ABSTRACT
Female entrepreneurship is the process where female organise all the factors of production, undertake risks, and provide employment to others while Economic development is a process of societal advancement, where improvement in the well being of people are generated through strong partnership between all sectors, corporate bodies and other groups in the society. Female entrepreneurs face gender biases stemming from socio-economic factors or specific biases in laws such as inheritance laws. Female entrepreneurs have a problems of access to finance and credit facilities. Argument abound as to the impact of female entrepreneurship on economic development ;while some believe that female entrepreneurship impacts positively on the economy, others hold a contrary view. Empirical evidence from different countries has been used to substantiate these lines of argument, but in Nigeria works in this area have been scanty. Hence, this study is designed to fill the gap. By localizing the research with emphasis on the south East- Nigeria.The study investigated the relationship between Female entrepreneurship and economic development in South-East Nigeria. The study specific objective were to Identify the factors that motivate female entrepreneurs in starting their own businesses and the nature of relationship with economic development, Determin the challenges faced by female entrepreneurs in managing their businesses, in achieving food security , Assess the contributions female entrepreneurs make in employment generation, Analyse the roles of the government in assisting female entrepreneurs towards achieving wealth creation, Explore the effects of new ventures by female entrepreneurs on environmental sustainability and Examine the impact of female entrepreneurs’ education in achieving economic development of South-East Nigeria.The study adopted the survey design. The population of the study was 2520 female owned SMs in South East Nigeria.the sample size of 553 was obtained using Freund and Williams sample size determination method. Bowler formula for proportional allocation was used to select respondent in each of the state of Abia, Anambra, Ebonyi, Enugu and Imo. Data was collected using the designed questionnaire and oral interview guide. Face validity approach was done to ensure that the variable measured had content validity. The instrument was check for reliability using the Crobach’s alpha reliability method. The Crobach’s Alpha coefficient yielded 0.85, indicating the reliability of the instrument. The data collect was analysed using Pearson, Kendall, spearman and simple regression model. The findings indicated that: The factors that motivate female entrepreneurs in starting their own businesses had a positive and significant relationship with Economic development (α = 0.234, p < 0.05, The challenges faced by female entrepreneurs in managing their businesses, had a positive and non-significant relationship with food security (α = 0.134, p > 0.05), the contributions of female entrepreneurs had a positive and significant impact on employment generation (α = 0.56, t-value = 3.007, R2 = 0.084, Adj R2 = 0.075, p < 0.05, F-statistic = 9.04, D.W = 1.804) .There is a positive and non significant relationship between the roles played by government in assisting female entrepreneurs towards achieving wealth creation ( α = 0.029, p > 0.05), New ventures by female entrepreneurs had a negative and non-significant effect on environmental sustainability (α = -0.027, t-value = -0.242, R2 = 0.001, Adj R2 = -0.01, p > 0.05, F-statistic = 0.058, D.W = 1.743 and female entrepreneurs’ education had negative and non-significant impact on the economic development of South-Eastern Nigeria (α = -0.017, t-value = -1.02, R2 = 0.011, Adj R2 = -0.00, p > 0.05, F-statistic = 1.04, D.W = 1.764). The study concluded among other things that better knowledge about the economic importance of female’s entrepreneurship and their particular strengths, weaknesses and opportunities, is important to success of females’ entrepreneurship. The study recommends among others that Government should increase the participation of female in the labour force by ensuring the availability of affordable child care and equal treatment in the work place.
TABLE OF CONTENTS
Approval
i
Declaration
ii
Dedication iii
Acknowledgements iv
Abstract
v
List of Tables viii
List
of Figures x
CHAPTER ONE: INTRODUCTION
- Background of the Study 1
- Statement of Problem 5
- Objectives of the Study 6
- Research Questions 7
- Research Hypotheses 8
- Significance of the Study 8
- Scope of the Study 9
- Limitations of the Study 9
- Operational Definition of Key Terms 10
References 12
CHAPTER TWO: REVIEW OF RELATED
LITERATURE
- Introduction 14
- Conceptual Framework 14
- Concept of Entrepreneurship 14
- Concept of Economic Development 41
- Theoretical Framework of the Study 53
2.6 Empirical Review 82
2.7 Summary of the Review of the Related Literature 86
References
88
CHAPTER THREE: RESEARCH METHODOLOGY
- Introduction 95
- Research Design 95
- Sources of Data 95
- Primary Sources 95
- Secondary Sources 95
- Population of the Study 94
- Sample Size determination and Sampling Procedure 96
- Description of Research Instruments 98
- Validity of the Instrument 98
- Reliability of the Instrument 98
- Methods of Data Analysis 98
References 99
CHAPTER FOUR: DATA PRESENTATION
AND ANALYSIS
- Introduction 100
- Data Presentation 100
- Data Presentation of the Biodata of the Respondents 100
- Test of Hypotheses 108
- Discussion of Findings 120
- Implications of the Findings 124
References 126
CHAPTER FIVE: SUMMARY OF MAJOR FINDINGS, CONCLUSIONS
AND RECOMMENDATIONS
5.1 Summary of Major Findings 128
5.2 Conclusion 129
5.3 Recommendations 129
5.4 Contribution to Knowledge 130
5.5 Suggestion for Future Research 131
Bibliography 132
Appendixes 143
Questionnaire
144
Interview
Guide 149
Calculation of Cronbach Alpha Coefficient of
Reliability 151
Sample SMEs in South East, Nigeria 152
LIST
OF TABLES
Table 2.1: Summary of the Historical Perspective of Entrepreneurship 17
Table 2.2: Percentage (%) Distribution of Persons by Industry in Nigeria 21
Table 2.3: Showing the Status of Female’s Entrepreneurship 25
Table 2.4: Female Enterprise Classification by Sector, Size and Year 26
Table 2.5: Comparison of Male and Female Entrepreneurs’
Characteristics 30
Table 2.6: Gender –Related
Development Index and Gender Inequality in
Economic
Activity. 31
Table 3.1: Proportional allocation of
the SMEs in the south-East, Nigeria 97
Table 4.1 Distribution and collection of questionnaire 100
Table 4.2: Age Distribution of the Entrepreneurs 100
Table 4.3: Distribution of the Entrepreneurs According to Marital Status 101
Table
4.4: Distribution of Entrepreneurs in
the SMEs According to Years of
Operation 101
Table
4.5: Distribution of Entrepreneurs in the SMEs According to forms of Business 102
Table
4.6: Distribution of Entrepreneurs in
the SMEs According to Methods of Acquisition of Business 102
Table 4.7: Distribution of Entrepreneurs According to the Highest Educational Qualification 103
Table
4.8: Distribution of Sources of Fund
Open to the Entrepreneurs 103
Table
4.9: Distribution of Entrepreneurs
according to sector of the business
104
Table
4.10: Distribution of the Entrepreneurs on Number of Employees of the SMEs
104
Table
4.11: Distribution of Entrepreneurs
Opinion on numbers of Existing Branches
105
Table
4.12:Entrepreneur’s Opinion on the
factors that motivate female entrepreneurs
In starting their own businesses in South East Nigeria 105
Table 4.13: Entrepreneur’s opinion on the challenges
faced by female
entrepreneurs in managing their businesses, in achieving food security in South-East Nigeria 106
Table 4.14: Entrepreneurs opinion on the contributions female entrepreneurs make in employment generation in South-East Nigeria 106
Table 4.15: Entrepreneur’s opinion on the role of
the government in assisting female entrepreneurs towards achieving wealth creation in South-East Nigeria 107
Table
4.16: Entrepreneur’s opinion on the effects of new ventures by
female entrepreneurs on environmental sustainability in South-East
Nigeria
107
Table 4.17: Entrepreneur’s opinion on the impacts of
female entrepreneur’s
education in achieving economic development of South-East Nigeria 108
Table 4.18: Pearson’s Correlation Result for Hypothesis one 109
Table
4.19: Kendall and Spearman Correlation Results for Hypothesis one 109
Table 4.20: Pearson’s Correlation for Hypothesis two 110
Table
4.21: Kendall and Spearman Correlation Results for Hypothesis two 111
Table 4.22 Regression Summary for hypothesis three 112
Table 4.23 Regression Coefficient for hypothesis three 113
Table 4.24: Pearson’s correlation results for hypothesis four 114
Table
4.25: Kendall and Spearman Correlation Results for Hypothesis four 115
Table 4.26 Regression Model Summary for hypothesis five 116
Table 4.27 Regression Coefficient for hypothesis five 116
Table 4.28 Regression Summary for hypothesis Six 117
Table 4.29 Regression Coefficient for hypothesis Six 118
Table 4.30 Regression Coefficient for hypothesis Six 119
LIST
OF FIGURES
Figure 2.3: The Roles of females 36
CHAPTER
ONE
INTRODUCTION
1.1 Background
of the Study
For over a decade, the experience of
Nigeria in the process of economic development has not been encouraging.
Consequently female entrepreneurship is now seen to attract considerable amount
of attention as a subject of academic debate (Cartel and Cannon, 2007).
According to Veheul, Uhlioner and Thurk (2005), the growing interest in female
entrepreneurship is attributable to the fact that female entrepreneurs are now
considered important forces in economic development of their nations. This is
not surprising as more than ever before, many females have been forced into
alternative avenues of generating income, with a greater number of females
setting up in business to balance work and family commitments (Kirk and
Belovies, 2006). For example, Werter
(2004) notes that females in business are a growing force in the
economy, and in transition environment, their contribution extends from the
economic sphere to include the wider process of social transformation (Welter ,
2006).
Okafor (2009) posits that the role
assigned to entrepreneurship for economic growth and development especially in
the developed economies such as USA, Britain, Japan, Canada and others made
most developing economies to adjust their developmental concept and plan and
see new enterprise development as very vital to their economic problems.
Entrepreneurship as the engine of economic growth and wheel that pedals the
vehicle of economic development has been recognized for its importance in the
area of job creation, revenue generation, poverty alleviation and wealth
creation. This concept is now identified as the central element in the theory
of economic development (Schumpeter, 1994 and Josiane, 1998). It makes up the
largest business sector in economies, and has been recognized as the driver of
employment and economic growth (Culkin and Smith 2000, Peacock, 2004: Wang,
Walker and Redmond, 2006).
Entrepreneurship is important for the
support of small and medium enterprises (United Nations, 2006). With active
small and medium enterprises (SMEs) sub-sector in the production process,
developed and less developed countries are expected to depend less on large
industries to drive their economy towards prosperity. This is because economic
renewal and growth is expected to be increasingly driven within the vehicle of
enterprise creation and the industry clusters. Entrepreneurship is therefore a
process that involves a willingness to rejuvenate market forces, innovate,
risks taking, trying out of new and uncertain products, services, and markets
and being more proactive than competitors towards exploring new business
opportunities (Civin and Slevin, 1991; Wiklund and Shepherd, 2005). It attracts
both males and females who are interested in profitable inter-industry
relationship. To ensure adequate development and competitiveness in
entrepreneurship, considerable research has examined the participation of both
males and females in venturing into business activities, particularly those
reported to have personal dreams of entrepreneurship. This category has rapidly
joined hands together to achieve success in business and enterprises
development (Gelin, 2005).
Female entrepreneurs are therefore
becoming increasingly important in the socio-economic development of both developed
and developing economies as they account for significant percent of the
operators of small and medium Enterprises (SMEs) (Josiane, 1998: Kjeldsen and
Nielson, 2000). Female entrepreneurs make a substantial contribution to
national economies through their participation in start-ups and their growth in
small and medium businesses (United Nations, 2006). Their interest and
activities in the economic growth and development especially in the area of
SMEs have received outstanding interest of researchers. Global Entrepreneurship
Monitor (GEM) (2005) confirmed that female participation in a wide range of
entrepreneurial activities across the 37 GEM and their activities in different
countries have paid off in form of many newly established enterprises for job
and wealth creation. This notwithstanding, entrepreneurship is usually seen
from the perspective of men driven economy (Gerlin, 2005; Josiane, 1998) due to
its complexity, particularly its gender issues, the role of female
entrepreneurship has not been properly documented.
While female entrepreneurship is a
central aspect of economic development and public policy concern in most
countries, scholarly research about their entrepreneurial activities is
comparatively scarce. The role of entrepreneurs as agents in the labour market
for creation of employment, wealth creation, poverty alleviation and provision
of resources has helped tremendously to increase the number of female – owned
entrepreneurial ventures in the world. The emergence of the private sector as
the major participant/player in the industrial development of many countries
has also improved females’ access in employment opportunities as against when
they experienced denial in employment opportunities as wage workers because of
their family responsibilities (Josiane, 1998).
To cope with these challenges, the
development of self-employment, especially in the area of SMEs became the last
resort for them (Thompson, 2002). SMEs contribute more than 50% to Gross
Domestic Product (GDP) of most nations both developed and less developed
(Oyekanmi, 2004: Uchechukwu, 2004; Ojo, 2006). Its contributions to economic
development have been predominantly in the area of job creation, poverty
alleviation, environmental vitality, wealth creation and human capital. Female
entrepreneurs therefore account for more than half of the operators of SMEs
sub-sector and they operate more often in the agricultural, manufacturing,
trade and service sectors (Kjeldsen and Nielson, 2000; community, women and
development (COWAD), 2004; Gelin, 2005). However, the operation of SMEs
involves considerable risks, hard work, enormous sacrifice and sincerity of
purpose which cut across various obstacles. The risks, challenges and obstacles
(Ojo, 2004) perhaps affect female entrepreneurs more than their male
counterparts, making their chances of success to be considerably lower than men
(Hisrich and Brush, 1986). Considering the various challenges facing SMEs
particularly in Nigeria which includes; capital inadequacy, unavailability of
the required infrastructure, shortage of manpower to mention but few. Someone
may quickly conclude that Females are usually discouraged from venturing into
enterprise development. But today the story is a different one
