Empowering Women Entrepreneurs for Inclusive Growth
Emerging economies have witnessed a surge in entrepreneurship, and women entrepreneurs are playing a significant role in driving this growth. In developing countries, 17% of working-age women are already involved in business, with an additional 35% aspiring to join them. This enthusiasm surpasses participation rates in high-income developed nations, highlighting that women in emerging economies view entrepreneurship as a promising path for their future and that of their families and communities.
India, as the world’s fifth-largest economy with a thriving startup ecosystem, reflects this trend with 14% of its entrepreneurs being women. Over 20% of its MSME sector comprises women-led businesses. These female entrepreneurs are making their mark across various sectors, from traditional ones like handicrafts to technology-driven industries.
Women-led startups are making a substantial impact. They demonstrate a 35% higher return on investment compared to male-led counterparts, thanks to their collaborative leadership styles and effective workforce motivation. Women entrepreneurs, often managing their households and making crucial financial decisions, are driven by a desire for their families’ financial stability, leading many to entrepreneurship to uplift their families from poverty.
Moreover, women-led businesses provide employment to millions, contributing significantly to job growth and economic development. To further empower women entrepreneurs in emerging economies like India, systemic interventions are vital. Policymakers, investors, and stakeholders must address policy constraints, provide specialized support programs, and promote regulatory and policy reforms.
Additionally, fostering women-led entrepreneurship in male-dominated high-growth sectors, such as technology, through training programs and targeted initiatives, will enhance gender diversity and economic growth. Encouraging more women investors in VC firms and financial institutions will also boost women-led entrepreneurship.
Re-reported from the article originally published in Your Story
