Gender-specific characteristics or motives that influence the success of start-ups?
Introduction
Starting a business as an entrepreneur is mind torturing and challenging irrespective of having an understanding of the start-up challenges and the critical factors will help the entrepreneur get started in the right way. In the motives of beginning business women and men, entrepreneurs differ in the essential elements of success and underlying factors. The paper in this context seeks to establish whether there are some gender characteristics and motives which determine the success of startup enterprises.
According to the research done by Ahmad et al. (2014), some of the factors that can make one venture into business are those related to life and family protection (Ahmad et al., 2014). Gender differences show that men are always more concerned and aggressive in accumulating wealth through investments to have financial independence and life compared to women. Although in life everybody wants to achieve success. A excellent opportunity for one to develop, grow his or her business and make life success is through entrepreneurship.
Besides, an investigation by Maes et al. (2013) based on gender showed that men are more zealous with entrepreneurship career as a means of acquiring investments and creation of wealth. Different research also done by Coleman (2000) showed that what made the majority of the people to involve themselves in business activities is the quest for a more balanced life. Women seek a more balanced life than men because they are more close to their families and the responsibilities they have in taking care of the family (Coleman, 2000). Additionally, women value business more compared to men. They do this as a means of balancing family demands and work (Coleman, 2000).
Good experience in business can make one venture into business. Hazudin et al. (2000) asserts that skills and knowledge are one of the crucial factors that help women entrepreneurs develop. Moreover, Miralles (2014) affirmed that there is an essential relationship between business performance and experience. However, West & Noel (2009) failed to find the linking factor between relatedness of industry skills gained and through the earlier experiences of the entrepreneur and the company’s performance. Self-satisfaction and resilient effects in conducting business are one of the critical motives why the majority of the people are involved in doing business (West & Noel, 2009). Wilson and Marlino realized (2007) in their survey concluded that self-efficacy affects the entrepreneurial motive and it is weaker in men while stronger in women.
As indicated, motives are of more benefit to women’s intentions of starting their business when compared to men (Wilson & Marlino, 2007). In other words, one of the reasons why people venture into market is because they view it as the only source of independence. They do not like receiving instruction from others. They want to be their bosses because this guarantees them the will to be free out of control (Wilson & Marlino, 2007). Researchers have confirmed that women prefer to be more independent compared to men (Chen & Elston, 2013). Women wish to be independent for career satisfaction is the motivating factor behind their joining of business.
There are factors which affect business achievements among gender. For instance, most families who do business want their businesses to prosper. Environmental factor and macro approach including relatives, family, and friend can help them grow and expand the business. Khalife and Chalouhi (2013) in their research showed the origin of knowledge on how the Saudi Arabian women entrepreneurs are helped when venturing into a new idea of business or operating an existing business. The study found that for a company to be successful family need and support is essential. Also, the purchase of new products and innovation of the existing ones is vital to the prosperity and expansion of business (Banki & Ismail, 2015). Reason being, consumers prefer a variety of products and services. Entrepreneurship is a process of creating and developing an economic task by creativity, risk-taking, blending and coming up with new ideas within an existing organization or a new one. Boz and Eregneli (2014) in their study found out that an entrepreneur should develop personality traits such as being a risk-taker to manage a business with success. Basing this argument on gender and relating to the research of Coleman men valued and took serious the entrepreneur career when compared with women. Men view entrepreneur as a means to acquire a challenging job (Coleman, 2000). On the other hand, women become more concerned, confident but are more risk-averse when compared to men (Coleman, 2000).
It is sometimes difficult to raise children and thus the reason why most women wish to maintain and take care of their business. They also want to manage the business to ensure the economic safety of their children in the future (Welsh et al., 2014). A study done in Nigeria a place called mountain destinations revealed that most men believe that when their children grow up, they will take over the business (Welsh et al., 2014). Therefore, the age of children plays a vital role in the influencing the achievement of the company and also building the future legacy of the firm. Additionally, Khalife & Chalouhi (2013) revealed that Saudi women venture into entrepreneurship due to external factors, influence, and support (Khalife & Chalouhi, 2013); it showed that women were attributed to having more knowledge and capabilities than men.
There are also barriers related to gender in business. For example, one of the challenging tasks in growing a business is competition. A person who has decided to start and venture into business will find competition an obstacle in growing the enterprise. Financial problems have always been the barriers in the development of most businesses (Alsos et al., 2006). The first year in starting a new business is the most crucial part because it will determine the continuation of the next level (Alsos et al., 2006). In other words, this is the stage that determines whether the business will continue existing or will close down. In improving business, women are assumed to have little experience in managing, which includes, the absence of networking abilities, lack of business training, little or no information in developing the business and lastly family commitments and childcare (Alsos et al., 2006). Besides, men are considered to be more dynamic in discovering new business prospects (Alsos et al., 2006). An element of dishonesty has been reported in financial and marketing sector especially in obtaining of loans, the rates at interests, collateral obligations toward gender differences among others.
Conclusion
The paper sought to establish where there are some gender motives or characteristics which influence the success of new ventures. Women are more likely to venture into business and try to manage their homes and work compared to men. Hence, women believe that their existing knowledge can help them prosper in business. Not forgetting, the success of the most female entrepreneur is due to the influence of family and the age of their children which acts as a driving force. On the other hand, men have been found to pose a significant challenge when dealing with malpractice business, unlike women.
References
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