Understanding MSME-owned women entrepreneurs in Bangladesh: exploring motives, challenges, and success factors

Abstract

This study aims to investigate the motives to start a business, challenges they encountered in running a business, and factors influencing success of the entrepreneurial business of female entrepreneurs in Chittagong, Bangladesh. Data were collected from 167 respondents selected conveniently by conducting a self-administered structured questionnaire survey. The study analysed data through descriptive statistics and statistical significance was determined using t-test. The study drawing on the institutional perspective reveals that unemployment, financial independence, support, means of supporting income, individual freedom, and work-life balance were key motives for women to start new businesses. Further, lack of financing, gender discrimination, lack of managerial skills, fear of failure, lack of training, lack of information, and work-family conflict were found as significant challenges encountered by women to run their businesses. The findings also reveal that more profit and wealth, self-achievement, family support, education, motivation and commitment, gender-neutral environment, significant network, and government support influence entrepreneurial success of women. The study contributes to the literature by extending institutional theory in terms of female entrepreneurial motives, challenges, and success factors in a South-Asian emerging context. Moreover, this study is perhaps the first attempt to offer such findings from institutional perspective in Bangladesh and Chittagong in particular.