How Are Women Shaping The Entrepreneurial Ecosystem?

To say that the business landscape has changed over the years is an understatement.

According to the Global Entrepreneurship Monitor Women’s Entrepreneurship Report, women make up 42% of the global entrepreneurial workforce . According to a study by BNP Paribas, women entrepreneurs tend to be more socially conscious than their male counterparts, with 71% stating that their businesses have a positive social impact , compared to 61% of male entrepreneurs. Another report by McKinsey & Company found that companies with more gender diversity tend to have better financial performance, suggesting that supporting women entrepreneurs can have positive economic benefits.

Over the years, women entrepreneurs have been destroying the barricades that prevented women from moving forward in the business world, changing societal norms, and ending biases and prejudice around the world.

While many women are still overshadowed by their male counterparts, through dedication, perseverance, and creativity, women entrepreneurs are shaping the world.??

The Current State Of Women In Business

Breaking of societal barriers, reduction in discrimination and biases, and just overall acceptance of women in roles that were not traditional in an ancient past has led to more and more women being represented in avenues that have been strictly male dominated for the longest time.

Although the word entrepreneur is a gender-neutral term, it has long been reserved for men.

In the US, nearly 42% of all businesses are owned by women , employing nearly 10 million workers.

In India this number is drastically low, at only around 22% among small and medium enterprises (MSME) and 14% overall, but India is a country not without its own challenges.

Regardless, there are more than 16 million women owned enterprises in India , which is a very large number if you think about it. Not only that, these enterprises contribute to nearly 24% of the total labour force of India.

With time, more and more women are being inspired by these success stories, and we are likely to see a higher number of women owned enterprises in the near future.

How Women Entrepreneurs Are Changing The World?

Here are some of the ways women entrepreneurs are shaping the world.?

·?Women entrepreneurs are paving the way

Many reports have shown that women entrepreneurs, in general, hire more women. Not only are they creating more jobs for women, but also contribute to creating more women entrepreneurs. Women entrepreneurs are also more open to networking and providing mentorship to new women leaders.

This has allowed for the creation of more accepting communities and spheres where women entrepreneurs can feel welcome. Another benefit of having more women leaders is the breaking of gender barriers in the workspace. More women entering the workforce allows for challenging gender stereotypes and bridging the gap in gender inequality. In other words, women entrepreneurs are playing a vital role in transforming social norms.

·?Women entrepreneurs are driving innovation

Diversity in the workforce leads to interesting developments that you wouldn’t normally see in a stagnant environment. Women entrepreneurs can and are bringing in new perspectives to the table. Identifying problems from their own perspectives and finding unique solutions is a major advantage of having more women business leaders.

This can see in the development of products that cater to women’s needs specifically. Things like menstrual cups and maternity wear were developed by women who saw the needs of other women. You can say that women entrepreneurs are actively contributing to enriching the living standard of people around them.

·?Women entrepreneurs contribute to economic growth

Other than social development, women entrepreneurs are also contributing to economic growth across the world. Although the numbers vary by country, in a country like India, women led small and medium enterprises (MSME) have been shown to contribute heavily to the Indian GDP. Employing close to 30 million people, women led businesses in the MSME sector are contributing towards 1/4th of India’s labour force.

Women’s contribution to the Indian economy can be summarized by a quote from Manu Awasthy, CEO and founder, Centricity Wealthtech, who said that “Women entrepreneurs and their increasing presence in India have significantly influenced the social and economic demographics of the country. Women entrepreneurs are empowering 50 per cent of India’s start-up ecosystem, driven by Recognition, Results, Fulfilling unmet needs and Education. According to a survey by Bain & Company, more than 45per cent of Indian women in rural areas were driven to start a business to gain recognition and Women-led start-ups provide 35 per cent higher ROI compared to those led by men.”?

Some Success Stories

This post wouldn’t be complete without highlighting some of the most influential women entrepreneurs we’ve seen in India in the last few years.

·?Falguni Nayar, Founder of Nykaa – In a world where online shopping was already becoming popular in India, and heavy hitters like Flipkart and Amazon were common household names, Nykaa came as a surprise. It was originally created to sell beauty products and catered specifically to a women audience, although nowadays they have expanded to many more products and target audiences. The inspiring part is the fact that Ms. Nayar took a leap of faith with this business, leaving her ideal job to start the online company that is actively competing against multi-billion-dollar global retailers. Nykaa’s story is truly inspiring for women across the world.

·?Aditi Gupta, Co-founder of Menstrupedia – Menstruation as a topic is still a major taboo in India and many young women either don’t have the means to manage it, or the knowledge to understand it. Menstrupedia provided a channel that could teach not only young women, but young men and adults alike about puberty and menstruation in an attempt to normalize it and remove the taboo. Aditi has since gained worldwide recognition for her initiative, and have managed to teach over 100 million girls about puberty, menstruation, and female hygiene.

·?Priya Paul – Chairperson of Park Hotels – Priya Paul is renowned as one of India's most successful female entrepreneurs and a legendary figure in the hospitality industry. Born into the esteemed Apeejay Surrendra Group business family, she graduated with an Economics degree from Wellesley College in the U.S before joining the family business at the marketing division of Park Hotels.

Despite having little experience and at the young age of 23, Priya was tasked with managing all three hotels of The Park, which she took on as a significant challenge. Recognizing the need for a major renovation, Priya initiated a revolution in India's hospitality industry by introducing the concept of boutique hotels, featuring trendy and contemporary designs and interiors that were a stark departure from the country's typical 5-star properties. She also implemented innovative concepts in menus and music, which helped her hotel chain overcome the recession of the early 1990s.

Here Are My Concluding Thoughts

Women entrepreneurs are breaking all societal barriers and changing the business game around the world. Not only are women entrepreneurs paving the way for the future generation of women leaders in business, they also contribute significantly to the labour force, positively contributing the growing GPD of many countries. Women entrepreneurs are also encouraging diversity and bringing new and innovative ideas to the business world. With all the ways women entrepreneurs are contributing to the world, there is no doubt that they are shaping the world as we speak.?