Vassar

Gender and returns to entrepreneurship in Africa

Agyire-Tettey, F., Ackah, C.G. and Asuman, D. (2018), “Gender and returns to entrepreneurship in Africa“, International Journal of Economics, Vol. 45 No. 12, pp. 1609- 1630.

Abstract

The purpose of this paper is to assess determinants of returns to male and female entrepreneurship in Ghana, Kenya and Uganda at selected quantiles along the distribution, as well as examine gender gaps in returns to entrepreneurship and factors contributing these gaps.,Employing a unique data set collected in the three countries on entrepreneurial motivations, constraints and performance, the authors apply unconditional quantile regression technique to assess the determinants of returns to entrepreneurship at various quantiles along the distribution. Additionally, the authors employ decomposition techniques to assess gender gaps in returns to entrepreneurship at various points along the distribution. The data contain extensive information on entrepreneur’s personal characteristics, including parental background and household composition and structure.,The study finds substantial differences in determinants of returns to male and female entrepreneurship along the distribution, with firm asset increasing returns to entrepreneurship. There is also the presence of gender gaps in returns to entrepreneurship at the lower-end of distribution, however, gaps disappear at the upper tail of the distribution, indicative of sticky floors in returns to entrepreneurship in Ghana, Kenya and Uganda. The authors also find gender bias against female entrepreneurship in the three countries, as unobserved characteristics largely responsible for the gender gaps in entrepreneurial returns.,This work has been undertaken by the authors and has not been carried out by any other person. The study will add to the existing literature on gender and returns to entrepreneurship.

The Myth of Female Credit Discrimination in African Manufacturing

Henrik Hansen & John Rand (2014). “The Myth of Female Credit Discrimination in African Manufacturing” , The Journal of Development Studies, 50:1, 81-96

Abstract

We examine credit constraint differentials between male and female manufacturing entrepreneurs using firm data from 16 sub-Saharan Africa countries. Small enterprises owned by female entrepreneurs are less likely to be credit constrained compared to their male counterparts, while this is reversed for medium-sized enterprises. A generalised Oaxaca–Blinder decomposition shows that the gap is predominantly a pure gender effect. We argue that this finding is mainly due to female favouritism in loans to micro and small firms because the gap is reversed for medium-sized enterprises and because we find no sign of superior female entrepreneurial performance in observable indicators.

How do female entrepreneurs perform? Evidence from three developing regions

Bardasi, E., Sabarwal, S. & Terrell, K. ” How do female entrepreneurs perform? Evidence from three developing regions. ” Small Bus Econ 37, 417 (2011).

Abstract

Using the World Bank Enterprise Survey data, we analyze performance gaps between male- and female-owned companies in three regions—Eastern Europe and Central Asia (ECA), Latin America (LA), and Sub-Saharan Africa (SSA). Among our findings are significant gender gaps between male- and female-owned companies in terms of firm size, but much smaller gaps in terms of firm efficiency and growth (except in LA). Part of the reason women run smaller firms is that they tend to concentrate in sectors in which firms are smaller and less efficient (in ECA and SSA). By contrast, we find no evidence of gender discrimination in access to formal finance in any of the three regions, although in ECA women are less likely than men to seek formal finance. Finally, while female entrepreneurs receive smaller loans than their male counterparts, the returns from each dollar they receive is no lower in terms of overall sales revenue.

Profiting from Parity: Unlocking the Potential of Women’s Business in Africa

WorldBank Group(2019). Profiting from Parity : Unlocking the Potential of Women’s Business in Africa.

Abstract

Sub-Saharan Africa has the highest rate of entrepreneurship in the world, with approximately 42 percent of the non-agricultural labor force classified as self-employed or employers. Yet most entrepreneurs are unable to grow their businesses beyond small-scale subsistence operations, impeding their contribution to poverty reduction and shared prosperity. This is particularly so for women. This new report, “Profiting from Parity: Unlocking the Potential of Women’s Businesses in Africa”, produced by the World Bank Group’s Africa Gender Innovation Lab and the Finance, Competitiveness and Innovation Global Practice, seeks to focus attention on the challenges that Africa’s women entrepreneurs face and identify practical solutions. The report draws on new, high-quality, household and firm level data to present the clearest evidence to date about the barriers to growth and profitability faced by women entrepreneurs. It goes beyond looking at contextual, endowment and household restrictions in isolation, and, through deep-dive analysis, uncovers new evidence on how social norms, networks and household-level decision making contribute to business performance. It analyzes how they are linked to each other and to women’s strategic business decisions. The report offers policy makers evidence based guidance on designing programs to target multiple obstacles and improve the performance of women entrepreneurs.

css.php