Challenges and Problems faced by Women Entrepreneurs in India
Some of the challenges and problems faced by women entrepreneurs are discussed below.
1. Family restriction: Women are expected to spend more time with their family members. They do not encourage women to travel extensively for exploiting business opportunities.
2. Lack of Finance: Family members do not encourage women entrepreneurs. They hesitate to invest money in the business venture initiated by women entrepreneurs. Bank and other Financial Institutions do not consider Middle Class Women Entrepreneurs as proper applicants for setting up their projects and they are hesitant to provide financial assistance to unmarried women or girls as they are unsure as to who will repay the loan — Either their parents or in-laws after their marriage. This humiliates unmarried women and they generally leave the idea of setting up their ventures.
For example, Kiran Mazumdar Shaw initially faced many problems regarding funds for her business. Banks were hesitant to give loan to her as biotechnology was a totally new field at that point of time and she was a woman entrepreneur, which was a rare phenomenon.
3. Lack of Education: Women are generally denied of higher education, especially in rural areas and under developed countries. Women are not allowed to enrich their knowledge in technical and research areas to introduce new products.
4. Role Conflict: Marriage and family life are given more importance than career and social life in Indian society.
5. Unfavorable Environment: The society is dominated by males. Many business men are not interested to have business relationship with women entrepreneurs. Male generally do not encourage women entrepreneurs.
6. Lack of persistent Nature: Women generally have sympathy for others. They are very emotional. This nature should not allow them to get easily cheated in business.
7. Lack of Mental strength: Business involves risk. Women entrepreneurs get upset very easily when loss arises in business.
8. Lack of Information: Women entrepreneurs are not generally aware of the subsidies and incentives available for them. Lack of knowledge may prevent them from availing the special schemes.
9. Stiff Competition: Women face lot of competition from men. Due to limited mobility they find difficult to compete with men.
10. Mobility: Moving in and around the market, is again a tough job for Middle Class Women Entrepreneurs in Indian Social system.
Some of the remedial measures that can be undertaken to promote women entrepreneurship in India, are as follows.
1. Promotional Help: Government and NGOs must provide assistance to entrepreneurs, both in financial and non financial areas.
2. Training: Women entrepreneurs must be given training to operate and run a business successfully. Training has to be given to women who are still reluctant to take up the entrepreneurial task.
3. Selection of Machinery and Technology: Women require assistance in selection of machinery and technology. Assistance must be provided to them in technical areas so that the business unit become successful.
4. Finance: Finance is one of the major problems faced by women entrepreneurs. Both family and government organizations should be liberal in providing financial assistance to them.
5. Marketing Assistance: Due to limited mobility, women are unable to market their goods. Assistance must be provided to help them to market their goods successfully in the economic environment.
6. Family support: Family should support women entrepreneurs and encourage them to establish and run business successfully.