Page 1 of 10

Journal for Studies in Management and Planning

Available at http://internationaljournalofresearch.org/index.php/JSMaP

e-ISSN: 2395-0463

Volume 01 Issue 06

July 2015

Available online: http://internationaljournalofresearch.org/ P a g e | 17

A Study of the Challenges of Women Entrepreneurs in

Akure City of on do State, Nigeria

Ajayi Adeola

Email: ajayiayoola1@gmail.com

Abstract

The paper assessed the challenges faced by

women entrepreneurs in Akure City of Ondo

State, Nigeria. This was necessitated by

need to ensure that women play an

important role in the generation of

employment and wealth creation in Akure

City of Ondo State, Nigeria.

Both primary and secondary sources of data

were utilized for the study. The primary

sources of data were collected using

structured questionnaires. The sample

consisted of 120 women entrepreneurs in

Akure City of Ondo State, Nigeria.

Respondents were selected from women

entrepreneurs in agriculture, vocational

training, manufacturing, trading and

services. The questionnaires were

administered using descriptive and

inferential statistics to achieve the objectives

of the study.

The findings revealed that there are many

challenges affecting Akure based women

entrepreneurs which aptly explain why they

cannot contribute meaningfully to

entrepreneurship development of the City.

The study concluded that the challenges

facing Akure based women entrepreneurs

should be addressed in order for them to

contribute significantly to the economic

growth of Ondo State and Nigeria as a

whole.

Keywords: Challenges, Economic Growth,

Gross National Product, Unemployment,

Poverty Reduction, Women Entrepreneurs

Background to the Study

Women entrepreneurs are vital to the

economy development, poverty and

unemployment reduction of nation. They

have roles to play in the social economy,

and political life of any nation.

Women in traditional African economies

form the primary producers especially in

agriculture, food processing including both

the preservation and storage product.

Women are also involved in activities such

as weaving, spinning and several handcrafts

(Kpelai, 2009).

According to Jejeniwa (1995), women are at

the heart of economic development and

economic growth as they control most or the

non-monetary economy (subsistence

agriculture, bearing children, domestic

labour and so on) and play an important role

in the monetary economy as well as (trading,

wage, labour employment among others.

UNESCO (2002) stated that women form

high percentage or the population and they

have come a long way in businesses,

politics, education, sport and other

professions. However, women entrepreneurs

suffer a lot of challenges and inhibitions

Page 2 of 10

Journal for Studies in Management and Planning

Available at http://internationaljournalofresearch.org/index.php/JSMaP

e-ISSN: 2395-0463

Volume 01 Issue 06

July 2015

Available online: http://internationaljournalofresearch.org/ P a g e | 18

which militate against them in Akure City of

Ondo State and Nigeria as whole.

Hence, this study is aimed to find out the

challenges of women entrepreneurs in Akure

City of Ondo State, Nigeria.

Statement of the Problem

Women entrepreneurs in Akure City of

Ondo State have great entrepreneurship

potentials given the right incentives and

support which will surely aid national

growth and development with the necessary

‘‘enablement’’ and government

commitment, the women entrepreneurs can

contribute inestimably to the development of

our economy.

The women entrepreneurs in Nigeria in

general and Akure City in particular have

been relegated to the background for too

long. The Yoruba tradition al society

believes that women are better off not self- employed, given that there are already

certain difficulties in performing

entrepreneurial activities.

Moreover, Akure based women

entrepreneurs face problems attributable to

socio-cultural factors, for example, social

condition in some parts inhibit women from

starting their own business because they

often lack the skills, training, incentive and

support system that can expedite their

pursuit.

It is against this backdrop that this study sets

out to assess the challenges of women

entrepreneurs in Akure City of Ondo State,

Nigeria.

Objectives of the Study

The Objectives of the study are to

i. review existing literature on women

entrepreneurs

ii. examine problems of women

entrepreneurs in Nigeria ; and

iii. recommend solutions to problems of

women entrepreneurs in Akure City of

Ondo State,

Nigeria.

Significance of the Study

The findings of this empirical study will

expose the challenges facing Akure based

women entrepreneurs and proffer solutions

in solving them.

Moreover, the findings will in no small way

accelerate rapid growth of the economy and

contribute to employment generation of

Ondo state and Nigeria as a whole.

Finally, it will also give the government and

researcher’s insight into what is required to

create enabling environment and equip them

with the requisite knowledge on how to get

their initiatives on the growth path given by

the available limited resources.

Literature Review

Gee (2000) defined women entrepreneurs as

‘‘a woman or a group of women who

initiate, organize and run a business

enterprise’’.

Government of India also defined women

entrepreneurs as ‘‘an enterprise owned and

controlled by women who have minimum

financial interest of 51% of the employment

generated in the enterprise to women’’.

Westil (2005) referred to women

entrepreneurs as ‘‘any woman who

organizes and manages any enterprise

especially a business’’.

Lavore (1984) described women

entrepreneurs as ‘‘female heads of

businesses who have taken initiatives of

launching new ventures, who are accepting

Page 3 of 10

Journal for Studies in Management and Planning

Available at http://internationaljournalofresearch.org/index.php/JSMaP

e-ISSN: 2395-0463

Volume 01 Issue 06

July 2015

Available online: http://internationaljournalofresearch.org/ P a g e | 19

the associated risks and social

responsibilities and who are effectively in

charge of its day-to day management.

The role of women entrepreneurs in

economic development, poverty and

unemployment reduction in developing

countries has been asserted in many studies

on women entrepreneurship, illustrated how

women entrepreneurs have utilized their

entrepreneurial skills to become

economically independent and provided

economic support to the family through an

entrepreneurship.

Tayoux (2004) noted that women

entrepreneurs are simply women that

participate in total entrepreneurial activities,

who take the risks involved in combining

resources together in a unique way so as to

take advantages of the opportunities

identified in their immediate environment

through production of goods and services.

Most of these are involved in micro small

and medium scale enterprises (MSMES)

which contribute more than 97% of all

enterprises, 60% of the nation’s EDP and

7% of the total share of the employment

(Ndubusi 2004). The spectrum of women in

entrepreneurship often ranges from home- based businesses (HBB) to micro, small and

medium enterprises (MSEs) (ILO, 1998).

Okafor et al. (2010) ascertained that women

possess dual characteristics (for instance

they are firstly women and secondly

entrepreneurs). Therefore, women

entrepreneurs possess characteristics which

include adaptability and innovativeness

creativity (Schumpeter, 1934, Drucker,

1985) strength and internal locus of control

(Annenkava 2001) ability to think and

reason fast and order (Mayou &, 2001)

Managerial skill, accountability and credit

risk.

Challenges of Women Entrepreneurs

Adelaja (2004) reported that women

entrepreneurs control only 1% of the

manufacturing sector in Nigeria. Also in

Tanzania, the population of women

entrepreneurs is 2.8% (Tanzania Ministry of

Trade, 2000)

Similarly, Wilina and Allen (1998)

maintained the global economic

development resources and property

ownership are concentrated in the hands of

more men than women. Women

entrepreneurs rarely have property which

they can offer as collateral to secure loans.

The study done by Dejardin and Awad

(1995) pointed to the fact that the access of

women entrepreneurs to credit is greatly

restricted.

Accoding to NCPE (2012), women are not

well represented in the policy making

process, especially in issues of business and

entrepreneurship development.

Veena (2008) highlighted some of the

challenges of women entrepreneurs. They

are :

i. Problems at work

ii. Problems at home

iii. Problems with husbands

iv. Socio-Economic challenges

v. Personal challenges ;and

vi. Other strategic challenges

ILO (2003) added that the following are the

challenges of women entrepreneurs. They

are:

i. Government policy