Women entrepreneurs and business owners are a vital and diverse group that continues to make significant contributions across various industries and markets. However, despite their undeniable impact, there is still a gender gap that needs to be addressed to ensure equal opportunities and support for women in entrepreneurship. The latest report by the Global Entrepreneurship Monitor (GEM) sheds light on the challenges and opportunities faced by women entrepreneurs worldwide.
The 2022/2023 Women’s Entrepreneurship Report, titled Challenging Bias and Stereotypes, highlights the important role that women entrepreneurs play in driving economic growth and social development in their countries and communities. Lead author Amanda Elam, a research fellow at the Diana International Research Institute at Babson College, emphasizes that women entrepreneurs are driving innovation and economic growth despite facing harmful stereotypes that question their competence.
One of the key findings of the report is the disparity in entrepreneurial intentions between men and women. While one in six women reported an intention to start a business in the near future, compared to one in five men, entrepreneurial intentions were highest among women in low-income countries. This highlights the need to provide more support and resources to women entrepreneurs, especially in developing economies.
The report also delves into the challenges faced by women entrepreneurs, including the unequal distribution of family responsibilities that often hinder their business growth and success. Women entrepreneurs are more likely to carry a heavier burden of family responsibilities, leading to increased economic dependence and decreased interpersonal power. These factors contribute to harmful stereotypes that hold back even the most privileged women entrepreneurs in terms of legitimacy and access to critical resources.
In terms of industry representation, the report reveals that women are less active in the information and communications technology sector, where most global venture funding is invested. This highlights the need to address barriers that prevent women from entering high-growth and high-innovation sectors. Additionally, the report emphasizes the importance of digitalization and sustainability in supporting women entrepreneurs, as well as the need for better segmentation to design effective entrepreneurship support programs.
The GEM report offers several recommendations to address the gender gap in entrepreneurship. It calls for debunking stereotypes that frame women entrepreneurs as a disadvantaged group and emphasizes the need to support women who are building high-growth businesses. The report also highlights the importance of understanding gender differences within specific sectors, supporting digitalization costs and access for women entrepreneurs, and celebrating sustainability practices in business strategies.
In conclusion, women entrepreneurs are a powerful force driving economic growth and innovation around the world. By addressing the gender gap and providing more support and resources to women entrepreneurs, we can unlock their full potential and create a more inclusive and diverse entrepreneurial ecosystem. The findings and recommendations of the GEM Women’s Entrepreneurship Report serve as a roadmap for empowering women entrepreneurs and closing the gender gap in entrepreneurship.
