A study on factors affecting success of women entrepreneurs in tigray region-ethiopia (A case study of adigrat town entrepreneurs)

Mulatu, Mahlet; Prasad, Rakesh

doi:10.5958/2249-877x.2019.00002.x

Cited by 1 publication

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“…Scholars such as Alene (2020), Dagne (2017) and Mulatu and Prasad (2019) investigated the factors influencing the performance of women-owned businesses in Ethiopia and other countries, but they concentrated on business performance factors rather than the well-being dimension of business women. Other researchers, such as Arul Paramanandam and Packirisamy (2015); Goltz et al (2015); Esayas and Tolossa (2015); Mezgebo et al (2017); Samwel (2014) investigated the critical role of micro and small businesses in generating employment opportunities, but they did not address the issue of women’s well-being and poverty by using poverty measures such as food and non-food expenditures.…”

Section: Introductionmentioning

confidence: 99%

Women’s microbusiness participation decisions and their effect on poverty in the Wolaita zone, southern Ethiopia

Ergo

O’Connor

Mega

2023

JEEE

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Purpose Microbusinesses are better able to assist many disadvantaged groups in finding employment and breaking the cycle of poverty because they require less initial capital and employ a large number of poor people in developing economies. Women run and own the majority of micro-businesses in urban Ethiopia. This study aims to investigate women’s microbusiness participation decisions and the effect on poverty in the Wolaita zone southern Ethiopia. Design/methodology/approach A cross-sectional study was carried out using a mixed-methods research approach. A total of 384 women who owned micro-businesses were chosen using a systematic random sampling technique, while 36 women were purposefully chosen for qualitative data analysis. Data were gathered through survey questionnaires, in-depth interviews and focus group discussions. The collected data were analyzed by using a propensity score matching technique as well as contextual analysis. Findings The study discovered that women’s participation in registered micro-businesses had a higher and more beneficial impact on their food, non-food and overall consumer spending than women’s participation in unregistered microbusinesses, which helped to reduce poverty. Besides, overall women’s participation in micro-business increased their decision-making power and enabled them to provide resources for their families food and non-food consumption, with registered micro-business participants reaping the greatest benefits. Originality/value This research focused on the effects of women’s micro-entrepreneurship on poverty in low-income communities. Rather than providing food, clothing and/or other aid to women in disadvantaged communities, the authors asserted that assisting women and their micro-businesses allows them to be self-sufficient in terms of food and clothing as a long-term solution to poverty reduction. As a result, policymakers can use our findings to gain a better understanding of how women’s micro-entrepreneurship affects poverty reduction, allowing them to develop more effective anti-poverty initiatives. This study’s findings are novel and add to the body of knowledge in Ethiopia and the sub-Saharan African region.

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