Financial Literacy among Women: An Analysis of the Etikoppaka Toy Industry

Abstract

Numerous scholarly works have thoroughly investigated the disparity in financial risk-taking between genders. It has been observed that women exhibit a lower propensity to invest in high-risk financial assets, which can be attributed to their relatively slower accumulation of wealth over an extended period of time. It aims to understand how financial literacy can enhance women's economic empowerment and independence. The research delves into the imperative need for financial literacy among women in the two-centuries-old Etikoppaka handloom industry. It explores their socio-economic transition within the internationally acclaimed toy industry of Etikoppaka in India. The study focuses on the Etikoppaka handloom industry, comprising two categories of women: formal employees earning wages and informal workers supporting their husbands without monetary compensation. An exploratory research design was applied to arrive at the inferences. Data is collected from 40 females actively engaged in the toy industry, supplemented by two focus group discussions with stakeholders. The data was analyzed using two financial models, i.e., Organization for Economic Co-operation and Development, 2011 (OECD) basic principles of money. Financial literacy is crucial for women's empowerment in the Etikoppaka handloom industry. Formal sector women have better understanding of financial concepts than informal sector women. Customized programs that consider local culture and involvement of civil society organizations and grassroots initiatives are necessary for positive economic outcomes. This study's outcomes have significant implications for policymakers, industry leaders, and civil society organizations working towards women's economic development in the handloom industry.