my heart is in making changes that affects societies and individuals My call is to make people think with the head in the sky and then placing it in actions (Sussi) For Kathy one of the personal goals behind the English School is to show people that they always improve their language skills: for me it s important for people to realize that, you know, you can always improve your language skills and actually you need to, because languages change very quickly and so it s not a constant.that in a way is kind of a I think personal campaign to let them know that, you know, Yes it s good, but it can always be better (Kathy) Furthermore, following her desire to contribute to the society, Kathy started an NGO which main aim is to help internationals on Fyn to integrate and adapt in Denmark: the contribution to the society is really with the NGO, because we would like to have things running more smoothly and have more interaction between the various groups. I think it is also partially why we have done both, because for each of us who started the NGO, I think we also needed something, to have some kind of an influence on the society, and so we thought this would be a good way to do that (Kathy) When Andre started the company her goal was to make something that people would like. She emphasized the importance of customer satisfaction and positive feedback.. Beside this, one of her main goals is socially oriented -to design special bra for women who have breast cancer. Often her customers have special requirements, because they need special size or have allergies to some materials, and she perceives her job as a mission to help them and improve their lives: I think my goals were to make something that people like. it s not just buying something, no, it s buying in a nice way like Wow I can have something which I can t have in another place (Andrea) The cases discussed above illustrates that the women in the study often consider in which way their products and services contribute to the world, to the society, and to their customers. They are not starting their enterprises just for the sake of having a business, but are rather starting a company that can add value to their life and to the life of the others around them. It doesn t mean though that the women are blind about the importance of 57

money. Money is important for the development of their businesses and for the achievement of their intentions, but not a goal per se. 4.2.3. Women who have already tried once to have their own business are willing to remain entrepreneurs and easily start new companies again. One of the other trends that were found during the study is that women who have already tried once to start their own business are willing to try again. This trend was found in the cases of Sussi, Andrea and Kathy. All three of them have started business more than once. Sussi is a creative person who basically starts one project after another. Even though during the years she was hired on different job positions- teacher at the School of Journalism, chairman of Heroines of Tomorrow, teacher at the Engineering School, her main career focus remained self-employment and entrepreneurship. She first established a network for photographers in Denmark, which can be considered social entrepreneurship initiative. Afterwards she became a self-employed photography teacher and used to work on short term contracts. These two activates were followed by the photography studio established in 2003. After closing the photography business in 2010, Sussi started two new initiatives in the same year and later in 2011 she started consulting company in partnership with another consultant. This demonstrates how even after the end of her photography business she remained an entrepreneur and continued opening new businesses instead of choosing a different career path. Andrea had a business dealing with real estates in Brazil for more than seven years. At some point she started tailoring lingerie while running the business. Lately, she sold the real estate company and developed the lingerie business. Here in Denmark Andrea found a job at wedding dresses atelier and had the job for one and a half year before starting her company. Among the other motives to establish the business, Andrea mentioned the difficulties to get used to having a boss: I get my CPR number in 2008 and I had a job for one and a half year-bride s house and wedding dresses. For me it was nice the job I had, but it was also difficult to have a boss (Andrea) 58

Of course, this was not the main reason for Andrea to establish her company, but is evidence that the transition between being your own boss and working for somebody else is not an easy process, and some women would prefer to get back to entrepreneurship activities. The third woman, Kathy, had her own business in Poland where she was teaching English and was working as a translator. As previously discussed, she couldn t find a relevant job in Denmark and that was the push factor to start her own business. Maybe the fact that she was an entrepreneur back in Poland and has entrepreneurship knowledge and experience also affected the decision to establish a business in Denmark. A possible explanation and interpretation of the facts is that for women who have been entrepreneurs the idea to start business again is not so terrifying, and the decision to establish a company is easily taken. The cases of these three women have some differences- Sussi started new companies immediately after she closed her first business, Andrea was employed in a bride s house before starting her own atelier, and Kathy was looking for job opportunities before taking the decision to start her business. Even though they are different, they all show that women who have already been entrepreneurs are willing to remain entrepreneurs, and can easily start new companies again. Another interesting connection between the three of them is also the fact that they come from families where one or both of the parents were entrepreneurs. This might be considered as a factor influencing their career choices and willingness to remain entrepreneurs. 4.2.4. Women have a preference to start small and without making large investments. Furthermore, they establish different strategies to cut down their expenses. Starting out small The women in the study, both internationals and Danes, shared the view that they prefer to start business in small scales instead of establishing big business and making big investments in the beginning. Kathy and her partner are starting small, but are planning to grow: I think the business plan is as it is, and it is focused on growth and actually becoming big. So, starting out small and becoming bigger (Kathy) Jakarta shared the following view: 59

Because I just started, I don t want to like I don t want to be stupid business person I would like to start from small step, because it will be interesting when when, yeah I hope (smiling) cross my fingers, if one day I am a big photographer in Denmark and look back, I will be proud of myself that I started from.from yeah from small, by myself (Jakarta) And Mette made the following supposition: I think more women will do it in the way that I ve done it, just start up small and then let s see, let it grow and see if it works (Mette) Most of them didn t apply for a credit and invested their own money to start their companies. The line of business was discussed by Rikke, Mette and Kathy as the reason why they didn t need any financial help from banks: when you are within knowledge, with what you would call a knowledge area, than you don t have a lot of investment you have to make, because basically what you got is yourself. So I didn t actually make any investments (Rikke) I had my computer. I think that s another advantage of working like this. It s not like the hairdressers where you have to go out and make a big investment (Mette) Actually, financing with these two projects is not an issue really, because well it doesn t take large sums of money to do that (Kathy) Even though Andre and Jakarta s businesses required bigger investments compared to Rikke, Mette and Kathy, they both found ways to start with smaller amounts of money. Andrea made small investments during the years and acquired some old machines and different materials. At the time when she started her atelier, she already had the necessary equipment and there was no need to make bigger investment: And then he bought the first two machines. It was not that expensive, because they are very old machines, but works very well. And then I bring some materials and I bought some here. We went to London, I bought something also there.and then later I started to buy more, more and more and find different machines (Andrea) Jakarta explained that starting a photography business is expensive activity, but she managed to start with her own money and financial help from her husband. Before the interview in her studio, she explained that the whole equipment is bought from Indonesia where the prices are cheaper than the prices in Denmark. This was her strategy to start the studio without big investment. 60

Strategies to start with small investment and to lower the expenses All the women in the study, both Danes and internationals, employed strategies to lower the initial risks and reduce the expenses. Starting with small investment and minimizing their expenses, allowed them to combine entrepreneurship with other parts of their life. In the beginning Rikke rented cheaper project office from Aarhus Kommune and hired her first employees as løntilskud medarbajder which gave her an opportunity to economize from rent and salaries. Mette used to work from home and didn t need to pay an office rent, she just recently moved to shared office space. Sussi also mentioned that in the first of years of her photography business she worked at home. Working at home for both Mette and Sussi might also be considered as an approach to spend more time around their family and especially with their kids, thus, combining the roles of mothers and entrepreneurs. Kathy and her partner rented an office on an affordable price and established a concept that allows them to use the premises of the companies where they teach English: I think it was also thinking about how to make it work and one way to make it work, well you have to think about where you will conduct these lessons and that was that, you know, the focus is on the companies. So that takes away a lot of the financial pressure, because I don t have a place that I have to pay rent that costs, I don t know a 30,000 DKK a month, so in that sense is not a problem (Kathy) Andrea used to rent a bigger place, but recently moved the atelier to her apartment. That, according to her words, takes a lot from the financial pressure, allows her to pay easier her debts to the bank, and gives her opportunity to have more free time. Having more free time with her husband was also one of the reasons why Andre started her business. Having her atelier at home not only lowered her expenses, but also gave her opportunity to work in a more relaxed manner and spend more time in fun activities. Similarly, Jakarta established the photo studio in her house and this reduced her expenses as she doesn t have a monthly rent. She also shared that for the first months of the business she was part-time entrepreneur. She was busy with Laer dansk and Tietgen skole during the week days and used her time in the weekends to work in the photography studio. Thus, having her studio at home might be considered also as a strategy to balance her time between work and other important activities. 61

It seems that women have more holistic approach when starting their business. They take under consideration the risk of establishing their own business, and prefer to start in a way that is not that dangerous, a way that won t put in jeopardy the other aspects of their life. This view was explicitly shared by Mette: I don t think women are that willing to take a risk because they consider their whole, they have this holistic approach to their life and they want, I think well, at least I wanted to have time both for my family and for my business. I wasn t willing to sacrifice everything just for the sake of starting up a business (Mette) This holistic approach toward the different aspects of their life shows that women would prefer to start small and without making significant investments, but it also means that their companies are stable and exposed to less risk, which is also beneficial for the economy. Bank requirements Only two of the women in the study have used a bank loan to finance their business activities. Sussi took credit together with her husband to buy a professional camera and a computer for her studio. Andre borrowed money to buy her partner s share. For both applying for a loan was fairly easy - Sussi guaranteed with her apartment and Andrea had a family member to guarantee for her. What attracted my attention, though, was the information that the banks in Denmark accept guarantee only from Danes. This information was shared by Andrea and Jakarta. Jakarta has never tried to apply for credit in Denmark, because she heard from her international friends about the guarantee requirements and didn t want to involve her husband and disturb him with credit for her business. Andrea said that when she applied for her credit the bank required the reference person to be a Dane: then they needed to have a guarantee, of course. And then it was that somebody in the family should give a guarantee and Danish people. It should be somebody with credibility here in Denmark (Andrea) This information is unofficial and not verified. If proven to be correct, it would mean that there is one additional obstacle for the international entrepreneurs in Denmark. This topic could be of interest for another, separate study on the entrepreneurship in Denmark. 62

4.2.5. Even though women have different perception and strategies in relation to networking, they are all aware of the power of networking and social capital, and know how to establish contacts and get support. The women in the study are aware of the importance of networking The topic related to networking was considered in the beginning of the analysis. It was discussed that while Danes have their natural connections in Denmark which can motivate them to start a business, internationals do not dispose of an extensive network when they settle down in Denmark. Even though the range and nature of social contacts differ from person to person, all of the interviewed women were aware of the importance of networking, and knew how valuable it is for their business: I think when you are a solo company that s really, really important that you use other people instead of going into a box and staying in there (Sussi) The international women in the study also adapted quickly and learned that networking is very important in Denmark, and also vital when one develops a business: the networking is a big, big thing here. I don t think it s only here - I think everywhere actually. If you look at it and if you think about your own country, it s the same way, because people do network, yeah, it happens (Kathy) if you work with your own business, it is always connected with people, you cannot be yourself, you cannot you cannot stand only with yourself, you really need to get help. I mean like even talking is like getting help from other people (Jakarta) Women have different approaches toward networking The women in the study shared some thoughts about the way they network and the approaches they use to get help from their contacts. It seems that their line of business, their personality and perceptions, motivates their networking strategies. Rikke, Sussi and Kathy, whose businesses are related to communication, counseling and education, are very active networkers and look for various networking possibilities. For them, networking is a big part of their business. Rikke shared that her mind is always set in a professional context and her main goal when networking is to present the company and get new contacts. 63

Furthermore, she strategically picks up network relations based on the decision-making power that people have: That means power, that means the ability to choose us as entrepreneur or the ability to say Yeah, yeah we got 100 000 that s yours, you know, that decision making because that s in my interest, is the one I am sitting, having a meeting with the one who can make the decision afterwards saying Yeah,we have a deal, or is it just the one under who says I have to go to my manager in order to (Rikke) Sussi takes part in many different networks and organizations. According to her words, this is giving her life and joy. For her networking is an opportunity to meet clever people and to get forced to make a plan and put it in action. Furthermore, networking was vital for the development of her current business: And I could say that in the development of the whole concept of the businesses that I am involved in now, networking is absolutely vital. Without networking there would be no company because I baked everything on having my fingers in the trend of the time (Sussi) Sussi discussed that during the years she adopted some of the males techniques of networking such as the manner to be concrete and talk with numbers. She said that talking with numbers could help women to get through networks and receive acceptance. For her the key to successful networking is to adopt the way men do business, to talk with numbers and show that she makes a difference and have impact, and these are also her advices to all female entrepreneurs. In addition, she expressed her preference to network with men, because they see network possibilities better than women. For Kathy networking is also an important part of the business. One of her strategies is to draw upon the resources of her friends and acquaintances. She also got used to the Danish style of networking and joined many organizations where she can network. Furthermore, Kathy learned that in Denmark it is absolutely normal to ask for help straight away when you meet people and make new contacts: they ve told me it, you know, it s perfectly normal when you talk to someone just ask them straight out: How many, Can you give me some names?. And I think, first I thought OK that s kind of strange, because if I don t know you that well, why would that work, but it has worked for me for example. I haven t had any problems with that, people just said Oh, you know, this person could be good for you or You 64

can call this person, and they said, just after meeting once sometime, You can use my name, it s not a problem. So I though, that s very nice (Kathy) Compared to the first three women, Mette, Jakarta and Andrea have different approaches of networking, related to their lines of business. Even though their businesses are to some extend service oriented, they have physical products that require their attention and time. This makes their business activities slightly different than those of Rikke, Sussi and Kathy, and calls for different strategies of networking. As Business to Business translator, Mette is not very active networker, but has her own concept of establishing contacts. It is important for her to be part of Translatørforeningen, where she can get legal protection and communicate with other translators in professional or social context. As a single person company operating in this line of business, Mette relies on friends and colleagues when it comes to work: I ve got other colleagues and friends who ve got the same set up as me and then sometimes we will share a job, or I will split it, or give it to them (Mette) During the interview Jakarta talked more from the perspective of an artist and that side could also be perceived in her networking strategy. Jakarta prefers to meet special people in her own way instead of participating in professional organizations. Most of her friends are also artists and that s very helpful for the establishment of new contacts. Beside her art side, she is also a business person recognizing the importance of getting in contact with customers. She, however, has a more interpersonal approach for networking and prefers to keep a good relationship with people: Yes, yes, yes, so they know me not only as a photographer, but as nice person in this business. I mean like, I will not misuse the network, you know, for other things, so I want to keep being nice photographer, you know what I mean, because, yeah, to keep relationship is very important (Jakarta) Andrea s understanding of networking has some similarities to Jakarta s. Just like her, Andrea expressed the importance of interpersonal relationships and her sensitivity about people s opinion about her. She was also joyful that many of her customers lately became her friends: I am more sensitive actually, I think more about what you think about me, about my job and this was I had so many good answers, I had so many emails and it was quite 65

nice and still until today. From customers. I think this was the best for me, you know (Andrea) Networking was also described by Andrea as a big challenge, and as something she doesn t really like to do. Luckily, the network always comes to her. During the years she got some invitations to participate as a speaker at seminars and was interviewed by various magazines and newspapers regarding her company. This, as she said, was a good way to advertise her business and establish customer base. The network approach appears to be influenced by women s personal perceptions and characteristics. Kathy and Sussi are both outgoing extroverts who like to be around people and create new contacts. Networking is an important part not only of their business, but also of their lives. In contrast to Kathy and Sussi, Andrea and Mette seem to be more introverted. They are not that much into networking and instead prefer to concentrate on other aspects of their businesses. Andrea enjoys the tailoring, where she can work peacefully and Mette appreciates having her fingers on the text. They both prefer to concentrate on their products and network only once in a while. Professional networks Even though all the women in the study have a different approach toward networking, they all participate or used to participate in some professional organization. In the beginning of their entrepreneurial activities they used professional help from specialized organizations and institutions. Rikke joined a lot of sales networks in the beginning and also got help from Aarhus Kommune. After she took over the company and became a solo owner, she took various courses in sales and networking at Start Vaekst. Currently, Rikke considers joining the leadership network - Center for Ledelse. Sussi mentioned that being part of networks such as Startup City and The Talent Factory, as well as taking part of events such as Startup Weekend, was a source of inspiration and motivation for starting her recent business activities. In the beginning of her translation firm, Mette took a course for freelancers at Virksomhedsudvikling, where she learned how to make a business plan, build a network, and make a budget. Beside the professional side, Mette also enjoyed the social aspect of the course: 66

at that time it was nice, it was nice to meet other people and just discussing what Just meeting other people and, yeah, see what their story is. Find out about their story (Mette) Two of the international women, Kathy and Andrea, were active and joined various organizations. In order to receive help and advices in the beginning, Kathy contacted different places at the university offering counseling for students and business. Together with her partner she also joined Udvikling Fyn where they were provided with a business advisor. In addition, they participated in events organized by Entrepreneurship in Denmark. Andrea received help from Vaekst Huset and joined business courses with A-kasse and SKAT in the beginning of her business. She also established a contact with The International Community where she was invited to participate as a speaker at Corporate Night event. Jakarta attended Entrepreneurship in Denmark event only in the beginning of her company in order to get some inspiration and hear personal stories from other entrepreneurs. She is currently participating in Sprog Kaffe, which is a project financed by Odense Kommune and aims to help internationals to learn Danish. However, she is not actively participating in any professional networks. Jakarta stated as a reason the fact that she doesn t want to have too many meetings without any results for her business. In addition, her previous experience shows that often the information at such meetings and events is irrelevant for her: No. Because, yeah, actually when I join when I join to group or some activities, I end up being disappointed because it s kind of boring and then the information 10 years ago. And yeah, so I prefer like to meet special people by myself. Because, when I ask for help it could be no like no match. Yeah, not like what I need (Jakarta) Both Danes and internationals in the study were aware of the opportunities offered by different organizations in Denmark. They all joined different groups, events and courses to acquire knowledge related to various aspects of entrepreneurship and business. However, in different regions of Denmark the availability of such entrepreneurship networks is not equal. Kathy and Jakarta, who have businesses on Fyn, shared that there aren t many entrepreneurship initiatives in that region. Jakarta was not aware of the varieties of entrepreneurship courses, unions and organizations in Denmark. Kathy elaborated on the topic by saying that many of the organizations on Fyn are not freely available and one have to cover different requirements to participate in meetings and workshops. She also 67

expressed an opinion that initiatives such as Entrepreneurship in Denmark and Start Vækst are great, but are not available in Odense and this makes it hard to participate. Kathy pointed the same problems regarding the female entrepreneurship networks- there aren t many at Fyn and in Odense. Female entrepreneurship networks All of the Danish women in the study and one of the internationals (Jakarta) have been members of female entrepreneurship networks. A common trend, which could be found between all of them, is that they joined the female entrepreneurship organizations in the initial phase of their companies and left those networks at the point when they were no longer valuable from a business perspective. These organizations were discussed from social and professional perspectives. Mette and Sussi commented on the social aspect of Heroines of Tomorrow where both were members: it developed into being a social meeting place for me just to get out and meet other people as I said before it gets quite lonely, I mean during normal working day everything takes, all the communication, most of it, takes part by email. So it was nice to get out and meet other people and also meet people who knew about being in the similar situation starting up (Mette) I stayed there because there were a lot of women like me and nobody questioned whether you could be an entrepreneur and mom at the same time. It was just absolutely natural- Oh you do it like that, I do it like that, Can I help you with this, What is your business? It was very easy, open and supportive (Sussi) Beside the social aspect, Sussi also appreciated the business aspect of the female networkhelping women with the traditional women traps related to growing, scaling and pricing their products. Interesting fact about Sussi is that she didn t really want to join Heroines of Tomorrow, but was pushes by her business advisor to become a member. Furthermore, she became chairman of the organization and started an initiative to improve the organization s financial stability, and to create public and media awareness about the organization. The third Danish woman, Rikke, expressed the opinion that she wouldn t join a female network just for the reason of supporting women. When she actually joined such a network she did it with a business purpose: 68

Actually, I joined for a small amount of time where I conveniently took some courses, met some people, interacted and networked (Rikke) All three of them are no longer members of the female entrepreneurship networks where they used to participate. Rikke left the group when it got to a point where it started to get uninteresting business wise. Currently, Rikke considers joining Women on the Way, where the members are executives, leaders and managers. According to her, that could be a good network for discussions and sparings. The other Danish woman, Mette, didn t share any particular reasons to leave the network, but she commented that she never got anything out of it professionally. The other members were in an initial phase of their businesses and didn t have much to offer. Sussi simply explained that she was part of Heroines of Tomorrow when she needed it, which is not the case anymore. One of the international women, Jakarta, was also part of a female network. She joined Kvinfo when she established her business, but left the organization, because their help was not optimal and they discussed irrelevant for her topics. From the cited above cases it could be concluded that women don t join female networks just for the social aspect of it, only to be supported and receive emotional help and understanding. Beside the fact that they are women, they are also business owners with economic interests, who focus their time and attention on business related matters. Both Sussi and Mette talked about the social aspect of Heroines of Tomorrow, but this was not enough to keep them in the organization. Rikke and Jakarta left their female networks at a point where it was no longer worthy business wise for them. This might call for better research on the female entrepreneurship networks in Denmark- what do they offer, are they able to keep their members, how long women participate in these organizations once they join them, when and why they leave the organization. 4.2.6. When it comes to social support, the role of the husband and the figures of the business advisor and mentor are vital and important. The role of the husband While discussing the social capital and network topic during the interviews, it was noticeable that most of the women were talking about the support of their husbands. Both Danes and 69

internationals confirmed how important it was to receive help from their spouses. For Sussi it was crucial to receive help from her husband in the beginning of her photography business. At that time her kids were very young and her spouse was the one who helped her with everyday tasks, the housework and the childcare: So if my husband hadn t, he hadn t backed up in everything it would have been completely impossible because I worked very, very long hours (Sussi) She added that without his help it would not be possible at all to be ambitious in her business. Her husband was also the one who encouraged her to accept the position of chairman of Heroines of Tomorrow, and supported her to take the right decision. Financial wise he took a bank credit together with Sussi, so she could buy her professional camera and computer when the photography studio was established. Mette didn t discuss much the help of her husband, but shared that he supported her in the decision to start her own company. She also talked about his help when it comes to proofreading and correct translation in English. Well my husband is Welsh, so he speaks English which is quite useful (laughing) for my business, so we speak English at home and sometimes he proof-read translations, so and just generally said if I was to say this and that how would you say it. So I mean yes I do ask him for advice (Mette) Even though she is not married, Rikke also discussed how important it will be to receive support from her boyfriend in order to combine business and motherhood roles in the future when they have a child: it will definitely take a lot of structure and a lot of planning he is a social worker which means that he works at hours which are different from mine, so this is our sort of escape road (Rikke) Kathy received important and vital support from her husband, who helped her in all aspects related to registering the company, regulations and tax legislation. As an entrepreneur he already knew the procedure of establishing a company in Denmark, and his assistance made it easier for her to start the business: if I just came by myself and I were to start business I think it would be hard, because I had him that I could rely on and he could give me a lot of information, it 70

was actually quite easy because I knew exactly where to go or what to look for (Kathy) Andrea happily explained that her husband supported her hundred and ten percent : I think he was more positive than I was in the beginning. Yeah, he loved my job from the the beginning and all the time he said I can help you. I can help you (Andrea) She confirmed that the emotional support of her husband was very important, but beside that she was also assisted on very practical matters. He helped her with the company website, the purchase of the first machines for her atelier, and the initial household expenses. Similarly, Jakarta discussed how her spouse supported her emotionally and financially for the establishment of the photography business. Even though she relied on his financial help in the beginning, Jakarta currently prefers to develop her business independently. She prefers not to mix business and personal life, in a sense that she doesn t want to use her husband s network and credentials for business purposes. From this discussion it becomes apparent that the role of the husband is very important for the female entrepreneurs. This common trend between all the cases in the study shows the importance of the spouse for the establishment and development of female entrepreneurs businesses. The emotional, informational and tangible support offered by the husband is valuable for the woman entrepreneur and her personal and professional accomplishments. The roles of business advisor and mentor Beside the figure of the husband, the role of the business advisor and mentor stands out as an important part the social capital and network. Sussi and Rikke talked about their advisors who guided them in the beginning of their businesses. Sussi explained she was pushed by her advisor to become a member of Heroines of Tomorrow and also discussed with him different topics related to her products and prices. Rikke mentioned her business advisor from Start Vaekst, who helped her with sales strategy and network, and taught her how to think strategically: she helped me build up my sales strategy, she helped me put on, you know, gave me contact to different networks But it was helpful in the way that she made me (ah) I as an entrepreneur was not used to thinking strategically about my sales for 71

instance, so it was not any of my competences from the beginning, so she helped me think OK you have to have sales strategy. You know, you can t just do it sort of ad hoc, you have to think about OK so where could be your, you know, venue?, Where could you go to seminars?, Where, who could you, so you could go to a big market?, How could you get parts of the market (Rikke) Kathy talked about a business consultant that she and her partner encountered through Udvikling Fyn and whose help was useful in the initial phase of their business: We had a consultant at Udvikling Fyn and that was also helpful, because he helped us with the basic things. I mean he provided us with a business plan and so on. But it s kind of gotten to a stage where I think we passed that now (Kathy) While the business consultant was discussed as important figure by the Danish women, the internationals also discussed the role of the mentor. Kathy explained that at this stage of her business, she needs a professional who s in the work force, in the business world running their own business, who can be her mentor. She already have unofficial male mentor, but would like to apply for female business mentor with Udvikling Fyn. Kathy admits that she prefers to have a female mentor in order to get knowledge and inspiration from a business woman who is already experienced: I think for me it s interesting to I would like to have someone a female, because I m a female myself and I would like to get her take on how it s been for her. I think it s different for men and women. And I think it will be good to have someone who knows exactly where I m coming from, and also to to kind of get her feedback and maybe to find out what worked for her, to use that (Kathy) Andre also talked about her female mentor from Kvindemuseet in Aarhus, who helped her with many aspects of her business in the beginning. Even though the mentor program was focused more on improvement of Danish language skills, Andrea s mentor also give her many professional advises, since she was a trained business coach. At a stage where the business couldn t develop and the partnership between Andrea and the other woman was not fruitful, the role of her mentor was vital. The mentor motivated her to take the decision to continue as a solo owner and develop the company by herself. Today Andrea admits that she owes her success to the mentor: (Andrea) But it was was my mentor. She was responsible for my success at this time 72

Even though she didn t talk directly about business advisor or mentor, the third international woman, Jakarta, shared that she is looking for a local person, a Danish photographer, who can share some knowledge and experience with her. So far she has met two inspiring persons, Brazilian and Danish photographers, but she is still looking for the right local person who can give her inspiration and advices. The need for guidance in the initial phase of a business is shared by both Danes and internationals in the study. It seems that the help of the business advisor is important when it comes to professional concerns. Beside this business assistance, the international women also experience a need to have a mentor who can combine the social and professional aspects and guide them on the way. They look for someone who can share personal experience with them and be a source of inspiration and advices. One reason for this could be their foreign background and the need to learn about the Danish business culture and norms. The mentor is the person who can make the link between them and the Danish culture. From that perspective, the mentor programs can help international female entrepreneurs to improve their business performance and increase their awareness about existing opportunities in Denmark. The topic is important and needs more attention and future research. 4.2.7. The perception of business growth and the desire to grow the company are closely related to the stage of business, the goals implemented in the company, the impotence of work-life balance and the intrinsic motivation of the entrepreneur. Business growth is related to the maturity of business and the entrepreneur s goals. During the Analysis of the six cases, ambition for business growth was found to be related to the company s maturity. Kathy, Jakarta and Sussi, whose companies are recently started, were certain in their decision to develop the business further and grow by hiring employees and offering more products. Sussi s vision about business growth for her latest companies is related to writing a book, developing web learning tools and e-books, which will increase her speaker fees and will allow her to earn money from different channels. Additionally, she considers hiring employees in one of her companies. For her the growth is also the challenge to think big : 73

for me it s actually a journey where I challenge myself to think big and do it while I am forming the company. And that has been the case, both with the Good Business Matters concept and in Bianco Lausen (Sussi) Kathy discussed that her wish is to start small and become bigger, and business growth is part of her business plan. At this stage of her company, business growth means expending and becoming bigger, hiring employees, and having a larger list of clients. Kathy is confidence that she and her partner will develop their business further: I think the business plan is as it is, and it is focused on growth and actually becoming big. So, starting out small and becoming bigger. But, yeah, we have goals and different types of challenges, but also we have deadlines that we would like to meet those goals by, and so I think we are quite focused on that (Kathy) Jakarta also has the ambition to start small and become bigger. At this stage of her business, she perceives business growth as finding more customers, establishing contacts with other photographers bigger than her, becoming international, and hiring an assistant: To grow, of course, I start from small circle and then it will, like a circle, I will make like small and then bigger, bigger and bigger (Jakarta) While for the women with newly established firms, growth was perceived as more products, more customers, getting bigger and hiring employees, for Rikke,who has her business over a longer period of time, growth was more about changing the structure of her company. In the beginning of her enterprise Rikke s wish was to grow the company by hiring employees, and she set some financial goals in order to fulfill this wish: When we started in 2004. we agreed that at some point we would like employees I for my part would like colleagues, so therefore when it came to growth, I was more concerned about the amount of employees than actually the amount of money (Rikke) One of the Rikke s main goals as an entrepreneur was to contribute to the society and create work places where people can come and have a life and make money. For the eight years of her company s existence she hired two full -time employees and 25 freelancers, and the business kept growing financial wise. Nowadays she is reconsidering her initial vision of growth and admits that at the moment she is not ready to grow more: 74

so would I want to be even stronger and growing even more. I actually I don t know, but on the other hand no, not at the moment (Rikke) Furthermore, Rikke believes that in her field of business she will never be a big company, and her new concept of growth is related to the so called network company, where she can work with a firmly based network of partnering companies. The ideas that each of these women shared during the interviews show that they have a clear picture about growth and know how their companies can develop. While the women who recently started their business were talking more about growth in a sense of products, customers, and employees, the women who have business over a longer period of time discussed possible changes in their company structure and customer base. This shows that an understanding of growth is related to the maturity of business. In the early years of their companies, women are more focused to develop by expanding the customer base, offering more products and hiring employees, while in later stage, when the company has matured, they focus on different goals. One of the reasons might be that the initial goals are fulfilled and replaced by new goals. But another reason might be the fact that women grow up as their companies grow, and their perceptions, ideas, and goals change and evolve. Rikke s case is evidence for both. On one hand, she fulfilled her goal to be financially stable and hire employees and thus she is no longer interested to grow in that direction. On the other hand, her ideas and perceptions evolved during the years and she is now confident that the right way to develop is to establish network company with subcontractors. Even though they know how to do grow, not all women have the same desire to do it Mette s case demonstrates that there is a difference between knowing how to grow and having a desire to actually achieve this goal. Mette, who also has her business for a long time now, shared the view that growth is about restructures and changes in her customer base. She would like to have direct customers rather than agencies, which will allow her to make more profit. Even though Rikke and Mette share similar perceptions of growth their motivations differ. While for Rikke having a network company seems to be a real solution and something that she wants to accomplish in the future, for Mette changing her customer base is just a thought instead of a real goal for development: 75

I ve got good clients now, so it s not like it s not like anything that really has to be done there can always be If I can get some other clients, if I get more direct clients I can charge more than now, because the translation agencies will take part of it, of the cake, but it is not an imperative really (Mette) Mette admits that the growth will require additional investments and a marketing strategy that she is not willing to make. Growing in that sense, will make her more of a translation agency rather than a translator, which means that she won t be doing what she likes to do- get her fingers into the text and do the translations. Mette also confesses that she prefers to stay in her comfort zone, because for a single person business it s an advantage to be in the position where she gets a steady flow of assignments from her B2B customers: So, I think as.as a single person business it s an advantage to be in the position that I am in, because I get a steady flow of assignments as it is now, whereas if one business needs a translation done one month then maybe they don t need another until maybe 2 or 3 months and I can t make a living out of that. Whereas now I get some really big clients that I couldn t, I couldn t have them as a single person because that would be too much, because there is a lot of other work being done by the translation agency that takes care of (Mette) Business growth is not a priority for the women who put emphasis on work-life balance Work-life balance was discussed by Mette and Andrea as one of the motivational factors to establish their businesses. Since this was a common goal for both of them, they also shared some similarities in their perception to grow the business.for Mette work-life balance is a main objective. She wants to have satisfied work life, as well as time for her family and for herself. This could also be identified when she was talking about her goals and business growth objectives. During the interview, Mette discussed several reasons why she is not willing to grow and one of them was also related to work-life balance:.at the moment I am working far too many hours, so I mean, I would like to reduce my work hours and not growing in that sense (Mette) For Mette, the growth is not a priority. Furthermore, she explained during the interview that she doesn t have enough free time for herself and for social life: I can have up to 10 hours working days and that after so many months gets too much. So it s I think it cost from the social life, because there is only if I say yes to a job and there is only me who can do it (Mette) 76

In that sense, reducing the working time and not growing will allow her to achieve her goal- to have more balanced work life and free time. Similarly, Andrea talked about work-life balance as one of the reasons to start her business. Having her own company was a solution to synchronize her schedule with her husband. She has some ideas how to develop her company, but she is currently planning to work less. The difference between the two cases is that Andrea will be actually forced to slow down, because she is starting her high education in September. Thus, she will need to balance even more between work, family and school: Yes. I think it s, I just like to, especially when I have to, I like to go to school and it means a lot for me to go to school and if I have less customers and I don t have the expenses, it s OK. This balance I think can can be done (Andrea) Andrea admits that seeing business growth at this stage is hard, especially because of the school and her objective is to survive rather than grow. For Andrea and Mette, the relationship between work-life balance and growth is a common theme, experienced in a different context. For Mette business growth is not an imperative, and she wants to slow down her work and have better work-life balance. For Andrea business growth is something she wants to achieve, but on the current phase of her life she has to slow down and find better balance between work, family, and school. Growth can be influenced by intrinsic motives and is not always related to financial goals While usually growth is perceived as financial development, more customers, and higher profits, etc., not all the women have this traditional view. During the study it was witnessed that each of the women has her own personal view on business growth, and her desire to grow is motivated by varieties of factors. It was interesting to observe that for some of the women growth is connected to intrinsic motivations. One of the goals for Andrea is to find a solution and design a bra for women with breast cancer. She explains that this was one of her motives form the beginning of the atelier: And one project, one goal I have also is to learn a little bit more for breast cancer. Make bra for these women, because I did some until now, but they have to improve a 77

little bit more because these women have pain, they have different body, you know. And I did some, but this is something I would like to work in the future (Andrea) For Andrea, the project means a lot and achieving this goal is also something she perceives as growth. She doesn t want to produce this special bra on a big scale, but rather wish to develop design, materials and prosthesis. Thus, her goal is not to make money out of the project, but to help women who have this health issue: I would like to make this project like my final study in the school. I would like to make this project And in future to see what will happen, because it is a goal, it is a really if I can do this it means a lot (Andrea) One of Rikke s initial goals, when she started her company, was to contribute to the society and create work places. This goal was also implemented in her business growth strategy. For Rikke business growth in that context was more about giving back to the society by hiring employees, rather than making more money:.when it came to growth I was more concerned about the amount of employees than actually the amount of money (Rikke) For Jakarta keeping a balance between the financial side and the beautiful art side of her business is one of her goals. Furthermore, one of her dreams is to become fashion photographer. And in this industry the real value derives from the high esthetic quality of the work. Thus when talking about growth, Jakarta stressed that for her it is about quality, not about quantity: big is not about quantity. I want to be big as a quality (Jakarta) The cases of Andrea, Rikke and Jakarta illustrate that growth is not always about money and profit, and can rather be related to the fulfillment of intrinsic goals such as helping people, contributing to the society, delivering high quality, and receiving appreciation. 5. Conclusions and recommendations for future research Denmark is a country with abundant environment for entrepreneurship. The policy makers endeavor to establish the country as a world leader in terms of entrepreneurship. Since 2009, female entrepreneurship receives an increased attention, and various initiatives were started to encourage more women to choose entrepreneurship as a career path. However, 78

the number of female entrepreneurs in the country remains relatively small, compared to the male-owned businesses. Instead of asking why women in Denmark are less likely to become entrepreneurs, the present study focused on women who already have started a business. The aim of the paper is to find why they became entrepreneurs. For this purpose, six women, three Danes and three internationals, were interviewed about their personal and professional motivation, experiences, and practices. There is no single answer to the question Why women in Denmark start their own businesses? The reason to establish a company is a complex mix of factors for each of the women who participated in the study. The importance of network and social capital has proven to be significant motivator for business establishment, as well as the work-life balance motive. For two of the international women the decision was influenced by the difficulties to find relevant job in Denmark. All of the interviewed women have education, work experience and specific skills that inspired their business ideas and generated profitmaking assets. Some of the women come from families of entrepreneurs and have established companies more than once. In the process of establishing and developing business, women employ holistic approach to it, and try to combine it with the other aspects of their lives. Women prefer to start small and give a try to their business ideas in order to see if they will develop further. This is why they usually establish their businesses with own financial capital instead of using bank credits. Starting small and growing with small scales makes the female owned companies stable and risk-free, which can be beneficial for the economy. Furthermore, women often establish their businesses with the desire to contribute to the world and to add value to peoples lives through the products and services they offer. Consequently, the female owned companies have a great value for the society. Contributing to the economy and society are factors that make entrepreneurship very important to every nation. Traditionally, the contribution is identified through quantitative measures. However, the present study proves that the entrepreneurship can also have a 79

qualitative meaning. This is evidence that the policy makers in Denmark should pay more attention to the qualitative benefits of the female owned businesses, rather than focusing on purely financial measures. Having the right apprehension can inspire the best approach to motivate more women in Denmark to become entrepreneurs. In this sense, the business growth is an interesting topic for deeper research and observation. It will be indeed interesting to investigate and study in-depth how women grow their businesses and what motivates them to grow. Furthermore, how their companies create a value in the society. Another interesting topic that was observed during the study is the situation with the female entrepreneurship networks in Denmark. They can be an important tool to stimulate more women to become entrepreneurs and grow their businesses. It seems though, that currently they can t keep their members and can easily become uninteresting for the women. This might call for a separate research on this type of networks-what are the benefits of participation in such a network, and for what reasons women leave them. A better understanding of the female entrepreneurship networks in Denmark can lead to improvement of their quality, introduction of more services and help that they can offer to women, and attraction of more women to become entrepreneurs. Last, but not least, this study shows the importance of the international business owners in Denmark. They arrive to the country with solid background, education and experience, which can be turned into a valuable asset for the Danish society. The policy makers should pay more attention to these women, motivate them to become entrepreneurs, and guide them through the process. Mentoring programs can be a very beneficial to encourage and help them. This is a topic, which could be of interest for a separate research. 80

Bibliography ALPERT, D. and CULBERTSON, A., 1987. Daily hassles and coping strategies of dual-earner and nondual earner women.. Psychology of Women Quarterly, 11(3), pp. 359-366. ANDERSON, A.R. and JACK, S.L., 2002. The articulation of social capital in entrepreneurial networks: a glue or a lubricant? Entrepreneurship & Regional Development, 14(3), pp. 193-210. BARON, R.A. and MARKMAN, G.D., 2000. Beyond social capital: How social skills can enhance entrepreneurs' success. Academy of Management Executive, 14(1), pp. 106-116. BIRLEY, S., 1985. The role of networks in the entrepreneurial process. Journal of Business Venturing, 1(1), pp. 107-117. BRUSH, C.G., CARTER, N.M., GREENE, P.G., HART, M.M. and GATEWOOD, E., 2002. The role of social capital and gender in linking financial suppliers and entrepreneurial firms: a framework for future research. Venture Capital, 4(4), pp. 305-323. BRUSH, C.G., 1992. Research on Women Business Owners: Past Trends, a New Perspective and Future Directions. Entrepreneurship: Theory & Practice, 16(4), pp. 5-30. BUTTNER, E.H., 1993. Female Entrepreneurs: How Far Have They Come? Business Horizons, 36(2), pp. 59-65. BUTTNER, E.H. and ROSEN, B., 1989. Funding New Business Ventures: Are Decision Makers Biased Against Women? Journal of Business Venturing, 4, pp. 249-261. BUTTNER, E.H. and ROSEN, B., 1988. Bank Loan Officers' Perceptions of the Characteristics of Men, Women and Successful Entrepreneurs. Journal of Business Venturing, 3, pp. 249-258. BUTTNER, E.H. and ROSEN, B., 1992. Rejection in the Loan Application Process: Male and Female Entrepreneurs' Perceptions and Subsequent Intentions. Journal of Small Business Management, 30(1), pp. 58-65. 81

CARTER, N., BRUSH, C., GREENE, P., GATEWOOD, E. and HART, M., 2003. Women entrepreneurs who break through to equity financing: The influence of human, social and financial capital. Venture Capital, 5(1), pp. 1-28. COLE, R.A. and WOLKEN, J.D., 1995a. Financial Services Used by Small Businesses: Evidence from the 1993 National Survey of Small Business Finances. Federal Reserve Bulletin,, pp. 629-666. COLE, R.A. and WOLKEN, J.D., 1995b. Financial services used by small businesses: Evidence from the 1993 National Survey of Small.. Federal Reserve Bulletin, 81(7), pp. 629. COLEMAN, S., 2000. Access to Capital and Terms of Credit: A Comparison of Men- and Women- Owned Small Businesses. Journal of Small Business Management, 38(3), pp. 37-52. COOPER, A.C., GIMENO-GASCON, F.J. and WOO, C.Y., 1994. Initial human and financial capital as predictors of new venture performance. Journal of Business Venturing, 9(5), pp. 371-395. COPE, J., JACK, S. and ROSE, M.B., 2007. Social Capital and Entrepreneurship : An Introduction. nternational Small Business Journal, 25(3), pp. 213-219. CROMPTON, R. and LYONETTE, C., 2006. Work-Life 'Balance' in Europe. Acta Sociologica, 49(4), pp. 379-393. DALBORG, C., FRIEDRICHS, Y. and WINCENT, J., 2011. Leaving the Numbers Behind: Qualitative Growth, Business Platforms and Motivation of Women Entrepreneurs, June 16, 2011 2011, The 56 Annual ICSB World Conference, pp. 1-26. DAVIDSSON, P. and HONIG, B., 2003. The role of social and human capital among nascent entrepreneurs. Journal of Business Venturing, 18(3), pp. 301-331. DEVERS, K.J. and FRANKEL, R.M., 2000. Study Design in Qualitative Research-2: Sampling and Data Collection Strategies. Education for Health: Change in Learning & Practice, 13(2), pp. 263-271. DUBOIS, A. and GADDE, L., 2002. Systematic combining: an abductive approach to case research. Journal of Business Research, 55, pp. 553-560. 82

EASTON, G., 2010. Critical realism in case study research. Industrial Marketing Management, 39(1), pp. 118-128. FLICK, U., ed, 2009. An Introduction to Qualitative Research 4 edn. Sage Publications. FOSSEY, E., HARVEY, C., MCDERMOTT, F. and DAVIDSON, L., 2002. Understanding and evaluating qualitative research. The Australian and New Zealand journal of psychiatry, Volume 36, Issue 6, Page 717-717, 36(6), pp. 717-732. GILLHAM, B., 2005. Research interviewing: the range of techniques. Maidenhead, New York: Open University Press. GREENHAUS, J.H. and BEUTELL, N.J., 1985. Sources of Conflict between Work and Family Roles. The Academy of Management Review, 10(1), pp. 76-88. GUEST, D.E., 2002. Perspectives on the Study of Work-life Balance. Social Science Information, 41(2), pp. 255-279. HAINES, G.H., ORSER, B.J. and RIDING, A.L., 1999. Myths and Realities: An Empirical Study of Banks and the Gender of Small Business Clients. Canadian Journal of Administrative Sciences, 16(4), pp. 291-307. HAUGUM, M., MØRKVED, B., LILLEENGET, K., DALBORG, C. and FRIEDRICHS, Y., 2011-last update, Businesswomen Discussing Growth What Are They Talking About? [Homepage of International Council for Small Business], [Online]. Available: http://www.icsb2011.org/download/18.62efe22412f41132d41800011064/758.pdf. KIRKWOOD, J. and TOOTELL, B., 2008. Is Entrepreneurship the Answer to Achieving Work-Family Balance? Journal of Management & Organization, 14(3), pp. 285-302. KORSGAARD, S.T., 2007. Mompreneurship as a Challenge to the Growth Ideology of Entrepreneurship. Kontur Tidsskrift for Kulturstudier, ISSN: 16004140(16), pp. 42-46. KOVÁCS, G. and SPENS, K.M., 2005. Abductive reasoning in logistics research. International Journal of Physical Distribution & Logistics Management, 35(2), pp. 132-144. 83

KVALE, S., 1996. InterViews: an introduction to qualitative research interviewing / Steiner Kvale. Thousand Oaks: Sage. LEITCH, C., HILL, F. and NEERGAARD, H., 2010. Entrepreneurial and Business Growth and the Quest for a Comprehensive Theory : Tilting at Windmills? Entrepreneurship: Theory & Practice, 34(2), pp. 249-260. LIN, N. and DUMIN, M., 1986. Access to occupations through social ties. Social Networks, 8(4), pp. 365-385. MCKELVIE, A. and WIKLUND, J., 2010. Advancing Firm Growth Research: A Focus on Growth Mode Instead of Growth Rate. Entrepreneurship: Theory & Practice, 34(2), pp. 261-288. MCLELLAN, K. and UYS, K., 2009-last update, Balancing dual roles in self-employed women: An exploratory study [Homepage of SA Journal of Industrial Psychology], [Online]. Available: http://www.sajip.co.za/index.php/sajip/article/view/416. MINNITI, M. and NAUDÉ, W., 2010. Introduction: What Do We Know About The Patterns and Determinants of Female Entrepreneurship Across Countries? European Journal of Development Research, 22(3), pp. 277-293. MOORE, D.P. and BUTTNER, E.H., eds, 1997. Women entrepreneurs: moving beyond the glass ceiling. Thousand Oaks, Calif: SAGE Publications, Inc. NAFFZIGER, D.W., HORNSBY, J.S. and KURATKO, D.F., 1994. A Proposed Research Model of Entrepreneurial Motivation. Entrepreneurship: Theory & Practice, 18(3), pp. 29-42. NEERGAARD, H., SHAW, E. and CARTER, S., 2005. The impact of gender, social capital and networks on business ownership: a research agenda. International Journal of Entrepreneurial Behaviour & Research, 11(5), pp. 338-357. NEERGAARD, H. and ULHØI, J.P., eds, 2007. Handbook of qualitative research methods in entrepreneurship. Cheltnham: Edward Elgar. 84

RIDING, A.L. and SWIFT, C.S., 1990. Women business owners and terms of credit: Some empirical findings of the Canadian experience. Journal of Business Venturing, 5(5), pp. 327-340. SAUNDERS, M., LEWIS, P. and THOMHILL, A., 2007. Research Methods in Business. 4th edn. Pearson Publication Limited. SHANE, S., LOCKE, E.A. and COLLINS, C.J., 2003. Entrepreneurial motivation. Human Resource Management Review, 13(2), pp. 257-279. SHAVER, K.G. and SCOTT, L.R., 1991. Person, Process, Choice: The Psychology of New Venture Creation. Entrepreneurship Theory and Practice, 16(2), pp. 23-45. SHELTON, L.M., 2006. Female Entrepreneurs, Work Family Conflict, and Venture Performance: New Insights into the Work Family Interface. Journal of Small Business Management, 44(2), pp. 285-297. STEVENSON, L.A., 1986. Against all Odds: the Entrepreneurship of Women. Journal of Small Business Management, 24(4), pp. 30-36. STEVENSON, L., 1990. Some Methodological Problems Associated with Researching Women Entrepreneurs. Journal of Business Ethics, 9(4), pp. 439-446. TAYLOR, C. and GIBBS, G.R., 2010-last update, How and What to Code [Homepage of Online QDA Web Site], [Online]. Available: onlineqda.hud.ac.uk/intro_qda/how_what_to_code.php [08/01, 2012]. THE EUROPEAN INDUSTRIAL RELATIONS DICTIONARY, 07 December, 2009-last update, Work-Life Balance Definition [Homepage of Eurofound], [Online]. Available: http://www.eurofound.europa.eu/areas/industrialrelations/dictionary/definitions/worklifebalance.h tm [April 21, 2012]. WALKER, M.E., WASSERMAN, S. and WELLMAN, B., 1993. Statistical Models for Social Support Networks. Sociological Methods & Research, 22(1), pp. 71-98. WAN, C.K., JACCARD, J. and RAMEY, S.L., 1996. The Relationship between Social Support and Life Satisfaction as a Function of Family Structure. Journal of Marriage and Family, 58(2), pp. 502-513. 85

YIN, R.K., 1994. Case study research: design and methods. 2 edn. Thousand Oaks: Sage Publications. ZEDECK, S. and MOSIER, K.L., 1990. Work in the family and employing organization. The American psychologist, 45(2), pp. 240-251. Web Sites: Danish Enterprise and Construction Authority: www.ebst.dk/opstar Web Platform for Women Entrepreneurs: www.startvaekst.dk/virksomhedskvinder.dk Reports: 2011 National and Cross- national Policies on Women s Entrepreneurship in the Baltic Sea Region- a Comparative Perspective GEM 2010 Report: Women Entrepreneurs Worldwide The World Bank Doing Business Project 2010 Entrepreneurship Index-Entrepreneurship Conditions in Denmark Action Plan for Women Entrepreneurs 86