There have been countless studies about small businesses and start-ups in developed and developing countries and the majority of them have come to the same conclusion – most of these ventures have been launched by men. Actually it’s a pity because modern studies are showing that so far as managing organisations are concerned in terms of efficiency and success, women are a step ahead of their male counterparts. Further, this topic is fraught with risks either way because it is sure to raise questions about gender inequality and a biased mind.
The latest study of Barclays Bank published by the Centre of Entrepreneurs think tank throws up surprising results. It provides adequate and compelling reasons to show that if there were to be a disparity in numbers of men and women entrepreneurs, the world would be much better off with more of the latter than the former.
Here are a few reasons why women make better entrepreneurs than men.
- More honest about business – While a man will generally talk about what irritates him and what fix-it measures need to be taken, a woman will give a broader insight into how the business will survive and grow in the long run. Women open up more and have no constraints or ego when they talk about their failures and fears. They want to quickly address issues and not ignore them. In a nutshell, since they are more honest and open about business operations, it is easier to bring things back on track should anything go wrong.
- Better risk takers – The Barclays studies has some interesting statistics in this regard. While both men and women say that they are prepared to take risks and meet fresh challenges, women go a step further. 87% of women see themselves as willing to take financial risks as against 73% of men. Again 80% of women see risks as an opportunity for growth as against 67% of men. However, it is not that women do not foresee the dangers behind taking risks as four times more women than men have said that now is a bad time to take risks on the personal finance front.
- More ambitious – This is what actually helps a business along when the person heading it is far-sighted and ambitious. More women than men on jobs rather than with a business of their own or a website say that they would be interested in starting their own venture in the next three years, almost two-third more in numbers in fact. The size and scale is not important, it might be something as simple as mattress cleaning in Melbourne for a start and then taking it progressively up from there. For those women and men already running their own business, 47% of women would like to diversify or start another compared to 18% of men.
- Value relationships more – It has been seen that women entrepreneurs give a lot of thought and value to the welfare of the employees. In personal life too, most women will choose family over business but this is not to deduce that women are not hardnosed business persons. It is that they would always prefer to carry the team along towards attaining company goals through motivation and sops. For men, the focus is more on first building the business that will support and sustain the family down the line. But sadly, by the time the business is firmly established, the family would have moved on. Not so with women entrepreneurs who seem to have their priorities perfectly in place.
In the final analysis, there is no clear cut loser or winner in the contest in entrepreneurial capability between men and women. It is just that women are finding their feet in the business environment and seem to be making a better job of it.