Public policy recommendations for promoting female entrepreneurship in Europe

Abstract

From 2021 onwards, female entrepreneurship is expected to grow very substantially as a result of the Covid-19 pandemic. The introduction of teleworking and staggered hours in many countries at national or workplace level will make possible the conciliation between labour and family life. The purpose of this paper is to identify the most influential explanatory factors in the behaviour of female entrepreneurship in Europe so as to subsequently propose efficient economic policy measures to promote it. The distinction between opportunity and necessity female entrepreneurs have been considered since both motivation and factors are different in each case. 15 econometric models using the panel data method for a sample of 20 previously selected European countries (grouped by their GDP level) during the period 2001 to 2018 have been estimated to determine which explanatory factors affect female entrepreneurship and necessity-based female entrepreneurship. The empirical analysis used demonstrates that more women enter into entrepreneurship due to necessity rather than in pursuit of opportunity for European countries both with higher levels of GDP and for countries with lower levels of GDP. In this context, the following policy measures should be implemented to promote female entrepreneurship in Europe: the optimization of government spending (training courses and mentoring, public procurement, stronger networks, support in reconciling business and family life, etc.), the government incentives for subsidizing high interest rates to support women in accessing financing, and the improvement of entrepreneurship education to increase the confidence of women in themselves in their own entrepreneurial capabilities.

“Think entrepreneur – think male”: the effect of reduced gender stereotype threat on women's entrepreneurial intention and opportunity motivation

“…In the course of the COVID-19 pandemic women entrepreneurship is expected to grow very substantially from 2021 onwards (Martínez-Rodríguez et al. , 2021).…”

“…In the course of the COVID-19 pandemic women entrepreneurship is expected to grow very substantially from 2021 onwards (Mart ınez-Rodr ıguez et al, 2021). A new labor market model initiated by the lockdown measures imposed by governments worldwide provides a unique opportunity for women to balance work and life.…”

Mujeres emprendedoras en América Latina: El nivel educativo y la probabilidad de emprender

“…Gran parte de la literatura ha dado cuenta de la relación entre el nivel educativo de las mujeres y la probabilidad de convertirse en emprendedoras en países desarrollados (Brixiová y Kangoye, 2018;Brush, Ali, Kelley y Greene, 2017;Cabrera y Mauricio, 2017;Dolinsky, Caputo, Pasumarty y Quazi, 1993;Elam et al, 2019;Martínez-Rodríguez, Quintana-Rojo, Gento y Callejas-Albiñana, 2021;Micozzi y Micozzi, 2020; Ribes-Giner, Moya-Clemente, Cervelló-Royo y Perello-Marin, 2019; Touissate y Azdimousa, 2021). Dolinsky et al (1993) encontraron para Estados Unidos, a partir de los datos de la National Longitudinal Survey of Labor Market Experience (NLSLME), que la probabilidad de las mujeres de ingresar, permanecer y reingresar al trabajo por cuenta propia aumenta a mayores niveles de educación.…”

The early-stage entrepreneurial activity of women in individualistic versus collectivist country groups: Motives, drivers and inhibitors

“…Because previous research has been largely theoretical and has included personal characteristics as female entrepreneurship drivers and inhibitors (Hattab, 2012). Women's motivations and factors driving entrepreneurship will be examined in relation to systemic factors such as loneliness, gender inequality, and disposable income because each factor has a different impact on women's motivation to become entrepreneurs (Martínez-Rodríguez et al, 2022).…”