Abstract

This paper summarizes the impact of challenges within the scientific discussion on the issue of female entrepreneurship in Malaysia. In 67 countries of the world, approximately 126 millions of women have started a new business, and 98 millions of women are developing the already established businesses starting from 2012. However, the proportion of female entrepreneurs in general ranges from 1% to 40% in different countries around the world depending on the economic development, so the impact of women entrepreneurship on innovation and job creation is especially significant for developing countries, in particular for Malaysia. Throughout Malaysia’s economic reforms, the small and medium business has played an important role in the growth of the economy of this country, the total number of Malaysian entrepreneurs is steadily increasing, and the government is implementing a significant number of entrepreneurship initiatives, although the number of women entrepreneurs in Malaysia is still lower than that of men entrepreneurs. The basis of the study was a highly structured method of deduction – the theoretical generalizations and the systematization of scientific developments of the researchers from different countries of the world formed the basis for the development of the hypothesis, and empirical studies were aimed at testing this hypothesis, explaining the causal relationships between the variables. The data for this study have been collected from a sample of 300 respondents, of which 120 are men, and 180 are women. The results of an empirical analysis of the survey data allowed to distinguish four main categories of factors that slow down the development of female entrepreneurship in Malaysia, namely resource, personal, economic, political, and cultural. Through the use of the regression analysis, the effect of all these factors (independent variables) on the growth of value added from the business carried out by the female entrepreneurs (dependent variable) was investigated in the article. The calculations showed that the correlation coefficient is 0.79, and the determination coefficient is 0.62. Testing the model for adequacy with t-statistics and p-value showed the significant impact of independent variables on the dependent one, which allows us to consider the proposed hypothesis to be confirmed. The results of the research can be useful for government officials, local authorities and entrepreneurs, not only in Malaysia but also in other countries.

Keywords: entrepreneurship, entrepreneurs, female entrepreneurs, Malaysia, challenges for female entrepreneurs.

JEL Classification: M10, L26, J16.

Cite as: Hossain, J., Jahangir, N., Nur-Al-Ahad, Md. (2018). A Study on Female Entrepreneurs in Malaysia. Business Ethics and Leadership, 2(3), 67-73. DOI: 10.21272/bel.2(3).67-73.2018

References

1. Bates, T. (2002). Restricted access to markets characterizes women-owned businesses. Journal of Business Venturing, 17(4), 313-324. http://dx.doi.org/10.1016/s0883-9026 (00)00066-5.
2. Bjerke, B. (2010). Entrepreneurship, space, and place. Book, pp. 50-60.
3. College, B. (2016). Reports | Global Entrepreneurship Monitor | Babson College. Babson.edu. Retrieved 2 March 2016. Retrieved from http://www.babson.edu/Academics/centers/blank-center/global-research/gem/pages/reports.aspx.
4. Coulter, M. (2001). Entrepreneurship in action. Upper Saddle River, N.J.: Prentice Hall.
5. Dolles, H., and Babo, M. (2003). The development of Entrepreneurship in Transitional Economies: The Perspective of Chinese and South African Entrepreneurs, Working paper: Deutsches Institut für Japanstudien. Vol. 20.
6. Flannery, R. (2015). Forbes Welcome. Forbes.com. Retrieved 2 April 2016. Retrieved from http://www.forbes.com/sites/russellflannery/2013/04/04/solitary-woman/.
7. Johnson, P. & Clark, M. (2006). Business and management research methodologies. London: SAGE.
8. Kelley, D.J., Brush, C.G., Greene, P.G., & Litovsky, Y. (2013). Global Entrepreneurship Monitor: 2012 Women’s Report. Boston: The Center for Women’s Leadership at Babson College and London Business School.
9. Kitching, B. & Jackson, P. (2002). Female entrepreneurs in a transitional economy: Businesswomen in China. The International Journal of Entrepreneurship and Innovation, 3(2), 145-155. Available at: http://dx.doi.org/10.5367/000000002101299132.
10. Kuratko, D. & Hodgetts, R. (2004). Entrepreneurship. Mason, Ohio: Thomson/South-Western.
11. Low, M. (1988). Entrepreneurship: Past Research and Future Challenges. Journal of Management, 14(2), 139-161. Available at: http://dx.doi.org/10.1177/014920638801400202.
12. Ming Yen Teoh, W. & Choy Chong, S. (2014). Towards strengthening the development of women entrepreneurship in Malaysia. Gender in Mgmt: Int J, 29(7), 432-453. Available at: http://dx.doi.org/10.1108/gm-10-2013-0122.
13. Moghavvemi, S. & Akma Mohd Salleh, N. (2014). Malaysian entrepreneurs’ propensity to use IT innovation. Journal of Ent. Info Management, 27(2), 139-157. Available at: http://dx.doi.org/10.1108/jeim-05-2012-0026.
14. Muravyev, A., Talavera, O., & Schäfer, D. (2009). Entrepreneurs’ gender and financial constraints: Evidence from international data. Journal of Comparative Economics, 37(2), 270-286. Available at: http://dx.doi.org/10.1016/j.jce.2008.12.001.
15. Ramadani, V., Hisrich, R.D., Gerguri, S. (2015). Female entrepreneurs in transition economies: Insights from Albania, Macedonia and Kosovo. World Review and Entrepreneurship, Management and Sustainable Development, 11(4), 391-413.
16. Saunders, M., Lewis, P., & Thornhill, A. (2003). Research methods for business students. Harlow, England: Prentice Hall.
17. Shane, S. (2003). A general theory of entrepreneurship. Cheltenham, UK: E. Elgar.
18. Timmons, J. (1999). New venture creation. Boston: Irwin/McGraw-Hill.