Elizabeth J. Gatewood

The use of bootstrapping by women entrepreneurs in positioning for growth

Abstract The number of women entrepreneurs is rising rapidly and many are creating substantial businesses. For most women-led ventures, growth is funded by personal investment and debt, although a small percentage draw on private equity investment to fuel high growth. Of those that seek growth, not only do they face higher obstacles in obtaining capital, but little is known about ways they position ventures for growth. This paper addresses the question: ‘How do women develop financing strategies to prove the business concept, meet early stage milestones, and demonstrate to external investors the value and potential of their businesses?’ Data are drawn from phone interviews with 88 US female entrepreneurs seeking an equity investment to grow their businesses. The analysis examines the correspondence between bootstrapping and stage of business development. Results show significant differences in the use of bootstrap options utilized by women-led ventures depending on stage of business development. Companies that have not achieved sales were more likely to emphasize bootstrapping to reduce labour, while those companies with greater sales were more likely to minimize cost of operations. Implications for future research and education are suggested.

Introduction: The Diana Project International

Small firms drive economic growth. Research in the OECD countries consistently shows that job growth in the entrepreneurial sector is substantially higher than it is among established (corporate) incumbents (Audretsch and Thurik, 2001). More recently, the international buzz about entrepreneurship has become even more pronounced with the explosion of new technology, rise in the availability and use of equity capital and breaking down of economic and trade barriers. The Global Entrepreneurship Monitor (GEM) studies find that entrepreneurship is a central source for employment creation (Reynolds et al., 2001; Acs et al., 2005). Collectively these studies reveal that location matters. The ways that people start and grow businesses vary substantially by country, depending on level of economic development, cultural factors, natural resources and industrial base. In developed countries, entrepreneurial ventures produce innovations and create wealth, as well as enhance economic development in challenging geographic or industrial sectors (Acs et al., 2005). In transitional economies entrepreneurship drives privatization by building market institutions, influencing monetary and fiscal policy, and affecting macroeconomic stabilization and growth. Economic development supporting new venture creation is an

A framework for assessing entrepreneurial outcomes: an international perspective

Purpose – In this paper, the authors aim to develop a framework that provides a holistic approach to the assessment of entrepreneurial performance outcomes (EPOs) incorporating the multitude of factors (such as entrepreneurial goals and cultural norms) that research suggests can impact the entrepreneurial process. Design/methodology/approach – In developing the suggested framework, the authors draw on both the existing literature and the findings provided in the five papers selected for this special issue. Findings – The framework the authors advance suggests that the satisfaction male and female entrepreneurs derive from their ventures is principally determined by a combination of the goals they set for their business and the outcomes/outputs achieved. There is also some evidence to suggest that, other things equal, females may experience higher levels of satisfaction with their ventures than males. Other key issues the authors have incorporated into the framework that are important to a better understan...

Introduction: women's entrepreneurship in global and local contexts

The phenomenon of women’s entrepreneurship has gained significant momentum across the globe. Increasingly businesses started and managed by women are contributing to job creation, innovation and wellbeing (Kelley et al. 2015). Despite the contributions women entrepreneurs have made to overall economic wellbeing, the vast majority of prior research about women entrepreneurs has taken an individualcentric approach (Pathak et al., 2013; Jennings and Brush, 2013). However, recently we are observing a shift in the focus of women’s entrepreneurship research from microlevel and individual factors to a greater focus on how mesoand macrocontextual levels impact individuals’ decisions – that is, from “gender as a variable” to research based more on feminist perspectives and the formal and informal institutional factors that influence entrepreneurial creation by women (Brush et al., 2006). Even with the shift in research interest on the influence of contextual variables on women entrepreneurs, the impact of macronational social values and cultural traditions (AlDajani and Marlow, 2010; Roomi, 2013; Zahra and Wright, 2011) and gendered social forces (Brush et al., 2009; DíazGarcía and Welter, 2013; Loscocco and Bird, 2012) remains underresearched. Because entrepreneurship is a social embedded process, connecting entrepreneurial behaviours of individuals to their context can offer a more insightful explanation of the entrepreneurial phenomenon (Davidsson 2004; Sarasvathy 2004; Zahra 2007; Welter 2011; Zahra et al., 2014). Berg (1997: 262) argues that “the material and sociocultural contexts in which entrepreneurship take place are gendered”. Therefore, women entrepreneurship research would benefit greatly from taking into consideration how macronational factors, such as cultural norms and societal expectations, and the mesoorganizational structures and institutions are

Early-Stage Entrepreneurial Activity in Nicaragua: A Center for Enterprise Research and Education (CERE) Project

Entrepreneurial activity has emerged as the single most critical determinant of economic renewal and growth in the estimation of both policy makers and the societies they serve. Huge differences have been observed in the level of entrepreneurial activity as well as the success or failure of those activities across economies. The reasons for these differences have been attributed to differences in demographic, cultural and institutional factors as well as the economic dynamics at play. Unfortunately policy makers, educations and researchers too often have to base their activities and decisions upon limited information or data that might be applicable in one economic setting but not necessarily in others.