Small enterprise development
Boosting employment
Key issues
Profound structural changes are taking place in the
economies of both the developed and developing world. Micro- and small enterprises have
become important job generators, boosting employment around the world. One striking
feature of this trend is the significant rise, especially in the past decade, in the
number of women entrepreneurs, mainly in such enterprises
In most countries, women entrepreneurs not only have to
contend with policy, regulatory and institutional environments which are unfriendly and
have a bias against small enterprises, they also face obstacles and barriers simply
because they are women. Relative to men, women do not have equal access to finance,
assets, technology and services, they have relatively lower educational levels and
restricted access to vocational training opportunities, they face culturally and socially
rooted negative attitudes towards women in business, they have conflicting role demands
and time constraints, and they often lack assertiveness and self-confidence. The majority
of women working in micro- and small enterprises worldwide are still concentrated in a
limited range of low-profit sectors with poor working conditions, most often in the
informal sector, the very enterprises which are the most vulnerable to economic
downturns.
However, more and more women are owners or managers of
small modern enterprises in less traditional sectors which have a high potential for
growth. These more fortunate women establish and develop their own enterprises because
they seek economic independence, or flexible working hours, in the absence of adequate or
reasonably priced child-care facilities, or because they want to overcome professional
frustration arising from the "glass ceiling" preventing advancement.
As a result, there is a high degree of diversity among
women small-scale entrepreneurs in terms of their motivations, socioeconomic status, types
of businesses and potential for growth. This has important implications for the design,
promotion and implementation of small enterprise development policies and programmes.
ILO Strategy
The ILO's activities in the field of women's
entrepreneurship development cover research, technical cooperation, advisory services and
the organization of meetings on the subject. As far as possible, ILO's technical
cooperation activities in this field use a "holistic" approach; that is, they
provide the building-blocks needed for the women to succeed in business, by designing and
implementing programmes in skills and entrepreneurship training, productivity improvement,
managerial capacity-building, how to access required resources, institution-building and
strengthening, policy advice, etc.
The ILO's advisory services deal mainly with the
formulation of policies and regulations, and the elaboration of programmes which are
conducive to the creation and growth of enterprises. To address issues related to
microenterprise development it is necessary to bring gender issues into the legal and
regulatory framework governing micro- and small enterprise development. In particular, it
requires measures to address underlying gender inequalities in access to resources,
institutions and decision-making processes, so as to enable gender-free access to small
enterprise development programmes. It also requires macroeconomic and social policy. In
addition, attention is also focused on ensuring that policies and regulations promote the
integration of informal sector enterprises into the economic mainstream by progressively
upgrading their standards and practices.
This attention to gender concerns will
increase within the framework of the ILO's BESED programme (Boosting
Employment through Small Enterprise Development) to match the growing importance of
female entrepreneurship. The gender component of BESED will strengthen its cooperation
with local partners involved in small enterprise development: governments, employers' and
workers' organizations, chambers of commerce and associations of small enterprises.
BESED gender strategy
- Ensure that gender concerns are effectively taken into
account in the planning, implementation and evaluation of all BESED programmes, products
and publications
- Develop new gender-based approaches to small enterprise
development
- Develop women-specific pilot programmes and products, where
gender imbalances exist and as a means of redressing them, bearing in mind the gender
context
- Provide ongoing support, awareness-raising and training in
gender analysis for BESED and related field staff in Multidisciplinary Teams (MDTs) and
projects
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