CHALLENGES AND OPPORTUNITIES FOR ENTREPRENEUR WITH REFERENCE TO WOMEN ENTREPRENEUR
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1 CHALLENGES AND OPPORTUNITIES FOR ENTREPRENEUR WITH REFERENCE TO WOMEN ENTREPRENEUR Sachin Yadav 1, Brijesh Kumar 2 1,2 Assistant Professor, IIMT College of Management, Greater Noida, (India) ABSTRACT This paper focuses on the impact of women entrepreneurship in India. Entrepreneur is one who always searches for change, responds to it and exploits it as an opportunity. Innovation is a specific tool of entrepreneur, the mean by which they exploit change as an opportunity for a different business or service. The objective of this particular study is to explore the challenges and opportunities for women especially in India because our society is known as a male dominated society. India is one fastest emerging economies and importance of entrepreneurship is realized across the spectrum. In India, women constitute 50% of total population but still till the turn of the century, man has enjoyed a dominant position and women have been relegated to a subservient level. Considering the flow of women entrepreneur in the traditional and conventional industries, it is often criticized that the women entrepreneurship in India is caught up in three pieces, i.e., pappad, pickles and painting. In the age of globalization, women have entered all the fields of business and industry. In the last decade there has been a remarkable shift in the emphasis from manufacturing industry to the service industry. Therefore, the government of India should take an active role in encouraging women empowerment, to provide day care and also incentives to companies that encourage women employment. Keywords: entrepreneur, women entrepreneurship, challenges, opportunities, factors influencing women entrepreneurship, steps taken by the Indian government I. INTRODUCTION The modern world is full of challenges and opportunities. If we talk about the business opportunities, women are for ahead with their career and businesses. They are creating the values and nurturing the society with their inherent and natural characteristics. Globalization thrown the new horizon and gave new dimensions to all and women are not exception especially in entrepreneurial field. Gone are the days when women were known as the Abla, i.e., dependant. Now a-days, they are participating in each and every field and ready to face any kind of challenge. The word entrepreneur is derived from the French word entrepreneur. It means to undertake. In the early 16 th century, the Frenchmen who organized and led military expedition were referred to as entrepreneur 411 P a g e
2 Model:.. An entrepreneur is one who always searches for change, responds to it and exploits it as an opportunity. Innovation is an instrument of entrepreneurship. An entrepreneur innovates and creates resources because there is no such thing as resource until someone find a use for something. An entrepreneur converts a material into a resource or combines the existing resource in a new or more productive configuration. An entrepreneur need not be the owner of the business. A professional manager who mobilizes the resources and allocates them to make a commercial gain from an opportunity is also an entrepreneur. Women owned businesses are highly increasing in the economies of almost all countries. The hidden entrepreneurial potentials of women have gradually been changing with the growing sensitivity to the role and economic status in the society. Skill, knowledge and adaptability in business are the main reasons for women to emerge into business ventures. Women Entrepreneur is a person who accepts challenging role to meet her personal needs and become economically independent. A strong desire to do something positive is an inbuilt quality of entrepreneurial women, who is capable of contributing values in both family and social life. With the advent of media, women are aware of their own traits, rights and also the work situations. The glass ceilings are shattered and women are found indulged in every line of business from pappad to power cables. The challenges and opportunities provided to the women of digital era are growing rapidly that the job seekers are turning into job creators. They are flourishing as designers, interior decorators, exporters, publishers, garment manufacturers and still exploring new avenues of economic participation. In India, although women constitute the majority of the total population, the entrepreneurial world is still a male dominated one. Women in advanced nations are recognized and are more prominent in the business world. 412 P a g e
3 II. REVIEW OF LITERATURE Bharti Kollan & Indira J. Parikh, (2005), discussed the transformations that have occurred in the role of women entrepreneur from fifteen century to twenty first century. They have discussed about the status of women entrepreneurs and problem faced by them. Dima Jamali,(2009),This purpose of the paper to examine the interplay of constraints and opportunities affecting female entrepreneurship in developing countries. The paper integrates salient micro- and macro-level perspectives and provides a rounded account of opportunities and constraints as part of a holistic interdependent system. Tambunan, (2009), studied the recent developments of women entrepreneurs in Asian developing countries. The study focused mainly on women entrepreneurs in small and medium enterprises based on data analysis and review of recent key literature. This study found that in Asian developing countries SMEs are gaining overwhelming importance; more than 95% of all firms in all sectors on average per country. He also depicted the fact that representation of women entrepreneurs in this region is relatively low due to factors like low level of education, lack of capital and cultural or religious constraints. However, the study revealed that most of the women entrepreneurs in SMEs are from the category of forced entrepreneurs seeking for better family incomes. Dr. Vijayakumar, A. and Jayachitra, S.,studied the importance of Women entrepreneurship in India in the wake of economic liberalization and globalization. The policy and institutional framework for developing entrepreneurial skills, providing vocation education and training has widened the horizon for economic empowerment of women. However, women constitute only one third of the economic enterprises. There exist a plethora of successful business women entrepreneurs both in social and economic fields in India. They are performing well. Government of India has also introduced National Skill Development Policy and National Skill Development Mission in 2009 in order to provide skill training, vocational education and entrepreneurship development to the emerging work force. However, entrepreneurship development and skill training is not the only responsibility of Government and therefore other stakeholders need to shoulder the responsibility. In Hindu scriptures, woman has been described as the embodiment of shakti. But in real life she is treated as Abla. Women are leaving the workforce in droves in favor of being at home. Not to be a homemaker, but as jobmaking entrepreneurs. The increasing presence of women in the business field as entrepreneurs has changed the demographic characteristics of business and economic growth of the country. Women-owned businesses enterprises are playing a more active role in society and the economy, inspiring academics to focus on this interesting phenomenon. This paper focuses on the problems, issues, challenges faced by women entrepreneurs, how to overcome them and to analyse policies of Indian government for and problems faced by them while pursuing their business. Yogita Sharma, (2013), Conducted studied on major problems faced by Indian women entrepreneurs, success stories of Indian women entrepreneurs, factors influencing women entrepreneurship and steps taken by the government for upliftment of Indian women entrepreneurs. Hina Shah,(2013), attempt to identify strategies and policies which could create an enabling environment for women entrepreneurs and/or would-be entrepreneurs in India. The study finds that sociocultural factors 413 P a g e
4 represent important barriers to women s entrepreneurial activities, while combining work and family life is also a challenge for a majority of women entrepreneurs. According to the study, support for starting an enterprise came essentially from informal sources, with a very small proportion of women having sought help from Government schemes and programmes. The study concludes with a wide range of recommendations to promote a more enabling environment for women s entrepreneurship in India. III. METHODOLOGY The prepared paper is a descriptive study in nature. The secondary data and information have been analyzed for preparing the paper extensively. The secondary information have been collected from different scholars and researchers published books, articles published in different journals, periodicals, conference paper, working paper and websites. IV. CHALLENGES FOR WOMEN ENTREPRENEUR: 4.1 Lack of confidence In general, women lack confidence in their strength and competence. The family members and the society are reluctant to stand beside their entrepreneurial growth. To a certain extent, this situation is changing among Indian women and yet to face a tremendous change to increase the rate of growth in entrepreneurship. 4.2 Socio-cultural barriers Women s family and personal obligations are sometimes a great barrier for succeeding in business career. Only few women are able to manage both home and business efficiently, devoting enough time to perform all their responsibilities in priority. 4.3 Market-oriented risks Stiff competition in the market and lack of mobility of women make the dependence of women entrepreneurs on middleman indispensable. Many business women find it difficult to capture the market and make their products popular. They are not fully aware of the changing market conditions and hence can effectively utilize the services of media and internet. 4.4 Motivational factors Self motivation can be realized through a mind set for a successful business, attitude to take up risk and behavior towards the business society by shouldering the social responsibilities. Other factors are family support, Government policies, financial assistance from public and private institutions and also the environment suitable for women to establish business units. 4.5 Knowledge in Business Administration Women must be educated and trained constantly to acquire the skills and knowledge in all the functional areas of business management. This can facilitate women to excel in decision making process and develop a good business network. 4.6 Awareness about the financial assistance Various institutions in the financial sector extend their maximum support in the form of incentives, loans, schemes etc. Even then every woman entrepreneur may not be aware of all the assistance provided by the institutions. So the sincere efforts taken towards women entrepreneurs may not reach the entrepreneurs in rural and backward areas. 414 P a g e
5 4.7 Identifying the available resources Women are hesitant to find out the access to cater their needs in the financial and marketing areas. In spite of the mushrooming growth of associations, institutions, and the schemes from the government side, women are not enterprising and dynamic to optimize the resources in the form of reserves, assets mankind or business volunteers. 4.8 Legal, Statutory and Procedural formalities The legal, stationary and procedural formalities to be completed before and after launching an enterprise frighten entrepreneur as they possess little knowledge about it. 4.9 Decision making and Problem solving Quick decision making and problem solving approach is not commonly found among the women entrepreneur. They get emotionally involved in tackling problems Inadequate Vocational and Technical Training Inadequate vocational and technical training among women reflects upon their project selection. Usually they select low technology projects. Awareness about the new openings in the field of electronics, software, television, radio, repackaging and service industries and vendor management is not developed sufficiently Operational Problems Many women entrepreneur face operational problems particularly when dealing with the workers. The male workers do not like to take order from women executives Lack of Management Inputs Many women entrepreneurs lack of management inputs like business planning, administration, marketing, finance, labour laws, taxation etc. This makes them weak entrepreneur V. OPPORTUNITIES FOR WOMEN ENTREPRENEUR In last decade, there has been a remarkable change shift in emphasis from the manufacturing industry to service industry. Highly educated, technically sound and professionally qualified women should be encouraged for managing there own business, rather than dependent on wage dependent employment outlets. Considering this, some important opportunities are identified for the women in urban areas. Eco-Friendly technology Bio- Technology IT-Enabled enterprises Event Management Tourism Industry Telecommunication Plastic Material Vermiculture Mineral Water Sericulture Floriculture Herbal Health Care 415 P a g e
6 5.1 Opportunities for women in semi urban areas: Considering the socio-economic, cultural-and-educational status and motivational levels of women in semi urban areas, particularly projects with low investments, low technical know-how and assured markets are suggested for them. Following are the important opportunities for them- Production of liquid soap, soap powder, detergents and deodorants etc. Office Stationary like cushion pads, gum, ink, ink pads Child care centers and cultural center for children Nursery classes Manufacturing of leather goods Garments Communication services 5.2 Opportunities for rural women: There are following opportunities for rural women- Food, fruit and vegetable processing Traditional medicine preparation VI. MEASURES TO BE TAKEN FOR DEVELOPMENT OF WOMEN ENTREPRENEUR 6.1 Socio-cultural attitudinal change A measure to be taken to change socio-cultural attitude of society promoting women entrepreneurship. Consider women as a specific target group for all developmental programmes. Better educational facilities and schemes should be extended to women folk from the government. 6.2 Development of support system to reduce women s family responsibilities- This can be done by opening better crèche facilities. 6.3 Managerial skill improvement training- Adequate training programme on management skill is to be provided to women community. 6.4 Vocational training- Vocational training is to be extended to women community that enables them to understand the production process and production management. Skill development is to be done in women s polytechnique and Industrial Training Institute. 6.5 Easy procedure to be followed by Banks- State finance corporations and financing institutions should permit by government to extend purely trade related finance to women entrepreneur. The financial institutions should provide more working capital assistance both for small scale ventures and large scale ventures. Making provisions of micro credit system and repeated gender sensitisation programmes to train financiers to treat women with dignity. 6.7 Marketing Support- Making provisions for marketing and sales assistance from government part 416 P a g e
7 6.8 Development of Women Industrial Estates - Infrastructure, in the form of industrial plots and sheds, to set up industries is to be provided by state run agencies. 6.9 Mahila(Women) banks and Mahila Co-operative Credit Societies- Mahila(Women) banks and Mahila co-operative credit societies widen their activities in the development of entrepreneurship Intensive entrepreneurship development training programmes- Training in entrepreneurial attitudes should start at the high school level through well designed courses, which build confidence through behavioral games Special effort/programme for women- Government and non-government schemes to motivate women entrepreneurs. Nita Ambani, Chairperson of Reliance Foundation and director of Reliance Industries. VII. SUCCESSFUL LEADING BUSINESS WOMEN IN INDIA The 21 st leading business womens in India:- Priya Nair, Executive Director, Home Care, Hindustan Unilever. Deepika Arora,Regional Vice President (Eurasia), Wyndham Hotel Group. Arundhati Bhattacharya, Chairman, State Bank of India. IpsitaDasgupta,Chief Commercial Officer, GE, South Asia. JyotiDeshpande, Group CEO and Managing Director, Eros International. TanyaDubash, Executive Director and Chief Brand Officer, Godrej Group. Shanti Ekambaram,President, Consumer Banking, Kotak Mahindra Bank. Aruna Jayanthi,Chief Executive Officer, Capgemini India. RadhikaPiramal,ManagingDirector,VIP. MeherPudumjee, Chairperson,Thermax. Chitra Ramkrishna, MD and CEO, National Stock Exchange. KirthigaReddy,Managing Director, Facebook India. SuneetaReddy,Managing Director, Apollo Hospitals. Pallavi Shroff, Managing Partner, Shardul Amarchand Mangaldas. SangitaSingh,CEO, Healthcare & Lifesciences, Wipro. JyotsnaSuri,Chairperson and MD, Bharat Hotels; President, FICCI. Aisha De Sequiera, Co-Country Head, Investment Banking, Morgan Stanley India. Anita Dongre, Chief Creative Officer, House of Anita Dongre. Anuradha Desai, Chairperson, Venkateshwara Hatcheries Group. Arathi Krishna, Joint Managing Director, Sundram Fasteners. NeelamDhawan, Managing Director, Hewlett-Packard India. Nishi Vasudeva, CMD, Hindustan Petroleum Croporation Ltd. 417 P a g e
8 Vinita Gupta, CEO, Lupin.. VIII. CONCLUSION Independence brought promise of equality of opportunity in all sphere to the Indian women and laws guaranteeing for their equal rights of participation in political process and equal opportunities and rights in education and employment were enacted. But unfortunately, the government sponsored development activities have benefited only a small section of women. The large majority of them are still unaffected by change and development activities have benefited only a small section of women i.e. the urban middle class women. The large majority of them are still unaffected by change and development. It is hoped that the suggestions forwarded in this article will help the entrepreneurs in particular and policy-planners in general to look into this problem and develop better schemes, developmental programmes and opportunities to the women folk to enter into more entrepreneurial ventures. REFERENCES 1. Jeanne Halladay Coughlin & Andrew R. Thomas, (2002) The Rise of Women Entrepreneur- People, Processes and Global Trends, Greenwood Publishing Group. 2. Medha Dubhashi Vinze (1987) Women Entrepreneurs In India: A Socio-Economic Study of Delhi , Mittal Publications, New Delhi. 3. Starcher, D. C. (1996). Women entrepreneurs: Catalysts for transformation : A Reflection of the India women in Entrepreneurial World 5. Sharma Yogita, (2013), Women Entrepreneur in India Journal of Business and Management (IOSR-JBM) 6. Dr. Vijayakumar, A. and Jayachitra, S.(2012), Women entrepreneurs in India - Emerging issues and challenges, International Journal of Development Research P a g e
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