A Generational Approach to Female Entrepreneurship in Europe
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Dec 26, 2017
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Abstract
Female entrepreneurship is still a limited phenomenon in European countries and its promotion ranks high on the EU policy agenda. Various frameworks have been offered to explain the main structural differences in entrepreneurship between men and women, emphasizing a variety of underlying factors. With a novel approach, this paper argues that due to a process of generation renewal the numerical difference between male and female entrepreneurship will diminish. Generation replacement is seen by sociologists and other social scientists as the motor behind cultural renewal. Our core interest in this paper in developing such a dynamic interpretation within the European context is the role of different generations (Silent Generation, Babyboomers, Generation X, Millennials). Younger cohorts of females are hypothesized to be more pro entrepreneurship and pro self-employment both in terms of attitudes, intentions, and behaviors, compared to older cohorts. They are furthermore assumed to converge with their male generation members in this regard. This paper empirically tests these two hypotheses by analyzing multi cross-sectional European data from the Eurobarometer over a span of thirty-five years (1980-2015). Results show that this generational approach sheds new light on explaining trends in female entrepreneurship. We find evidence of an increased growth in female entrepreneurship that can be attributed to generation replacement. This rise in total female entrepreneurship is characterized by diversity among European countries in the study. Positive attitudes toward entrepreneurship are essential to considering future self-employment. Education is a key factor. Female entrepreneurship, it is predicted, will become more prominent in Europe.
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References
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[40] Harun, S. & M. Pruett (2014). Nascent entrepreneurs: gender, culture, and perceptions. Journal of Women’s Entrepreneurship and Education. 3-4: 1-21.
[41] Hegewisch, A. & J.C. Gornick (2011). The impact of work-family policies on women’s employment: A review of research from OECD countries. Community, Work & Family 14, 2: 119-138.
[42] Henley, A. (2015). The post crisis growth in the self-employed: Volunteers or reluctant recruits? Bonn: Institute for the Study of Labor (IZA), Discussion Paper No. 9232.
[43] Howe, N. & W. Strauss (2000). Millennials Rising. The Next Great Generation. New York: Vintage Books.
[44] Hughes, K.D. & J.E. Jennings (Eds.) (2012). Global Women’s Entrepreneurship Research. Diverse Settings, Questions and Approaches. Cheltenham: Edward Elgar.
[45] Inglehart, R. (1990). Culture Shift in Advanced Industrial Society. Princeton: Princeton University Press.
[46] Inglehart, R. (1997). Modernization and Postmodernization. Cultural, Economic and Political Change in 43 Societies. Princeton: Princeton University Press.
[47] Inglehart, R. & P. Norris (2003). Rising Tide. Gender Equality and Cultural Change around the World. New York & Cambridge: Cambridge University Press.
[48] Jennings, J.E. & M.S. McDougald (2007). Work-family interface experiences and coping strategies: Implications for entrepreneurship research and practice. Academy of Management Review, 32, 3: 747-760.
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[50] Klyver, K. & S. Grant (2010). Gender differences in entrepreneurial networking and participation. International Journal of Gender and Entrepreneurship 2, 3: 213-227.
[51] Lewis, P. (2006). The quest for invisibility: Female entrepreneurs and the masculine norm of entrepreneurship. Gender, Work and Organization 13: 453-469.
[52] Lewis, K.V., Henry, C., Gatewood, E.J. & J. Watson (Eds.) (2014). Women’s Entrepreneurship in the 21st Century. An International Multi-Level Research Analysis. Cheltenham: Edward Elgar.
[53] Margolis, D.N. (2014). By choice and by necessity: Entrepreneurship and self-employment in the developing world. European Journal of Development Research 26, 4: 419-436.
[54] Mazzarol, T., Volery, T., Doss, N. & V. Thein (1999). Factors influencing small business start-ups. International Journal of Entrepreneurial Behavior and Research 5, 2: 48-63.
[55] Minniti, M. & W. Naudé (2010). What do we know about the patterns and determinants of female entrepreneurship across countries? European Journal of Development Research, 22, 3: 27-293.
[56] Moore, G.A. (2014). Crossing the Chasm. Marketing and Selling Disruptive Products to Mainstream Customers. New York: Harper Business. 3rd Edition.
[57] OECD (2004). Women’s entrepreneurship: Issues and policies. Background paper 2ND OECD conference of ministers responsible for small and median-sized enterprises (SMEs). Promoting entrepreneurship and innovative SMEs in a global economy: towards a more responsible and inclusive globalization. Istanbul: Turkey, June 3-5, 2004.
[58] OECD (2015) OECD Skills Outlook 2015: Youth Skills and Employability. Paris: OECD Publishing.
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[62] Patrick, C., Stephens, H. & A. Weinstein (2016). Where are all the self-employed women? Push and pull factors influencing female labor market decisions. Small Business Economics 46, 3: 365-390.
[63] Piacentini, M. (2013). Women entrepreneurs in the OECD: Key evidence and policy challenges. OECD Social, Employment and Migration Working Papers, No. 147, OECD Publishing.
[64] Román, A. (2006). Deviating from the standard: Effects on labor continuity and career patterns. Amsterdam: Dutch University Press.
[65] Sanchez, J. & O Licciardello (2012). Gender differences and attitudes in entrepreneurial intentions: The role of career choice. Journal of Women’s Entrepreneurship and Education 1-2: 7-27.
[66] Scarpetta, S., Sonnet, A. & T. Manfredi (2010). Rising youth unemployment during the crisis: How to prevent negative long-term consequences of a generation. OECD Social, Employment and Migration Working Papers, No. 106, OECD Publishing.
[67] Schaufeld, J. (2015). Commercializing Innovation. Turning Technology Breakthroughs into Products. New York: Apress.
[68] Sexton, D & N. Bowman-Upton (1990). Female and male entrepreneurs: Psychological characteristics and their role in gender related discrimination. Journal of Business Venturing 36, 3: 29-36.
[69] Shaw, E., Cater, S. & J. Brierton (2001). Unequal entrepreneurs: Why female enterprise is an uphill business. London: The Industrial Society Policy report.
[70] Shinnar, R.S., Giacomin, O. & F. Janssen (2012). Entrepreneurial perceptions and intentions: The role of gender and culture. Entrepreneurship Theory and Practice 36, 3: 465-493.
[71] Špigel, I. (2015). The European Startup Revolution. Zagreb: e-book.
[72] Van Bommel, M., Ester, P. & H. Vinken (1995). The future of young generations. A com¬parative trend study among the cultural seismographs of Western societies. Til¬burg/Eindhoven: IVA/HBRC Philips Corpora¬te Design.
[73] Van den Broek, A. (2006). Politics and Generations. Cohort Replacement and Generation Formation in Political Culture in the Netherlands. Tilburg: Tilburg University Press.
[74] Welter, F., Brush, C.G. & A. De Bruin (2014). The gendering of entrepreneurship context. Bonn: Institut für Mittelstandsforschung (IfM), 2014.
[2] Aldrich, H.E. & J. Cliff (2003). The pervasive effects of family on entrepreneurship: Toward a family embeddedness perspective. Journal of Business Venturing. 18: 573-596.
[3] Arum, R. & W. Müller (Eds.) (2004). The Reemergence of Self-employment: A Comparative Study of Self-employment Dynamics and Social Inequality. New Haven: Princeton University Press.
[4] Boyd, D. (2014). It’s Complicated: The Social Lives of Networked Teens. New Haven: Yale University Press.
[5] Boyd, D. & J. Goldenberg (2013). Inside the Box: A proven System of Creativity for Breakthrough Results. London: Profile Books.
[6] Braungart, R.G. & M.M. Braungart (1989). Political generations. Research in Political Psychology 4: 281-319.
[7] Brush, C.G. (2009). Women entrepreneurs: A research overview. In: Casson, M., Yeung, B., Basu, A. & N. Wadeson (Eds.) (2009). The Oxford Handbook of Entrepreneurship. Oxford/New York: Oxford University Press, 611-628.
[8] Brush, C.G., Greene, P.G., Balachandra, L. & A.E. Davis (2014). Diana Report. Women Entrepreneurs 2014: Bridging the gender gap in venture capital. Arthur M. Blank Center for Entrepreneurship, Babson College.
[9] Brush, C.G., Carter, N.M., Gatewood, E.J., Greene, P.G. & M.M. Hart (Eds.) (2004). Clearing the Hurdles. Women Building High-Growth Businesses. Upper Saddle River, NJ: Financial Times Prentice Hall.
[10] Brush, C.G., Carter, N.M., Gatewood, E.J., Greene, P.G. & M.M. Hart (Eds.) (2006). Women and Entrepreneurship: Contemporary Classics. Cheltenham: Edward Elgar.
[11] Brush, C.G., Carter, N.M., Gatewood, E.J., Greene, P.G. & M.M. Hart (Eds.) (2007). Growth-oriented Women Entrepreneurs and their Business. A Global Research Perspective. Cheltenham: Edward Elgar.
[12] Burns, P. (2014). New Venture Creation. A Framework for Entrepreneurial Start-Ups. Basingstoke: Palgrave MacMillan.
[13] Buttner, E.H. & B. Rosen (1989). Funding new businesses ventures: Are decision makers biased against women entrepreneurs? Journal of Business Venturing 4, 249-261.
[14] Casson, M., Yeung, B., Basu, A. & N. Wadeson (Eds.) (2009). The Oxford Handbook of Entrepreneurship. Oxford/New York: Oxford University Press.
[15] Coleman, S. (2000). Access to capital and terms of credit: A comparison of men- and women-owned small businesses. Journal of Small Business Management 38, 3: 37-52.
[16] Coleman, S. & A.M. Robb (2012). A Rising Tide. Financing Strategies for Women-owned Firms. Palo Alto: Stanford University Press.
[17] Cörvers, F., R. Euwals & D. de Grip (2011). Labour Market Flexibility in the Netherlands. The Hague: CPB Netherlands Bureau for Economic Policy Analysis; Maastricht: Maastricht University, Research Centre for Education and the Labour Market (ROA).
[18] CPB (2014). The Dutch Labour Market during the Great Recession. CPB Netherlands Bureau for Economic Policy Analysis.
[19] Dawson, C., Henley, A, & P. Latreille (2009). Why do individuals choose self-employment? Bonn: Institute for the Study of Labor (IZA), Discussion Paper No. 3974.
[20] Dawson, C., Fuller-Love, N., E. Sinnot & W. O’Gorman (2011). Entrepreneur’s perception of business networks. The International Journal of Entrepreneurship and Innovation 12, 4: 271-281.
[21] Diepstraten, I., Du Bois-Reymond, M. & H. Vinken (2006). Trendsetting biographies: Concepts of navigating through late-modern life and learning. Journal of Youth Studies 9, 2: 175-193.
[22] Diepstraten, I., Ester, P. & H. Vinken (1999). Mijn Generatie. Zelfbeelden, Jeugdervaringen en Lotgevallen van Generaties in de Twintigste Eeuw. Tilburg: Tilburg University Press.
[23] Drucker, P.F. (1993). Innovation and Entrepreneurship: Practice and Principles. New York: HarperBusiness.
[24] Du Bois-Reymond, M. & M. Oechsle (Hrsg.) (1990). Neue Jugendbiographie? Zum Strukturwandel der Jugendphase. Opladen: Leske + Budrich.
[25] Eastwood, T. (2004). Women entrepreneurs – Issues and barriers. A regional, national, and international perspective. St Albans: Examples.
[26] Eckel, C.C. & P.J. Grossman (2008). Men, women, and risk aversion: Experimental evidence. In C. Plott & V. Smith, Handbook of Experimental Economic Results, 1061-1073. Amsterdam: North-Holland/Elsevier.
[27] EIPA (European Institute of Public Administration) Working Paper 2012/W/01 The impact of demographic change and its challenges for the workforce in the European public sectors.
[28] Ester, P. & A. Maas (2016). Silicon Valley: Planet Startup. Disruptive Innovation, Passionate Entrepreneurship & Hightech Startups. Amsterdam: Amsterdam University Press.
[29] Ester, P., Braun, M. & P. Mohler (Eds.) (2006). Globalization, Value Change, and Generations. A Cross-National Intergenerational Perspective. Leiden/Boston: Brill.
[30] Ester, P., Halman, L. & R. de Moor (Eds,) (1993). The Individualizing Society. Value Change in Europe and North America. Tilburg: Tilburg University Press.
[31] Ester, P., Muffels, R. & J. Schippers (Eds.) (2006). Dynamiek en levensloop. De Arbeidsmarkt in Transitie. Assen: van Gorcum.
[32] Ester, P., Vinken, H. & I. Diepstraten (2008). Mijn Generatie, Tien Jaar Later. Genereatiebesef, Jeugdervaringen en Levenslopen in Nederland. Amsterdam: Rozenberg Publishers.
[33] European Commission (2008). DG Enterprise and Industry. Promotion of women innovators and entrepreneurs. Final Report. Submitted by the EEC (GHK, Technopolis).
[34] Eurobarometer (2012). Entrepreneurship in the EU and beyond. Flash Eurobarometer 354.
[35] Ferreira, S. & J. Kleinert (2015). 2 Billion under 20. How Millennials are Breaking Down Age Barriers and Changing the World. New York: St. Martin’s Press.
[36] Goffee, R. & Scase, R. (1987) Entrepreneurship in Europe. The Social Processesses. Kent: Croom Helm.
[37] Greene, F. (2012). Background briefing paper for OECD on youth entrepreneurship, OECD Local Economic and Employment Development Programme, Paris.
[38] Gupta, P. (2007). Business Innovation in the 21st Century. A Comprehensive Approach to Institutionalize Business Innovation. New York: BookSurge Publishers.
[39] Gupta, V.K., Turban, D., Wasti, S.A. & A. Sikdar (2005). Entrepreneurship and stereotypes: Are entrepreneurs from Mars and from Venus? Academy of Management Proceedings, PC1-C6.
[40] Harun, S. & M. Pruett (2014). Nascent entrepreneurs: gender, culture, and perceptions. Journal of Women’s Entrepreneurship and Education. 3-4: 1-21.
[41] Hegewisch, A. & J.C. Gornick (2011). The impact of work-family policies on women’s employment: A review of research from OECD countries. Community, Work & Family 14, 2: 119-138.
[42] Henley, A. (2015). The post crisis growth in the self-employed: Volunteers or reluctant recruits? Bonn: Institute for the Study of Labor (IZA), Discussion Paper No. 9232.
[43] Howe, N. & W. Strauss (2000). Millennials Rising. The Next Great Generation. New York: Vintage Books.
[44] Hughes, K.D. & J.E. Jennings (Eds.) (2012). Global Women’s Entrepreneurship Research. Diverse Settings, Questions and Approaches. Cheltenham: Edward Elgar.
[45] Inglehart, R. (1990). Culture Shift in Advanced Industrial Society. Princeton: Princeton University Press.
[46] Inglehart, R. (1997). Modernization and Postmodernization. Cultural, Economic and Political Change in 43 Societies. Princeton: Princeton University Press.
[47] Inglehart, R. & P. Norris (2003). Rising Tide. Gender Equality and Cultural Change around the World. New York & Cambridge: Cambridge University Press.
[48] Jennings, J.E. & M.S. McDougald (2007). Work-family interface experiences and coping strategies: Implications for entrepreneurship research and practice. Academy of Management Review, 32, 3: 747-760.
[49] Kelley, D., Brush, C.G., Greene, P.G., Herrington, M., Ali, A. & P. Kew (2015) GEM special report: Women’s entrepreneurship. Global Entrepreneurship Monitor.
[50] Klyver, K. & S. Grant (2010). Gender differences in entrepreneurial networking and participation. International Journal of Gender and Entrepreneurship 2, 3: 213-227.
[51] Lewis, P. (2006). The quest for invisibility: Female entrepreneurs and the masculine norm of entrepreneurship. Gender, Work and Organization 13: 453-469.
[52] Lewis, K.V., Henry, C., Gatewood, E.J. & J. Watson (Eds.) (2014). Women’s Entrepreneurship in the 21st Century. An International Multi-Level Research Analysis. Cheltenham: Edward Elgar.
[53] Margolis, D.N. (2014). By choice and by necessity: Entrepreneurship and self-employment in the developing world. European Journal of Development Research 26, 4: 419-436.
[54] Mazzarol, T., Volery, T., Doss, N. & V. Thein (1999). Factors influencing small business start-ups. International Journal of Entrepreneurial Behavior and Research 5, 2: 48-63.
[55] Minniti, M. & W. Naudé (2010). What do we know about the patterns and determinants of female entrepreneurship across countries? European Journal of Development Research, 22, 3: 27-293.
[56] Moore, G.A. (2014). Crossing the Chasm. Marketing and Selling Disruptive Products to Mainstream Customers. New York: Harper Business. 3rd Edition.
[57] OECD (2004). Women’s entrepreneurship: Issues and policies. Background paper 2ND OECD conference of ministers responsible for small and median-sized enterprises (SMEs). Promoting entrepreneurship and innovative SMEs in a global economy: towards a more responsible and inclusive globalization. Istanbul: Turkey, June 3-5, 2004.
[58] OECD (2015) OECD Skills Outlook 2015: Youth Skills and Employability. Paris: OECD Publishing.
[59] OECD/European Commission (2012). Policy brief youth entrepreneurship – Entrepreneurial activities in Europe. Luxembourg: Publications Office of the European Union.
[60] Palfrey, J. & U. Gasser (2008). Born Digital: Understanding the First Generation of Digital Natives. New York: Basic Books.
[61] Parrotta, P. & N. Smith (2013). Female-led firms: Performance and risk attitudes. Bonn: Institute for the Study of Labor (IZA), Discussion Paper No. 7613.
[62] Patrick, C., Stephens, H. & A. Weinstein (2016). Where are all the self-employed women? Push and pull factors influencing female labor market decisions. Small Business Economics 46, 3: 365-390.
[63] Piacentini, M. (2013). Women entrepreneurs in the OECD: Key evidence and policy challenges. OECD Social, Employment and Migration Working Papers, No. 147, OECD Publishing.
[64] Román, A. (2006). Deviating from the standard: Effects on labor continuity and career patterns. Amsterdam: Dutch University Press.
[65] Sanchez, J. & O Licciardello (2012). Gender differences and attitudes in entrepreneurial intentions: The role of career choice. Journal of Women’s Entrepreneurship and Education 1-2: 7-27.
[66] Scarpetta, S., Sonnet, A. & T. Manfredi (2010). Rising youth unemployment during the crisis: How to prevent negative long-term consequences of a generation. OECD Social, Employment and Migration Working Papers, No. 106, OECD Publishing.
[67] Schaufeld, J. (2015). Commercializing Innovation. Turning Technology Breakthroughs into Products. New York: Apress.
[68] Sexton, D & N. Bowman-Upton (1990). Female and male entrepreneurs: Psychological characteristics and their role in gender related discrimination. Journal of Business Venturing 36, 3: 29-36.
[69] Shaw, E., Cater, S. & J. Brierton (2001). Unequal entrepreneurs: Why female enterprise is an uphill business. London: The Industrial Society Policy report.
[70] Shinnar, R.S., Giacomin, O. & F. Janssen (2012). Entrepreneurial perceptions and intentions: The role of gender and culture. Entrepreneurship Theory and Practice 36, 3: 465-493.
[71] Špigel, I. (2015). The European Startup Revolution. Zagreb: e-book.
[72] Van Bommel, M., Ester, P. & H. Vinken (1995). The future of young generations. A com¬parative trend study among the cultural seismographs of Western societies. Til¬burg/Eindhoven: IVA/HBRC Philips Corpora¬te Design.
[73] Van den Broek, A. (2006). Politics and Generations. Cohort Replacement and Generation Formation in Political Culture in the Netherlands. Tilburg: Tilburg University Press.
[74] Welter, F., Brush, C.G. & A. De Bruin (2014). The gendering of entrepreneurship context. Bonn: Institut für Mittelstandsforschung (IfM), 2014.