Gender Analysis of Business Factors amongst Entrepreneurs in South Africa: Multivariate Analysis of Variance
Gender Analysis of Business Factors amongst Entrepreneurs in South Africa: Multivariate Analysis of Variance

Summary/Abstract: The article raises a pertinent question; is there a significant difference between Male Entrepreneurs and Female Females in terms of key Business Success Factors? This article tests the null hypothesis that the population means on a set of dependent variables do not vary across Gender. Thus, this paper determines the variation if any between Male and Female Entrepreneurs with reference to Customer and Market Size; Products and Services and Management Know-How. However, opinions differ on the degree of the effects of contextual factors on the success or otherwise of SMEs especially in developing countries such as South Africa. Furthermore, studies on the direction of these factors in terms of male and female ownership of SMEs have not been fully documented in South Africa; thereby necessitating the need for this research. We divided the sample population into groups (strata) and then selected samples from each stratum for the survey. Questionnaires were subsequently distributed among the SME’s operating in Mpumalanga. For this study, we applied a two-fold structured questionnaire. The first section addressed questions on participants’ demographics and business types. The second section addressed questions on business success factors relevant to the scope of the study. Using MANOVA, we created a new summary dependent variable, which is a linear combination of each of our original dependent variables and then executes an analysis of variance using the new combined dependent variable. Policy makers need to recognise that women are a heterogeneous group with many differences in their motivations, intentions and projects for engaging in business activities. Traditional instruments have been used to address these barriers but these approaches have not yielded the expected effects. There is need to expand the strategies in-addition to the broad institutional conditions required for a successful business. In this article therefore, a comparative analysis of some identified success factors of SMEs in South Africa is undertaken in order to examine the gender differentials in productivity and performance of both female-owned and male-owned enterprises. More targeted action is required to ensure that family policies, social policies and tax policies do not discriminate against entrepreneurship by women.

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