“In whatever you do, you’re not going to stand out unless you think big and have truly original ideas. That comes from tapping into your own creativity, not obsessing over what everyone else is doing.” —Sophia Amoruso, founder of Nasty Gal.
In nascent economies worldwide, women entrepreneurs are not just contributors to economic activity; they are catalysts for innovation, job creation, and social transformation. Their ventures range from small microenterprises in rural markets to dynamic firms in traditionally male-dominated sectors. Yet, despite the growing evidence of their economic potential, women still face a complex interplay of systemic barriers that constrain their ability to launch, grow, and scale businesses to the same extent as their male counterparts. Drawing on research insights from academic literature, global reports, and international development organisations, this article examines the challenges women entrepreneurs encounter, the support mechanisms (or “bridges”) that help navigate these challenges, and the transformational breakthroughs that are reshaping economies and societies in emerging markets.
The Economic and Social Significance of Women’s Entrepreneurship: Entrepreneurship is widely recognised as a key driver of economic growth, innovation, and inclusive development. Women entrepreneurs, in particular, make significant contributions to employment creation, community wellbeing, and local markets, particularly in developing countries where traditional employment opportunities may be limited. In emerging economies, women’s participation in business is especially high in consumer-facing markets and early-stage ventures, with some research suggesting that entrepreneurial activity among women can reach as high as 45% of the adult female population in certain contexts.
Yet despite this participation, women face a “gender gap” in entrepreneurship that is rooted in deep structural inequalities. According to data from global monitoring initiatives, restrictive social norms, limited access to capital, and institutional biases persistently reduce women’s ability to compete and grow at the same pace as men.
Major Barriers Faced by Women Entrepreneurs: Firstly, Limited Access to Finance. A serious challenge for women entrepreneurs is access to finance. Many women struggle to obtain loans and investors. Lack of funding also limits their access to better technology, skilled labour, and larger markets.
Secondly, Social and Cultural Constraints. Cultural norms and traditional gender roles continue to influence women’s entrepreneurial activities in many societies. Women are often expected to prioritise household responsibilities such as childcare, cooking, and elder care. This creates time constraints and emotional pressure, leaving limited space for business development.
Thirdly, education and Skills. Although educational opportunities for women have improved over the years, gaps remain in many emerging economies. Women often have less access to formal business education, financial literacy, and technical training. This lack of skills can affect decision-making, business planning, and long-term growth. Without proper knowledge of accounting, marketing, digital tools, or legal requirements, many women struggle compete in dynamic markets. This challenge becomes even more serious in the digital age, where technological skills are essential for business survival.
Lastly, Institutional and Policy Challenges. In some emerging economies, legal and regulatory systems are not fully supportive of women entrepreneurs. Complicated registration processes, lack of gender-sensitive policies, and weak enforcement of property and inheritance rights further limit women’s economic participation. When policies do not specifically address the needs of women-owned businesses, existing inequalities tend to widen rather than disappear.
Bridges That Support Women Entrepreneurs:
1. Supportive Government Policies
Several governments are recognising the importance of women entrepreneurs and introducing gender-responsive policies. These include startup incentives, subsidies, skill development programmes, and simplified registration procedures for women-owned enterprises.
2. Financial Inclusion Initiatives
Governments, development agencies, and financial institutions have introduced special financial products for women entrepreneurs. These include microfinance schemes, low-interest loans, collateral-free credit, and specialised banking services for women. Digital financial platforms and mobile banking have also made it easier for women in rural and remote areas to access financial services.
Such initiatives not only provide capital but also increase women’s confidence and financial independence.
3. Training and Capacity Building
Entrepreneurship training programmes play a key role in enhancing women’s skills and knowledge. Workshops on financial literacy, business planning, leadership, and digital marketing help women manage their enterprises more effectively.
Many programmes are designed specifically for women, considering their time constraints and learning needs. These initiatives empower women to make informed decisions and adopt innovative business strategies.
Breakthroughs and Success Stories: Across emerging economies, women entrepreneurs are achieving remarkable success despite challenges. Their stories reflect resilience, innovation, and determination.
Many women have entered non-traditional sectors such as construction, technology, logistics, and manufacturing, challenging gender stereotypes. Others have built successful businesses in agriculture, food processing, retail, and digital services, creating employment opportunities for their communities.
Women-led enterprises often have a strong social focus. Many entrepreneurs aim to improve community welfare, support local suppliers, and empower other women through job creation and skill development. These businesses prove that economic success and social impact can go hand in hand.
Women entrepreneurs are also becoming voices of change. Their achievements inspire younger generations and influence policymakers to promote gender equality in business.
Lessons from Recent Global Crises: The COVID-19 pandemic underscored both vulnerabilities and resilience among women entrepreneurs. Evidence from the Global Entrepreneurship Monitor (GEM) indicates that women in lower-income countries faced disproportionately high business closure rates and severe disruptions. However, women also showed strong entrepreneurial intentions, high adoption rates of digital tools, and innovative approaches to sustain and reinvent business models. These findings illustrate that while crises can exacerbate existing challenges, they also reveal opportunities for transformation, especially where supportive ecosystems and digital access are present.
“Supporting women entrepreneurs is not just an investment in individuals, but an investment in sustainable development and long-term economic progress”.
Degree of Thought is a weekly community column initiated by Tetso College in partnership with The Morung Express. Degree of Thought will delve into the social, cultural, political and educational issues around us. The views expressed here do not reflect the opinion of the institution. Tetso College is a NAAC Accredited UGC recognised Commerce and Arts College. The editorial team includes Chubamenla, Asst. Professor Dept. of English and Rinsit Sareo, Asst. Manager, IT, Media & Communications. For feedback or comments please email: dot@tetsocollege.org
