ANNEXURE - III
Proposed Research Work
(i) Project Title : Role of Micro Finance in Women Empowerment ii. Introduction
Women Entrepreneurs plays an important role in boosting the Indian economy system. The development of the business sector may be an indicator of a predictable legal structure and a prosperous economy. Entrepreneurship development for women is an important factor in economic development of India. Women entrepreneurs in India are handicapped in the matter of organizing and running businesses on account of their generally low levels of skills and for want of support system. The transition from homemaker to sophisticated business woman is not that easy. But the trend is changing. Women across India are showing an interest to be economically independent. Women are coming forth to the business arena with ideas to start small and medium enterprises. They are willing to be inspired by role models- the experience of other women in the business arena. Micro finance is emerging as a powerful instrument for poverty alleviation, employment generation and empowerment of women folk. In India Microfinance for women is mainly group
–
based assuming that bringing women together in groups will be more empowering than the individual lending. Many successful women forums and organizations are trying to bring rural women together for development of women folk
like Working Women’s Forum (WWF), Self
-
Employed Women’s Association (SEWA),
etc..
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Origin of the research problem:
Women
entrepreneur’s
explore the prospects of starting a new enterprise; undertake risks, introduction of new innovations, coordinate administration & control of business & providing effective leadership in all aspects of business and have proved their footage in the male dominated business arena. Entrepreneurship amongst women is a relatively recent phenomenon, which is gradually changing with the growing sensitivity of the roles, responsibilities and economic status of women in the society in general and family in particular. At the same time, it is also recognized that their challenges are
immense and complex. For women entrepreneurs, starting and operating a business involves considerable risks and difficulties, because in the Indian social environment women has always lived as subordinate to men. There have been noticeable changes in the socio-psycho-cultural and economic norms of our society due to liberalized policy of the government of India, increase in the education levels of women and increased social awareness in respect of the role women plays in the society. It has now been recognized that to promote self-employment and to reduce the incidence of poverty, some drastic efforts have to be made to accelerate self- employment of women in various sectors.
“Women Entrepreneurship” means an act of business ownership and business
creation that empowers women economically increases their economic strength as well as position in society.
According to
Kamala Singh,
“A women entrepreneur is a confident, innovative
and creative woman capable of achieving economic independence individually or in collaboration generates employment opportunities for others through initiating establishing and running an enterprise by keeping pace with her
personal, family and social life”.
In the words of
Former President APJ Abdul Kalam
"empowering women is a prerequisite for creating a good nation, when women are empowered, society with stability is assured. Empowerment of women is essential as their thoughts and their value systems lead to the development of a good family, good society and ultimately a good nation."
Khanka (2002)
referred to women entrepreneurs as those who innovate, imitate or adopt a business activity. Given that entrepreneurship is the set of activities performed by an entrepreneur, it could be argued that being an entrepreneur precedes entrepreneurship. In any case, the entrepreneurial definitions described above highlight the aspects of risk-taking, innovating and resource organizing.
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Interdisciplinary relevance:
Women Entrepreneurs plays an important role in boosting the Indian economy system. The development of the business sector may be an indicator of a predictable legal structure and a prosperous economy. Microfinance is an efficient tool to fight against poverty, but also as a means of promoting the empowerment of the most marginalized sections of the population, especially
women. Entrepreneurship is a form of human resource and entrepreneurial behavior depends on a number of factors like skill, knowledge of the ent erprise, risk taking ability, achievement motivation, exposure to mass media, trainings received, and moreover, with innovativeness of the entrepreneur. Entrepreneurial behavior can be attributed as the change in knowledge, skills and attitude of entrepreneurs in the enterprise they have taken up. Women have been starting businesses at a higher rate than men for the last 20 years and tend to create home- based micro (less than 5 employees) and small businesses. Women will create over half of the 9.72 million new small business jobs expected to be created by 2018 and more and more are doing this from home offices across the country.
It‟s a surprising statistic, especially considering that women
-owned businesses only created 16 percent of total U.S. jobs that existed in 2010. There is evidence of significant potential for micro-finance to enable women to challenge and change gender inequalities at all levels if there is a strategic gender focus. There have also been many important recent innovations in products and services to enable women to better benefit. Nevertheless benefits cannot be assumed and even financially sustainable micro - finance if it is gender blind may seriously disempowering women and increase inequality. These are (i) official definition of microfinance, (ii) ensuring the microfinance services, (iii) approach to subsidy, (iv) banking policies, (v) management information system and (vi) legislation processes. Today
’
s women are taking more and more professional and technical degrees to cope up with market need and are flourishing as designers, interior decorators, exporters, publishers, garment manufacturers and still exploring new avenues of economic participation. It is perhaps for these reasons that Gover
nment Bodies, NGO‟s, Social Scientists,
Researchers and International Agencies have started showing interest in the issues related to entrepreneurship among women in India. Women Entrepreneurs may be defined as the women or group of women who initiate, organize and co-operate a business enterprise. Government of India has defined women entrepreneurs as an enterprise owned and controlled by a woman having a minimum financial interest of 51% of the capital and giving at least 51% of employment generated in the enterprise to women.
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Review of Research and Development in the Subject: International status
Microfinance programs target women with the explicit goal of empowering them. Whereas, other believe that investing in women
’
s capabilities empowers them to make choices which is a valuable goal in itself but it also contributes to greater economic growth and development. Microfinance is being promoted as an entry point in the context of a wider strategy for women
’
s economic and sociopolitical empowerment, which focuses on gender awareness.
(Kessey, 2005).
Ranjula Bali Swaina and Fan Yang Wallentin (September 2009)
in their article „Does
microfinance empower women? Evidence from self-
help groups in India‟
concluded that their study strongly indicate that SHG members are empowered by participating in microfinance program in the sense that they have a greater propensity to resist existing gender norms and culture that restrict their ability to develop and make choices. Knowledge of latest technological changes, know how, and education level of the person are significant factor that affect business. The literacy rate of women in India is found at low level compared to male population. Many women in developing nations lack the education needed to spur successful entrepreneurship. They are ignorant of new technologies or unskilled in their use, and often unable to do research and gain the necessary training
(UNIDO, 1995b, p.1).
Although great advances are being made in technology, many women's illiteracy, structural difficulties, and lack of access to technical training prevent the technology from being beneficial or even available to females ("Women Entrepreneurs in Poorest Countries," 2001). According to The Economist, this lack of knowledge and the continuing treatment of women as second-class citizens keep them in a pervasive cycle of poverty
("The Female Poverty Trap," 2001).
The studies indicates that uneducated women do not have the knowledge of measurement and basic accounting.
National Status
Women have gradually been changing with the sensitivity to their role and economic status in the society. Women are increasingly being conscious of their