The aim of this research is to provide a better understanding and a clear overview of the factors that influence Chinese female entrepreneurship in the People’s Republic of China.
Entrepreneurial activity by women in the country has become more important in recent years. Indeed, since the end of the Cultural Revolution, Chinese women have been gaining more and more liberty, and many of them have started their own company especially in a struggle to survive.
Considering gender, over 20% of the total number of entrepreneurs in the country nowadays are women, according to the Association of Chinese Women Entrepreneurs. The traditional vision of Chinese women bound to stay at home, take care of the house, the children and the elders seems far away, they are now playing a crucial role in the Chinese economy and it is essential to understand why and how, in order to adapt government policies in their favor.
Table of Contents
1. Institutional level - A unique environment
1.1. Economic system change and industry restructuring
1.2. Legal and social change
1.3. Individual level – personal characteristics & influence of the eastern culture
2. Chinese female entrepreneurial motivation & perceived barriers
2.1. Evolution of Chinese women’s’ entrepreneurial motivation
2.2. Perceived barriers
Objectives and Core Themes
This literature review explores the landscape of female entrepreneurship in China, examining how shifting institutional, social, and economic environments have influenced women's business ventures. The primary focus is to identify the motivations driving Chinese female entrepreneurs and the specific barriers they encounter in an evolving market-oriented economy.
- Impact of economic system transitions and industry restructuring on female-led ventures.
- The intersection of Confucian values and modern entrepreneurial behavior.
- Evolution of entrepreneurial motivation from survival-based to opportunity-driven models.
- Analysis of perceived obstacles, including capital access, credit constraints, and cultural barriers.
Excerpt from the Book
1.1. Economic system change and industry restructuring
For a long time, the private sector was almost non-existent in China, opposed to the state-owned companies, which were the centre of the economy under the socialist government of Mao Zedong. It became a new area of opportunity since the great economic change and the reforms launched in the 80’s. In 1988, for example, a legal status under the constitution was granted to the private sector. In 1989, the government required the private companies to be registered by the State Administration for Industry & Commerce and 90 581 companies were registered in the same year (Alon et al., 2011). These governmental efforts, especially the Small & Medium Sized Enterprise Promotion Law, fostered a great growth in China and the fast development of the private sector, which became as of 1995 the fastest growing segment in the country (Fung et al., 2006a, b; Gordon et al., 1991). Entrepreneurship was gaining more and more prestige in China, and especially in the technology industry (Jonas, 2014). Between 1993 and 2007, the number of private companies enjoyed a 28,87% annual growth. And in June 2007, no less than 5 205 000 private firms were registered in China, which counts for 59,4% of the total number of companies in the country (State Administration for Industry and commerce of the P.R.C).
Summary of Chapters
1. Institutional level - A unique environment: This chapter analyzes how China's transition to a market-oriented economy and reforms since the 1980s have created a unique institutional framework that encourages female entrepreneurship.
1.1. Economic system change and industry restructuring: Discusses the transition from a state-dominated socialist economy to a private-sector-friendly environment, highlighting the rapid growth of companies owned by women.
1.2. Legal and social change: Examines the shift in status for Chinese women, moving away from traditional domestic roles towards greater legal and social participation in the economy.
1.3. Individual level – personal characteristics & influence of the eastern culture: Investigates the impact of Confucian values and specific personal traits on the entrepreneurial behavior of Chinese women.
2. Chinese female entrepreneurial motivation & perceived barriers: Explores the psychological and situational drivers behind starting a business and identifies the obstacles that hinder these efforts.
2.1. Evolution of Chinese women’s’ entrepreneurial motivation: Describes the shift from "poverty push" motivations to "opportunity pull" motivations among contemporary Chinese female entrepreneurs.
2.2. Perceived barriers: Details the primary challenges faced by female entrepreneurs, specifically focusing on capital access, bureaucratic hurdles, and existing social constraints.
Keywords
Chinese female entrepreneurs, Private sector, Economic reform, Entrepreneurial motivation, Opportunity-driven, Poverty push, Confucian values, Institutional environment, Credit constraints, Business growth, Market-oriented economy, Gender equality, Small & Medium Sized Enterprise, Service sector, Glass ceiling.
Frequently Asked Questions
What is the core focus of this literature review?
The review examines the profile, motivations, and environmental challenges of Chinese female entrepreneurs within the context of China’s economic transition.
What are the central themes discussed in the work?
Key themes include institutional changes, the influence of Eastern cultural values, the evolution of entrepreneurial drive, and specific barriers such as lack of capital.
What is the primary research objective?
The objective is to understand what drives Chinese women to become entrepreneurs and what obstacles they must overcome to succeed in the current Chinese market.
Which scientific methodology is applied?
The work utilizes a literature review approach, synthesizing existing academic research, surveys, and global reports to draw conclusions about the current state of female entrepreneurship in China.
What topics are covered in the main body?
The body covers the institutional environment, the impact of legal and social reforms, individual personality traits, and an analysis of motivation theories like Maslow’s hierarchy of needs.
Which keywords characterize this document?
Keywords include Chinese female entrepreneurs, economic reform, entrepreneurial motivation, opportunity-driven, and institutional environment.
How does the "one child policy" impact female entrepreneurship?
The author notes that this policy, combined with the presence of elders, has potentially reduced domestic pressure, allowing women more time to focus on their careers.
What is the role of "Guanxi" for Chinese entrepreneurs?
Guanxi is highlighted as a strong and necessary network that serves as a key feature and quality for successful entrepreneurs in the Chinese business landscape.
- Quote paper
- Oriana Rotta (Author), 2014, The Profile of Chinese female Entrepreneurs and the Factors of Success, Munich, GRIN Verlag, https://www.grin.com/document/281677
