Global Entrepreneurship Monitor

The GEM Global Women’s Report offers an in-depth view of women who start and run businesses around the world. It provides both a broadly global and a comprehensively detailed foundation for guiding future research, policy decision making and the design of initiatives and programs that can enhance awareness about women entrepreneurship. As such, this report brings a greater understanding of women’s entrepreneurship to a diverse audience of researchers, policy makers, educators and practitioners. The ultimate aim is to foster an environment that encourages women to see entrepreneurship as a viable career option and to equip them with the tools to create the type and quality of businesses they wish to build, as well as create broader awareness among stakeholders that will support their efforts.

Full report can be downloaded here http://www.babson.edu/Academics/centers/blank-center/global-research/gem/Documents/GEM%202012%20Womens%20Report.pdf

Global Women Report – Global Entrepreneurship Monitor

GEMMore than 126 million women entrepreneurs were starting or running new businesses in 67 economies in 2012, according to the GEM 2012 Women’s Report, the most comprehensive research ever conducted about the entrepreneurial activity of women across the globe. An estimated 48 million female entrepreneurs and 64 million female established business owners currently employ one or more people in their businesses; seven million female entrepreneurs and five million established business owners are expected to grow their ventures by at least six employees in five years.

Still, the Report found that much needs to be done for women entrepreneurs to further boost and grow their businesses. Women entrepreneurs need more resources and better programs to:

• build new collaborations and leverage ideas,
• develop entrepreneurial abilities and attitudes, and
• access the means necessary to expand their businesses and generate jobs.

In 2012, an estimated 126 million women were starting or running new
businesses in 67 economies around the world. In addition, an estimated 98
million were running established businesses.

These women are not only creating jobs for themselves and their co-founders, but they also employ others. A projected 48 million female entrepreneurs and 64 million female business owners currently employ one or more people in their businesses. In addition, these women plan to grow their businesses. A predicted seven million female entrepreneurs and five million female established business owners plan to grow their businesses by at least six employees over the next five years.
What is the Global Women Report?

The GEM Global Women’s Report offers an in-depth view of women who start and run businesses around the world. It provides both a broadly global and a comprehensively detailed foundation for guiding future research, policy decision making and the design of initiatives and programs that can enhance awareness about women entrepreneurship. As such, this report brings a greater understanding of women’s entrepreneurship to a diverse audience of researchers, policy makers, educators and practitioners.

The ultimate aim is to foster an environment that encourages women to see entrepreneurship as a viable career option and to equip them with the tools to create the type and quality of businesses they wish to build, as well as create broader awareness among stakeholders that will support their efforts.

The Global Entrepreneurship Monitor (GEM) has gained widespread recognition as the most authoritative longitudinal study of entrepreneurship in the world. It accomplishes this effort through the collaborative work of a consortium of national teams consisting of academic researchers from across the globe. Each national team oversees an annual survey of atleast 2,000 working-age adults (ages 18–64). Starting with just 10 developed economies in 1999, the project has grown to involve 99 economies over 14 annual cycles. In 2012 alone, GEM surveyed 198,000 adults in 691 economies.

Lack of Confidence, Fear of Failure Hold Women Back From Being Entrepreneurs

BY CATHERINE CLIFFORD | August 1, 2013
Lack of Confidence, Fear of Failure Hold Women Back From Being Entrepreneurs
Image credit: Shutterstock

lack-confidence-fear-failureWomen often don’t think they are capable of launching their own businesses, which is one reason there are significantly fewer female entrepreneurs than male entrepreneurs, according to the Global Entrepreneurship Monitor 2012 Women’s Report released today.

What’s more, women report being generally more afraid of failure than their male counterparts, according to the research, jointly sponsored by Babson College in the U.S., Universidad Del Desarrollo in Chile, and the University Tun Abdul Razak in Malaysia. The 2012 GEM survey, the 14th of its kind, surveyed 198,000 people in 69 countries. The GEM Women’s Report looked at 67 of those economies.

In all but seven of the countries surveyed, women represent a minority of the nation’s entrepreneurs. The seven economies where there are as many or more women as men entrepreneurs are Panama, Thailand, Ghana, Ecuador, Nigeria, Mexico and Uganda, the report says.

Comparison of female and male total entrepreneurship activity rates by region.
lack-confidence-fear-failure-hold
Click to Enlarge+
Lack of Confidence, Fear of Failure Hold Women Back From Being Entrepreneurs
Source: Global Entrepreneurship Monitor, 2012

To be sure, cultural expectations of women affect the likelihood that they will start a business. For example, in Chile, women are largely expected to take care of their children and parents, making it much harder for women to take an active role in running a business, the report notes. Moreover, many nations have longstanding cultural traditions that both discourage women from working outside the home and from taking leadership positions. In the Republic of Korea, for instance, women face significant hurdles in breaking into what is a very male-dominated business culture.

In the U.S., there are fewer overt barriers for women to become entrepreneurs, but there are still “covert” barriers, the report says, specifically in gaining access to capital or winning government contracts. “These covert practices are subtle, and sometimes not even recognized by entrepreneurs, in that they have to do with status expectations or gendered roles,” the report says.

Related: A New Dell Initiative Asks Women Entrepreneurs to Give Back
One classic example is the expectation in the U.S that venture capitalists will be men, the report notes. Lead author of the study and Babson professor Donna Kelley points to studies that show women are less likely to receive venture capital funding. “The fact that those making the investment decisions are primarily men can be one influencing factor,” she says. Also, there has been previous academic research showing that fast-growth, high-tech entrepreneurs in the U.S. tend to be men, which is partly because women are less involved in science and engineering in general, says Kelly.

In all parts of the world, women entrepreneurs are more likely to run businesses that work directly with the consumer, like retail businesses, the GEM data shows. The data suggests women may choose these consumer-related businesses partly because they have lower aspirations for growth than men. Male entrepreneurs are more likely to gravitate toward capital-intensive manufacturing businesses and knowledge-intensive business services, the GEM data shows.

Even while more than 126 million female entrepreneurs were either starting or running new businesses in 2012 in the 67 countries measured, they are less confident about their abilities than men. In every economy studied, women reported lower perceptions of their entrepreneurial capabilities than men did, the report finds. Women in developed regions of Asia show the lowest levels of confidence in their abilities. Only 5 percent of women surveyed in Japan say they have the skills necessary to start their own business.

Meanwhile, perhaps surprisingly, women in sub-Saharan Africa showed much greater confidence in their entrepreneurship capabilities. Four out of five women in Zambia, Malawi, Ghana, Uganda and Nigeria say they have the skills necessary to start their own business. Part of the higher levels of confidence in sub-Saharan Africa is because almost 60 percent of women know other women entrepreneurs. Having direct interaction with a role model gives women confidence, says Kelly.

Related: Women Entrepreneurs Becoming Force in the Developing World
The entrepreneurship confidence levels in sub-Saharan Africa are also related to the types of businesses being started, says Kelly. “The typical business started by female entrepreneurs in these countries are often small, necessity-driven, consumer-oriented businesses with few or no employees and lower growth projections,” says Kelly. “The perceptions about the skills needed for this type of business are different from those that involve more innovation, growth, and in industries with capital or knowledge intensity.”

In every region, women report being more afraid of failure on average than their male counterparts, the report says. The fear of failure is linked to their lower rates of entrepreneurship because of the inherent risk of starting your own business. “When a woman has a choice between being an employee, especially when this is associated with an attractive salary, job stability, good benefits and even high social approval, she is taking a greater risk in entering entrepreneurship; she has to forego this opportunity in order to be an entrepreneur, and therefore has more to lose,” says Kelly. Some of the most developed regions have the highest levels of fear of failure, including developed regions of Asia, Israel and Europe.Credits: http://www.entrepreneur.com/article/227631#ixzz2cTa9CzQ7