Four Womenabling Numbers You Should Know

At the recent Enterprising Women of the Year annual gathering, I spoke to other members of the Editorial Advisory Board to update them on trends in women’s entrepreneurship around the world. This year, I shared four key numbers that every womenabler should know. Here they are for all of you to know and share as well: infogram4numbers

69

For every 100 male business owners there are around the world, there are only 69 female business owners. (SOURCE: Babson College, 2014 Global Entrepreneurship Monitor Women’s Report, 2015)

392 million

The number of women business owners worldwide. (SOURCE: Womenable calculation based on data from the International Labour Organisation’s 2015 Key Indicators of the Labour Market report)

$285 billion

The estimated gender credit gap in developing economies around the world. (SOURCE: Goldman Sachs Global Markets Institute, Giving credit where it is due, 2014)

$12 (or $28) trillion

The amount that would be added to global GDP if there were economic gender parity among all countries in each region of the world (the ‘best in region’ scenario, totaling $12T) or among all countries worldwide (the ‘full potential’ scenario, totaling $28T). (SOURCE: McKinsey Global Institute, The Power of Parity, 2015)

So, fellow womenablers, keep these four (or five) numbers at the ready. They not only indicate the amount of work we still have to do, but the benefits that will be realized once we approach economic parity. Onward and upward!

14th Annual Global Entrepreneurship Monitor Report Published

The 2012 Global Entrepreneurship Monitor was recently unveiled at an event in Kuala Lumpur, Malaysia (ranked 12th in the world on the ease of doing business in the World Bank’s Doing Business rankings).
GEM2012
This is the 14th year for the unique and impactful international effort. Starting in 1999 with 10 countries, the GEM collaboration now includes 69 world economies accounting for 87% of global GDP.

Of special interest to we womenablers, of course, is the ongoing accounting of the continuing gap in the share of adult females starting and growing businesses compared to their male counterparts. In nearly every region of the world, women are less likely to be starting new enterprises or to own established businesses.

The new report, however, indicates that the gender gap in business ownership has virtually disappeared in sub-Saharan Africa. The gap is widest in the Middle East and North Africa, where men are 2.8 times as likely as women to own a business.

Conversely, according to the new report, there are five countries in which entrepreneurship rates among women are actually higher than among men: Ecuador, Ghana, Nigeria, Panama, and Thailand.

To learn more about the report GEM and this latest effort, read the recent news release, visit the GEM website, or download the report.

Finally, check out the series of special reports on women and entrepreneurship, the most recent of which was published in 2011.

Pearls from New GEM Women’s Report

A new report on trends in women’s entrepreneurship, drawing on the multi-country Global Entrepreneurship Monitor surveys, has just been published by a team of researchers from Babson College. The GEM 2010 Women’s Report draws on data collected from surveys of over 175,000 adults in 59 countries, including 14,000 women business owners.

As in previous GEM women’s reports, the researchers point to a continuing gap in entrepreneurial activity among women compared to men, lower levels of self-confidence among women, and lower levels of growth aspirations among women business owners compared to their male counterparts.

The 59 economies are grouped into three categories (newly-named as of the 2008 GEM study and roughly equivalent to the previous low, moderate, and high income definitions): factor-driven, efficiency-driven, and innovation-driven. However, these categorizations do not seem to impact the gender analysis on many of the key findings:

  • women are found to have smaller, less diverse professional networks than men,
  • in all but one country (Ghana!), women are less likely than men to own businesses, and
  • while internationalization increases with economic development, in all three types of economies women are less likely to trade internationally than men.

One intriguing new analysis contained in this report is a look at entrepreneurship gender gaps over time in the 16 countries that have been included in the GEM consortium for most of the past nine years. It was found that the gender gaps in entrepreneurship rates that had been quite wide in Argentina and Brazil as of 2002 have now virtually disappeared, while – conversely – in China where there had previously been no gender gap in entrepreneurship rates there is now a significant gap, with women now being much less likely than men to own a business.

For more information about the report, and to download a free copy of the 56-page report, CLICK HERE, and for a listing of all five GEM women’s reports published since 2004, CLICK HERE.

The Most Womenabling News of 2010

In our year-end e-newsletter, rather than summarizing the latest womenabling news and providing womenablers everywhere with insights to educate, enlighten and empower your efforts, we’re ending the year by compiling what we feel are the most interesting and relevant activities that have taken place in the field of women’s enterprise development in 2010. Repeated here, and in no particular order, are what we see as the ten most noteworthy trends and events of the year:

  1. The establishment of UN Women: It’s been talked about and touted for a number of years, and this year it finally happened: the merging of heretofore disparate UN activities for and about women into one “super agency” for women: the “UN Entity for Gender Equality and the Empowerment of Women,”  otherwise known as UN Women. This entity will oversee efforts formerly under the purview of the UN’s Division for the Advancement of Women (DAW), International Research and Training Institute for the Advancement of Women (INSTRAW), Office of the Special Adviser on Gender Issues and the Advancement of Women (OSAGI), and the UN Development Fund for Women (UNIFEM). Heading the new combined entity is former Chilean president Michelle Bachelet. What do you need to know about the new agency and how you can engage with it? Read this.
  2. Expansion of women’s empowerment measurements: Where does women’s economic empowerment stand? Some of the most well-known measurements of women’s empowerment include the World Economic Forum’s Global Gender Gap reports, the UN’s GDI and GEM measurements, and the OECD’s Gender, Institutions and Development Data Base. However, all of these include several other measures (including health, education and political participation) as well as economic empowerment and, with respect to the latter, focus on women as workers rather than business owners. There are the Global Entrepreneurship Monitor’s reports on women and entrepreneurship but, sadly, one has not been published since 2007. This year, though, saw the addition of two new kids on the block, and both of these indicators focus entirely on economic empowerment, and specifically on entrepreneurship. They are the Economist Intelligence Unit’s Women’s Economic Opportunity Index, and a new GenderCLIR methodology for BEE assessment from USAID/Booz Allen Hamilton.
  3. A picture’s worth a thousand words: The International Museum of Women launched a powerful online exhibition this year, Economica: Women and the Global Economy. One project within the exhibition is Picturing Power & Potential, a juried photo exhibit which proves the adage and is well worth a look. Bookmark and return to the site as they add to it in the coming year.
  4. Recognition of “The Female Factor” in some media circles, but …: The International Herald Tribune has written a number of compelling articles about women’s empowerment issues this year as a part of their series, “The Female Factor.” And Canada’s Globe and Mail launched a national conversation about Women in Power during Women’s History Month in Canada (October). Despite this nice coverage, however, a recent study, Who Makes the News? The Global Media Monitoring Report 2010, finds that women’s voices and stories – especially about economic issues – are still largely untold in the news media.
  5. Second interval review for MDGs: In 2000, at the United Nations Millennium Summit, 189 world leaders planted an ambitious flag in the ground, agreeing on eight Millennium Development Goals aimed at eliminating world poverty by 2015. (Our favorite: #3, gender equity.) A “second interval” review of the progress being made on meeting those goals was held this year, including the publication of an MDG report and the convening of an MDG summit. The bottom line? Progress is indeed being made, but in many cases is uneven, affecting some populations and not others. Here’s a report card showing some of the details. While this review shows that much remains to be done to meet the 2015 deadline, “It is not in the stars to hold our destiny, but in ourselves.” (William Shakespeare)
  6. Progress stalled for WED in UK: Last year, in our year-end top trends E-newsletter, we noted the implosion of Prowess – the UK’s key advocacy organization for women’s economic empowerment. Well, things have gone from bad to worse in the UK for women’s enterprise development with the election of a   Conservative/Liberal Democrat coalition government. As  feared/expected, one of the new government’s first acts was declaring  that Business Link and Regional Development Agencies would be phased  out, in favor of Local Enterprise Partnerships. It remains to be seen how this will impact focused/tailored business support services such as the women’s business centre pilot programme, but our guess is that it won’t be positive.
  7. A new ED and Chair for NWBC: Another issue we followed with interest last year (though it did not make our top ten list) was stalled activity at the National Women’s Business Council in the wake of the 2008 US presidential election. Well, things are starting to move once again, with the hiring of a new executive director, Dana Lewis, and the appointment of a new chair, Donna James. Filling Council seats and revving up Council activities should commence in 2011. Women’s business advocates in the US are relieved.
  8. Quinquennial census of women-owned firms in the US: Say what you will about the growing hegemony of political and economic power worldwide, the United States still rocks when it comes to measuring the number and economic power of women-owned businesses. The  2007 quinquennial economic census of women-owned firms was published this year. Womenable summarizes the key trends for you in this blogpost.
  9. Progress in procurement: Doing business with the US government is getting easier for women-owned businesses. Finally, after a ten-year wait, a women-owned business procurement program is finally going to be launched by the SBA early next year. Not content to wait for this to happen, late in 2008 Women Impacting Public Policy, with the support of American Express OPEN, launched a “Give Me 5%” initiative (which refers to the gov’t-wide spending goal for women-owned firms) to educate women business owners on how to do business with the federal government. Where do things stand with respect to meeting that 5% goal? Federal spending with women-owned firms stands at 3.7% as of FY2009, up from 2.4% a decade earlier but still well short of the goal.
  10. Making market connections: There are two new initiatives poised to help women business owners globally make significant market connections with another important customer: large corporations. First is WEConnect International, an organization that was founded in 2009 but started to get its sea legs this year with the launch of WEConnect Europe and an event in London this October. WEConnect’s goal is to make it easier for large corporations to find women-owned business suppliers and for women-owned firms to learn how to do business with large corporations. And speaking of large corporations, one of them – Coca-Cola (ranked 404 on Fortune’s Global 500 largest companies) – announced a “reach for the stars” goal at this year’s Clinton Global Initiative conference. Coke’s “5 by 20” project aims to draw 5 million women into its Micro Distribution Center program in Africa and elsewhere by the year 2020.