Factors influencing women entrepreneurs’ performance in SMEs

Abstract

Purpose This paper aims at contributing to the entrepreneurship literature by identifying factors influencing women entrepreneurs’ performance and the corresponding challenges in small and medium enterprises (SMEs). The study also examines the opportunity recognition as a mediator between influencing factors and performance of women entrepreneurs. Design/methodology/approach The study proposes a model that shows the effects of different internal and external factors on women entrepreneurs’ performance. Findings The paper demonstrates several challenges that are encountered by women entrepreneurs such as lack of access to financial resources, difficulty in finding qualified labors, work-home conflict and low profit. The results suggest that the most influencing factor is industry (SMEs) characteristics followed by entrepreneurial goals and motivations, and legal factors. Additionally, opportunity recognition is found to mediate entrepreneurial goals and motivations, and industry characteristics. Research limitations/implications As the study is conducted in Bahrain, it may lack generalization. In future research, it is advisable to expand study factors, use interviews as a research tool and make comparison between women and men entrepreneurial performances. Practical implications The paper can help increase women entrepreneurs’ performance and enable them to make use of the business environment in a more efficient and effective way. Originality/value Although several papers already exist that discuss issues on women entrepreneurs, there has been little research focusing on factors influencing and challenges facing women entrepreneurs, particularly in the Middle East. Our study explores important issues and calls for more research in this domain.