The impact of female entrepreneurship on economic growth in Kenya

Abstract

Purpose – This study aims to provide a better understanding of the barriers and constraints that are faced by women entrepreneurs in starting and running a business in Kenya. Design/methodology/approach – The study draws on primary research conducted through face-to-face interviews with female entrepreneurs in Kenya in a wide range of sectors, each having their own micro enterprise. It draws on the framework of Bates et al. (2007) and Baughn et al. (2006) to look at the entrepreneurship landscape in Kenya and the barriers and constraints faced by women entrepreneurs, as well as the support and opportunities available. Findings – It was found that female entrepreneurs in Kenya face far fewer barriers to starting micro-enterprises now than ever before. It is proving to be a widely successful model, which they use to lift themselves and their families out of poverty. There remain, however, a number of barriers to growth within the micro-enterprise sector. On the basis of these, the paper argues that for female entrepreneurship to have a greater impact on economic growth within Kenya, the country needs to introduce more effective policies, regulation of the informal sector and further support to women entrepreneurs. For example, support could take the form of business training, mentoring and financial support. Originality/value – The paper presents original research on the growing phenomenon of female entrepreneurship in Kenya as a means of alleviating poverty. It considers how this trend relates to the growing availability of microfinance.

Exploring the Effects of Entrepreneurial Education on Entrepreneurial Intention between Genders: A Pair-Wise Methodology Approach

“…In recent times, studies show that female businesses are thriving ever than before in human history (Lock & Lawton Smith, 2016). Despite this, female entrepreneurs were also acknowledged to face some hindrances inhibiting them either from having the intention to be engaged in entrepreneurial activities are to be successful in the entrepreneurial carrier.…”

“…Meanwhile, Mehtap et al (2017) are of the opinion that to some extent, potential inhibiting factors of entrepreneurship among young females can be reduced via exposure to a strong supportive educational system. As noted from the study of Lock and Lawton Smith (2016), although the authors argue that Kenyan women are thriving more than before in entrepreneurial engagement, issues such as lack of entrepreneurial desire, work-life balance, independence, the interest rate on borrowed loan, initiative and ideas are limiting their entrepreneurship performance. To sum it up, education was argued to be a vital factor in limiting these barriers.…”

“…Hence, as evidence from these few pieces of literature, in spite of diverse factors that might inhibit female entrepreneurial intention, it can be seen that exposing female students to entrepreneurial education is highly beneficial. This is because it has the potential of mitigating such factors and enhance intention to be engaged in entrepreneurial activities among the female population (Lock & Lawton Smith, 2016;Mehtap et al, 2017).…”

Examining the effect of child labour in the profitability of women owned enterprises: a case of microcredit supported enterprises in Tanzania

“…Evidence also shows that there is an increasing participation of women in micro and small business ownership in low-income countries than in high-income countries (Shah & Saurabh, 2015;Lock & Smith 2015). For example, in 2012, women-owned about 1.7 million businesses in Tanzania, making up 54.3% of the operators in the micro, small and medium enterprises (MSMEs) sector.…”

“…Arguably, with improved access to microcredit, the poor and low income families will be able to create productive enterprises, thereby increasing household incomes, find their way out of poverty and reduce the odds for children to engage in child labour (ILO 2009). The observed expansion of the microfinance industry during the last three decades in the developing world is among the measures that aimed at easing limited access to financial resources by micro and small business operators, mostly women (Lock & Smith, 2015;Chichester, Pluess, Lee, & Taylor 2017).…”