Globally, every 1 in 3 small to medium businesses are owned by women. Female membership is significantly increasing in newly registered firms in the world. The number of female entrepreneurs is gradually rising, which is an excellent sign for world economies. It is a significant step toward reducing gender equality, eventually contributing more wealth to global economies.
Here’s why women entrepreneurs are critical to economic growth.
Gender discrimination in the pay gap is not hidden from anyone, and it will take years to fill that gap. However, that’s not the only discriminatory factor that stops women in the workplace. Studies show that investors are biased against women and prefer to invest with male entrepreneurs and founders.
However, a Harvard study shows that women are far better leaders than men and outrank them in leadership skills such as innovation, problem-solving, and team building. These skills are critical for building and running a new business and helping it succeed. That’s why we need more women entrepreneurs today.
According to the Global wealth report by credit Sussie, women hold about 40% of total wealth worldwide, and these numbers may increase over the years. By encouraging more women entrepreneurs, more money will flow into the economy, eventually multiplying in various forms.
Another reason women entrepreneurs are crucial for the development of the economy is that they can encourage more women to establish their businesses. Since women are half of the population, it ensures that more women are employed, get women skill development opportunities, and earn a livelihood contributing more to the economy than becoming dependent on other earning members in the family.
Women in the business or workplace understand the biases they face every day better than anyone else. Knowing and working in such conditions encourages them to create a better working environment for other women employees in their business. They also promote gender equality in their companies to ensure that women counterparts get equal opportunities to grow through female mentoring programs. They can also mentor and guide other women to start their businesses.
Several women who have the potential to become great leaders in organizations cannot climb the ladder of success due to rigid organization policies and difficulty managing work and home responsibilities. When women enter entrepreneurship, they can get out of situations where their growth is hindered. They can create a flexible work environment to manage work and other responsibilities without burning themselves out.
Pretty Girls Rock is a community of strong women who unite to uplift and empower other women. We help fellow women with every aspect of their lives. Whether you want a new job or need help getting fit, we can help you with our various women development program. Join our live events and become a member to be a part of our digital network and grow with us. You can reach out to us at 832-429-7678 or fill out our online contact form to hear back from us.