Discrimination of Female Entrepreneurs in China

Discrimination of Female Entrepreneurs in China

Introduction

Many women are entrepreneurs worldwide; however the global impact of female entrepreneurs is just beginning to gain intensity. The number of female business owners continues to increase steadily worldwide, today women in advanced market economies own more than 25 per cent of all businesses (NFWBO, 1998). And women-owned businesses in Africa, Asia, Eastern Europe, and Latin America are growing rapidly (OECD, 1998). For example, women produce more than 80 per cent of food for sub-Saharan Africa, 50-60 per cent for Asia, 26 per cent for the Caribbean, 34 per cent for North Africa and the Middle East, and more than 30 per cent for Latin America (Foster, 1996). In the USA one out of every four company worker is employed by a woman owned firm, in the USA and Canada growth of women-owned firms out space overall business growth by around 2:1 (Kitching and Jackson, 2002). Similar findings are reported from Australia and parts of Asia, with more women setting up new small businesses than men, and with lower failure rates (Kitching and Jackson, 2002).

Discrimination of Female Entrepreneurs in China

In some regions of the world, transformation to a market economy threatens to sharpen gender inequality. Some of these changes are simply the legacy of a gender imbalance that exist prior to political and economic reforms. Other changes reflect a return to traditional norms and values that relegated women to a secondary position. As countries become more democratic, gender inequalities lessen, thus, offering a more productive atmosphere for both sexes (Foster, 1996).

Women's productive activities, particularly in industry, empower them economically and enable them to contribute more to overall development. Whether they are involved in small or medium scale production activities, or in the informal or formal sectors, women's entrepreneurial activities are not only a means for economic survival but also have positive social repercussions for the women themselves and their social environment (UNIDO, 2001). In many societies women do not enjoy the same opportunities as men. In many transitional economies progress has been achieved in opening doors to education and health protection for women, political and economic opportunities for female entrepreneurs have however remained limited. Concerted efforts are needed to enable female entrepreneurs make better economic choices and to transform their businesses into competitive enterprises, generating income and employment through improved production (OECD, 1997).

Entrepreneurship represents an appropriate opportunity for women entrepreneurs all over the world, as entrepreneurship respond flexibly to entry, change and innovation. This potential has not yet been realised in an optimal fashion in most developing countries. A large number of women work in the informal sector but their contribution is not included in national accounts (UNIDO, 1995). There are a variety of constraints on women and the ability of women to upgrade their production continuously. These include poor access to market information, technology and finance, poor linkages with support services and an unfavourable policy and regulatory environment. These constraints are further compounded by the need to compete in an ...