The Role of Institutions in Women’s Entrepreneurial Performance
Abstract
Women entrepreneurs play a crucial role in employment creation and societal and economic development. However, in developing economies like Pakistan, women entrepreneurs' contribution lags behind that in developed ones. Thus, the current study aims to explore the institution's impact on women's entrepreneurial performance in Pakistan by targeting institutional theory. The quantitative-based study focused on women entrepreneurs working in Peshawar, Mardan, and Abbottabad divisions. The simple random sampling technique collects primary data through an adopted 7-point Likert scale research questionnaire. The collected data is empirically tested through the path analysis technique of structural equation modeling (SEM) through SmartPLS 3. The study results indicated that formal and informal institutions positively affect women's entrepreneurial performance. The study suggests that government and concerned departments should pay dire attention to determinants like financial constraints, corruption, and social constraints to boost women's entrepreneurial performance. The presented novel work of this study paved foundations in the theoretical literature that acquired researchers’ dire attention to deeply dig-out institutional determinants, i.e., financial constraints, corruption, and social constraints, to boost women's entrepreneurial performance.
Keywords: formal institutions, informal institutions, women entrepreneurship, women’s entrepreneurial performance.
https://doi.org/10.55463/issn.1674-2974.49.3.26
Full Text:
PDFReferences
LANGOWITZ N., and MINNITI M. The entrepreneurial propensity of women. Entrepreneurship. Theory and Practice, 2007, 31(3): 341–364. http://dx.doi.org/10.1111/j.1540-6520.2007.00177.x
GLOBAL ENTREPRENEURSHIP DEVELOPMENT INSTITUTE. Female Entrepreneurship Index 2015 Report. http://thegedi.org/female-entrepreneurship-index-2015-report/
WILLIAMSON O. E. The new institutional economics: Taking stock, looking ahead. Journal of Economic Literature, 2000, 38(3): 595–613. https://doi.org/10.1257/jel.38.3.595
HODGSON G. M. What are institutions? Journal of Economic Issues, 2006, 40(1): 1-25. http://dx.doi.org/10.1080/00213624.2006.11506879
JENNINGS J., and MCDOUGALD M. Work-family interface experiences and coping strategies: Implications for entrepreneurship research and practice. Academy of Management Review, 2007, 32(3): 747–760. https://doi.org/10.5465/AMR.2007.25275510
OKAFOR C., and AMALU R. Entrepreneurial motivations as determinants of women entrepreneurship challenges. Petroleum-Gas University of Ploiesti Bulletin, 2010, 62(2): 67-77.
MANZOOR S. R., and JALIL M. F. Psychological capital intervention towards women entrepreneurship development and entrepreneurial orientation. International Journal of Business Management and Administration, 2014, 3(2): 22-28.
MINNITI M. Gender Issues in Entrepreneurship. Foundations and Trends® in Entrepreneurship, 2009, 5(7–8): 497-621. http://dx.doi.org/10.1561/0300000021
JAMALI D. Constraints and opportunities facing women entrepreneurs in developing countries. Gender in Management: An International Journal, 2009, 24(4): 232–251. https://doi.org/10.1108/17542410910961532
MORDI C., SIMPSON R., SINGH S., and OKAFOR C. The role of cultural values in understanding the challenges faced by female entrepreneurs in Nigeria. Gender in Management: An International Journal, 2010, 25(1): 5-21. http://dx.doi.org/10.1108/17542411011019904
MCGOWAN P., REDEKER C. L., COOPER S. Y., and GREENAN K. Female entrepreneurship and the management of business and domestic roles: Motivations, expectations and realities. Entrepreneurship and Regional Development, 2012, 24(1–2): 53–72. http://dx.doi.org/10.1080/08985626.2012.637351
EDDLESTON K. A., and POWELL G. N. Nurturing entrepreneurs' work-family balance: A gendered perspective. Entrepreneurship Theory and Practice, 2012, 36(3): 513–541. https://doi.org/10.1111%2Fj.1540-6520.2012.00506.x
DANES S. M., STAFFORD K., HAYNES G., and AMARAPURKAR S. S. Family capital of family firms: Bridging human, social, and financial capital. Family Business Review, 2009, 22(3): 199-215. http://dx.doi.org/10.1177/0894486509333424
ROGOFF E. G., and HECK R. K. Z. Evolving research in entrepreneurship and family business: Recognizing family as the oxygen that feeds the fire of entrepreneurship. Journal of Business Venturing, 2003, 18(5): 559-566. https://doi.org/10.1016/S0883-9026%2803%2900009-0
KING L. A., MATTIMORE L. K., KING D. W., and ADAMS G. A. Family support inventory for workers: A new measure of perceived social support from family members. Journal of Organizational Behavior, 1995, 16(3): 235-258. https://doi.org/10.1002/JOB.4030160306
HANSON S. Changing places through women’s entrepreneurship. Economic Geography, 2009, 85(3): 245-267. https://doi.org/10.1111/j.1944-8287.2009.01033.x
POWELL G. N., and EDDLESTON K. A. Linking family-to-business enrichment and support to entrepreneurial success: Do female and male entrepreneurs experience different outcomes? Journal of Business Venturing, 2013, 28(2): 261–280. http://dx.doi.org/10.1016/j.jbusvent.2012.02.007
JENNINGS J. E., JENNINGS P. D., and SHARIFIAN M. Living the dream? Assessing the “entrepreneurship as emancipation” perspective in a developed region. Entrepreneurship Theory and Practice, 2016, 40(1): 81–110. https://doi.org/10.1111/etap.12106
SHELTON L. M. Female entrepreneurs, work-family conflict, and venture performance: New insights into the work-family interface. Journal of Small Business Management, 2006, 44(2): 285–297. http://dx.doi.org/10.1111/j.1540-627X.2006.00168.x
GIMÉNEZ D., and CALABRÒ A. The salient role of institutions in Women’s entrepreneurship: a critical review and agenda for future research. International Entrepreneurship and Management Journal, 2018, 14: 857–882. https://doi.org/10.1007/s11365-017-0480-5
WEST C., and ZIMMERMAN D. H. Doing gender. Gender and Society, 1987, 1: 125–151. https://doi.org/10.1177/0891243208326253
AHL H. Why research on women entrepreneurs needs new directions. Entrepreneurship Theory and Practice, 2006, 30(5): 595–621. http://dx.doi.org/10.1111/j.1540-6520.2006.00138.x
ACKER J. From sex roles to gendered institutions. Contemporary Sociology: A Journal of Reviews, 1992, 21(5): 565–569. https://doi.org/10.2307/2075528
SIMONI C., and LABORY S. The influence of social capital on entrepreneurial behavior. The Engine of Growth, 2006, 1: 101-118.
MAMUN A. A., MUNIADY R. A. L., PERMARUPA P. Y., ZAINOL N. R. B., NAWI N. B. C., and MALARVIZHI C. A. Social capital and entrepreneurial competencies: A study among women micro-entrepreneurs in Malaysia. The Journal of Developing Areas, 2016, 50(5): 363-370. https://doi.org/10.1353/jda.2016.0050
SCHMIDT R. A., and PARKER C. Diversity in independent retailing: barriers and benefits – the impact of gender. International Journal of Retail & Distribution Management, 2003, 31(8): 428-439. https://doi.org/10.1108/09590550310484106
SMITH‐HUNTER A. E., and BOYD R. L. Applying theories of entrepreneurship to a comparative analysis of white and minority women business owners. Women in Management Review, 2004, 19(1): 18-28. https://doi.org/10.1108/09649420410518403
ROOMI M. A., and HARRISON P. Impact of women-only entrepreneurship training in Islamic society. Copenhagen Business School Press, 2008.
ITANI H., SIDANI Y. M., and BAALBAKI I. United Arab Emirates female entrepreneurs: motivations and frustrations. Equality, Diversity and Inclusion: An International Journal, 2011, 30(5): 409-424. https://doi.org/10.1108/02610151111150654
ABBAS S. S. Women of Islamic faith in trade and commerce: An economic sociological study. VSRD International Journal of Business and Management Research, 2012, 2(3): 102-113. http://www.vsrdjournals.com/pdf/VSRDIJBMR/2012_3_March/4_SM_Shariq_Abbas_616_Research_Article_Mar_2012.pdf
ULLAH M. M., MAHMUD T. B., and YOUSUF F. Women entrepreneurship: Islamic perspective. European Journal of Business and Management, 2013, 5(11): 44-52. https://www.iiste.org/Journals/index.php/EJBM/article/view/5423
BAUGHN C. C., CHUA B. L., and NEUPERT K. E. The normative context for women’s participation in entrepreneurship: A multicountry study. Entrepreneurship Theory and Practice, 2006, 30(5): 687-708. http://dx.doi.org/10.1111/j.1540-6520.2006.00142.x
WAGNER J., and STERNBERG R. Start-up activities, individual characteristics, and the regional milieu: Lessons for entrepreneurship support policies from German micro data. Annals of Regional Science, 2004, 38(2): 219–240. https://doi.org/10.1007/s00168-004-0193-x
MINNITI M., and NARDONE C. Being in someone else’s shoes: the role of gender in nascent entrepreneurship. Small Business Economics, 2007, 28: 223–238. https://doi.org/10.1007/s11187-006-9017-y
MORALES-GUALDRÓN S. T., and ROIG S. The new venture decision: an analysis based on the GEM project database. International Entrepreneurship and Management Journal, 2005, 1: 479–499. https://doi.org/10.1007/s11365-005-4774-7
VERHEUL I., and MIL L. V. What determines the growth ambition of Dutch early-stage entrepreneurs? International Journal of Entrepreneurial Venturing, 2011, 3(2): 183–207. https://www.inderscienceonline.com/doi/abs/10.1504/IJEV.2011.039340
SHINNAR R. S., HSU D. K., and POWELL B. C. Self-efficacy, entrepreneurial intentions, and gender: Assessing the impact of entrepreneurship education longitudinally. The International Journal of Management Education, 2014, 12(3): 561-570. http://dx.doi.org/10.1016/j.ijme.2014.09.005
UNITED NATIONS OFFICE ON DRUGS AND CRIME. United Nations Convention against Corruption, 2004. https://www.unodc.org/unodc/en/corruption/tools_and_publications/UN-convention-against-corruption.html
TRENTINI C., and KOPARANOVA M. Corruption and entrepreneurship: does gender matter? In: LINK A. N. (ed.) Gender and entrepreneurial activity. Edward Elgar Publishing, 2017. https://www.elgaronline.com/view/edcoll/9781785364730/9781785364730.00012.xml?rskey=kXghD1&result=1
BREEN M., GILLANDERS R., MCNULTY G., and SUZUKI A. Gender and corruption in business. The Journal of Development Studies, 2017, 53(9): 1486-1501. http://dx.doi.org/10.1080/00220388.2016.1234036
MATTI J., and ROSS A. Does crime affect entrepreneurship? A discussion of the current literature. Journal of Entrepreneurship and Public Policy, 2016, 5(3): 254-272. https://doi.org/10.1108/JEPP-05-2016-0018
WILHELM P. G., and WILHELM J. P. Gender empowerment, global competitiveness, economic freedom and wealth: Validation studies and implications for sustainable policy. Competition Forum, 2011, 9(2): 406. https://cpb-us-w2.wpmucdn.com/iblog.iup.edu/dist/b/620/files/2018/11/Gender-Empowerment-Global-Competitiveness-Economic-Freedom-and-Wealth-1khbz27.pdf
DOLLAR D., FISMAN R., and GATTI R. Are women really the “fairer” sex? Corruption and women in government. Journal of Economic Behavior & Organization, 2001, 46(4): 423-429. https://doi.org/10.1016/S0167-2681%2801%2900169-X
DEMIRGÜÇ-KUNT A., KANE E. J., and LAEVEN L. (eds.) Deposit insurance around the world: issues of design and implementation. MIT Press, 2008. http://dx.doi.org/10.7551/mitpress/9780262042543.003.0001
MIRCHANDANI K. Feminist insight on gendered work: New directions in research on women and entrepreneurship. Gender, Work and Organization, 1999, 6(4): 224–235. https://doi.org/10.1111/1468-0432.00085
MCELWEE G., and AL‐RIYAMI R. Women entrepreneurs in Oman: some barriers to success. Career Development International, 2003, 8(7): 339-346. http://dx.doi.org/10.1108/13620430310505296
MURAVYEV A., TALAVERA O., and SCHÄFER D. Entrepreneurs' gender and financial constraints: Evidence from international data. Journal of Comparative Economics, 2009, 37(2): 270-286. http://dx.doi.org/10.1016/j.jce.2008.12.001
CARTER S. Improving the numbers and performance of women‐owned businesses: some implications for training and advisory services. Education + Training, 2000, 42(4/5): 326-334. https://doi.org/10.1108/00400910010373732
MARLOW S., and PATTON D. All credit to men? Entrepreneurship, finance, and gender. Entrepreneurship Theory and Practice, 2005, 29(6): 717–735. http://dx.doi.org/10.1111/j.1540-6520.2005.00105.x
CHAMANI M., KULATHUNGA K., and AMARAWANSHA T. Financial Accessibility of Women Entrepreneurs. International Journal of Scientific and Research Publications, 2017, 7: 203–207. http://www.ijsrp.org/research-paper-1117.php?rp=P716929
AHMED M. U. Women entrepreneurship development in the Small and medium enterprises in Bangladesh: Prospects, realities and policies. International Journal of SME Development, 2014, 1(1): 1-32.
KAZEMI F. Gender, Islam and politics. Social Research, 2000, 67(2): 22-34.
DEMIRGÜÇ-KUNT A., BECK T., and HONOHAN P. Finance for All? Policies and Pitfalls in Expanding Access. World Bank, Washington, District of Columbia, 2008. https://openknowledge.worldbank.org/handle/10986/6905
ALHABIDI M. Saudi women entrepreneurs overcoming barriers in Alkhober. Doctoral thesis. Arizona State University, Tempe, Arizona, 2013. https://keep.lib.asu.edu/items/152022
MTANGO S. A State of Oppression? Women's Rights in Saudi Arabia. Asia-Pacific Journal on Human Rights and the Law, 2004, 5(1): 49-67. http://dx.doi.org/10.1163/1571815043075166
ACHOUI M. M. Human resource development in Gulf countries: an analysis of the trends and challenges facing Saudi Arabia. Human Resource Development International, 2009, 12(1): 35-46. http://dx.doi.org/10.1080/13678860802638826
HUGHES K. D., JENNINGS J. E., BRUSH C., CARTER S., and WELTER F. Extending women's entrepreneurship research in new directions. Entrepreneurship Theory and Practice, 2012, 36(3): 429–442. http://dx.doi.org/10.1111/j.1540-6520.2012.00504.x
COOPER R. D., and SCHINDLER S. P. Business Research Methods. 10th ed. McGray-Hill/Irwin, New York, 2008.
YAMANE T. Statistics: An Introductory Analysis. 2nd ed. Harper and Row, New York, 1967.
MILLS M. J., CULBERTSON S. S., HUFFMAN A. H., and CONNELL A. R. Assessing gender biases: Development and initial validation of the gender role stereotypes scale. Gender in Management, 2012, 27(8): 520–540. https://doi.org/10.1108/17542411211279715
YETIM N. Social capital in female entrepreneurship. International Sociology, 2008, 23(6): 864-885. http://dx.doi.org/10.1177/0268580908095913
SHERAZI S. K., IQBAL M. Z., ASIF M., REHMAN K., and SHAH S. H. Obstacles to small and medium enterprises in Pakistan. Principal component analysis approach. Middle-East Journal of Scientific Research, 2013, 13(10): 1325-1334. https://doi.org/10.5829/idosi.mejsr.2013.13.10.1186
GRAY K. R. Women entrepreneurs in Morocco: A preliminary investigation. Journal of North African Studies, 2001, 6(4): 64–74. https://doi.org/10.1080/13629380108718451
NOGUERA M., ALVAREZ C., and URBANO D. Socio-cultural factors and female entrepreneurship. International Entrepreneurship and Management Journal, 2013, 9(2): 183–197. http://dx.doi.org/10.1007/s11365-013-0251-x
MCGEE J. E., PETERSON M., MUELLER S. L., and SEQUEIRA J. M. Entrepreneurial self-efficacy: refining the measure. Entrepreneurship Theory and Practice, 2009, 33(4): 965–988. https://doi.org/10.1111/j.1540-6520.2009.00304.x
KAZUMI T., and KAWAI N. Institutional support and women’s entrepreneurial self-efficacy. Asia Pacific Journal of Innovation and Entrepreneurship, 2017, 11(3): 345-365. http://dx.doi.org/10.1108/APJIE-12-2017-041
DUFRENE R. L., and GLOSOFF H. L. The ethical decision-making scale-revised. Measurement and Evaluation in Counseling and Development, 2004, 37(1): 2–14. https://doi.org/10.1080/07481756.2004.11909746
BARUCH Y. Response rate in academic studies – A comparative analysis. Human Relations, 1999, 52: 421–438. http://dx.doi.org/10.1177/001872679905200401
HAIR J., BLACK W. C., BABIN B. J., and ANDERSON R. E. Multivariate data analysis. 7th ed. Pearson Education International, Upper Saddle River, New Jersey, 2010.
CRONBACH L. J., and MEEHL P. E. Construct validity in psychological tests. Psychological Bulletin, 1955, 52: 281–302. https://doi.org/10.1037/h0040957
HAIR J. F., HULT G. T. M., RINGLE C., and SARSTEDT M. A Primer on Partial Least Squares Structural Equation Modeling (PLS-SEM). Sage Publications, Thousand Oaks, California, 2016.
Refbacks
- There are currently no refbacks.
