Examining the factors linking the intention of female entrepreneurial mindset: A study in Pakistan's small and medium-sized enterprises

Abstract

In contemporary times, women have gained recognition as accomplished entrepreneurs who make substantial contributions to economic development by virtue of their perseverance, excellence, and expertise. The concept of women's entrepreneurship encompasses the undertaking of creating novel enterprises, with the individual's intention to assume the role of an entrepreneur serving as a pivotal factor in this developmental trajectory. The underperformance of female entrepreneurs is alarming for developing nations. Purposefully, exploring the factors correlating female entrepreneurship intention is highly regarded, and a timely research is needed, thus this study explores the context of Pakistan considered a developing country. Hence, we collected data from listed small and medium enterprises (SMEs) operating in the country by means of structured questionnaires. Using SPSS and Smart-PLS software, we developed a conceptual model and performed analysis. The Theory of Planned Behavior (TPB) constitutes a robust psychological framework applicable to understanding and anticipating various human behaviors, first and foremost, entrepreneurial intention. When applying the TPB to the area of women's entrepreneurial intentions, several crucial factors come into play, including motivation, self-confidence, personality traits, and adaptability. The results indicate that factors such as the will to start a business, willingness, personality traits, adaptability, and background factors, including education and experience, impact entrepreneurial intention. Also, their professional careers make them able to launch a business. Based on our findings, we recommend that the Small and Medium Enterprise Development Authority (SMEDA), policymakers, and practitioners may provide various incentives and support systems related to these factors to encourage their own company launches. Prior research has examined various factors that impact the entrepreneurial mindsets of women. However, our study focuses specifically on closely associated aspects that have received limited attention, particularly in the context of Pakistan. This study makes a valuable contribution to the extant body of literature by providing empirical evidence in the aforementioned domains.

Keywords: Adaptability; Female entrepreneurship; Intention; Motivation and personality traits; Self-confidence.