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THE WOMEN ENTREPRENEURSHIP IN ROMANIA

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6th International DAAAM Baltic Conference INDUSTRIAL ENGINEERING 4-6 April 008, Tallinn, Etonia THE WOMEN ENTREPRENEURSHIP IN ROMANIA Negru-Străuţi, G.; Izvercian, M. & Tion, M. Abtract: The work herein
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6th International DAAAM Baltic Conference INDUSTRIAL ENGINEERING 4-6 April 008, Tallinn, Etonia THE WOMEN ENTREPRENEURSHIP IN ROMANIA Negru-Străuţi, G.; Izvercian, M. & Tion, M. Abtract: The work herein meet the evaluation of the entrepreneurial phenomenon in general and point out the importance of entrepreneurhip among women at the ame time, the latter of which ha been gaining new dimenion and value lately. The reult of the reearch demontrate that women give more and more importance to entrepreneurhip and a their buine tart to develop, the women entrepreneur eem to be increaingly competitive and ucceful in what regard their affair. The work below ha carried out an analyi of entrepreneurial factor uch a: Motivation, advantage, family ituation, and dicrimination what regard women entrepreneur. Difficultie met by women entrepreneur; The need of entrepreneurial training for women that have tarted and manage their own buine; The reearch i baed on a mall number of interviewed peron, but the mall diverion caued by the ample error have allowed the extrapolation of reult at regional level. Key word: women entrepreneurhip, motivation, difficultie, proportion etimation 1. INTRODUCTION The tudy below i part of a larger analyi of the entrepreneurial phenomenon in Romania, a tudy that i to be carried on by contract no / , Excellence Reearch Partnerhip for Development of Entrepreneurial Aptitude and of Competitive Human Capital inide the Economy and the Society Baed on Knowledge and Innovation The entrepreneurial activity ha a poitive impact on the proce of development and economical refrehment. The entry of new enterprie generate new job and therefore contribute to the development, implementation and propagation of new and innovating buinee. In order to evaluate the entrepreneurial potential of a country or region, one need to alo take into conideration the development of women entrepreneurhip, which ha been gaining a lot of importance lately in Romania. The change in what regard economical and ocial condition in Romania and it being a part of the European Union have had a great impact on family life and on the profeional activitie of the women that have concentrated their career on entrepreneurhip [ 1 ]. In Romania, the enterprie created by women - regarding mall and medium enterprie (SME) - play an important role (34% of all enterprie). We believe that what regard our country, the buine opportunitie for women will continually grow, a the ervice field ha been developing a lot lately. It i known that women in our country tend to tart buinee epecially in the ervice field and in the retail trade.. RESEARCH METHODOLOGY The characteritic of the interviewed firm (legal form, the director and the age of the owner/landlord/manager of the enterprie) are contituent element of the random ample. The tudy ample ha been choen out of 1089 ubject that have been mailed, out of which only 98 (8.999%) from all of them anwered, the ample being a a randomly choen ample. The ample ha the next characteritic: 90.81% (89 women) of the interviewed peron have tarted legally organized enterprie that function a limited liability companie, 4.08% (4 women) tarted joint tock companie and 5.11% (5 women) tarted other type of enterprie. 64.8% (63 women) of the interviewed women entrepreneur tated that they alo are the manager of the enterprie that they have tarted % (85 women) of all the anwer received belong to women with age between 6 and 45, which indicate the fact that women run buinee at the middle age. Young women under 6 and thoe over 55 are only in a very mall amount the entrepreneur or their own buine. Mot of the women entrepreneur 60.0% (59 women) are of age 36 to 45. The tudy i alo baed on anwer that belong to women entrepreneur who work in companie with different profile. We have divided the anwer on domain of activity according to CAEN code (which claifie national economic activitie in Romania) a follow: mot of the anwer belong to domain C,D,E - indutry and energy 11.% (11 enterprie), G trade 53.06% (5 enterprie), F contruction 5.10% (5 enterprie), I - hotel and retaurant 7.14% (7 enterprie), A,B agriculture 3.06% (3 enterprie), H - tranport and telecommunication 4.08% (4 enterprie) and 16.34% (16 enterprie) with other type of ervice. The regional ditribution of enterprie that have been taken into conideration for thi reearch i a uch table 1. Table 1 Regional ditribution of the enterprie taken into conideration for the tudy Region [%] (no. of enterprie) N-E Region 11. (11) S-E Region 1.4 (1) South-Muntenia 9.18 (9) Region S-V Oltenia Region 6.1 (6) V Region 13.6 (13) N-V Region 1.4 (1) Central region 11. (11) Bucureti Ilfov 4.5 (4) Region The reearch i baed on the quetionnaire method. The quetionnaire i baed on 3 chapter that regard the following apect: A. The motivation, advantage, family ituation and dicrimination againt women entrepreneur ; B. Difficultie met by women entrepreneur when tarting their buinee; C. The need of entrepreneurial training. 3. STUDY RESULTS 3.1 The ocial factor The ocial factor analyzed are: The motivation of tarting an enterprie The main reaon why women tart an enterprie have been claified by importance and lited in the table. In concluion, women entrepreneur tart an affair not necearily becaue of their experience and talent in running a buine, but ometime by the need of material compenation and independence. Thi i actually the incipient tage of the entrepreneurial culture and the motivation tructure meet thi tatement. The advantage that women think entrepreneurial activity bring Table The women motivation to tart an enterprie in Romania. The motivation of [%] tarting an enterprie The need of extra income 35.71% The need of gaining higher 8.57% independence Alternative againt.44% unemployment Poitive entrepreneurial 7.14% example Expertie in a certain 5.10% domain; Keeping a family tradition 1.04% The advantage hierarchy reult from tatitical proceing women ubject i: - in the order of importance - the following: concioune, reponibility, dynamim, tenacity, intelligence and intuition. Moreover, a good entrepreneurhip require dicipline, organized work and capacity of adaptability to ocial change. The education of women entrepreneur In what concern the level of education and training, 65.3% of all the interviewed women entrepreneur have uperior tudie (64 women). From among thee, 36.73% (36 women) have uperior tudie in economic, 3.06% (3 women) in management tudie, 13.6% (13 women) are engineer, 1.6% (1 women) have other type of tudie and 34.69% don t have uperior tudie. Family ituation 7.75% (70 women) of all women involved in buinee have children and 74.8% (5 women) peronally look after them. Only 14.8% (10 women) of all the ubject interrogated, who live in Bucureşti-Ilfov Region have choen to hire taff trained in child care to look after their children, a a reult of openne toward modern family life, and 11.44% (8 women) have choen other alternative. Dicrimination againt women entrepreneur when doing buine In what concern dicrimination in buine, it often depend on the domain of activity where the buine i developed. Mot of the dicrimination cae that women entrepreneur deal with are to be found in the indutry ector, while the econd place i occupied by the contruction ector. On the third place come the tranport and telecommunication ector and on the fourth place we find the hotel and retaurant ector. The mallet number of dicrimination cae i to be found in the agriculture ector [ ]. 3. Difficultie thoe women entrepreneur have to deal with Table 3, 4 emphaize the reult of a tudy that point out the difficultie thoe women entrepreneur have to deal with when tarting a buine and later, during it coure. The reaon why women have to deal with thee difficultie i becaue women entrepreneur uually tart buinee in the production field or in the ervice field of the retail trade, field that imply a lot of difficultie and problem. Table 3 Difficultie at the initiation of the buine Difficultie at the initiation [%] of the buine Lack of training in the 9.59 buine Getting the credit 7.55 Lack of experience in the 0.4 financial planning Lack of the guarantie 1.4 Lack of guidance and 1.0 conultancy Table 4 Difficultie during the buine Difficultie during the [%] buine Lack of experience in the 7.55 financial planning Influence over the peronnel 4.48 relation Getting the credit 5.51 Lack of the guarantie 1.4 Lack of guidance in 10. buine 3.3 The need of entrepreneurial training We have gathered the following fact baed on the anwer that out women ubject (women entrepreneur) have given: Out of 13.6% women that are engineer, 53.84% (7 women) would carry out management and marketing tudie, 15.38% ( women) have entrepreneurial tudie and 30.78% (4 women) lack interet in any Out of 36.73% women that have finihed tudie in economic, 33.33% (1 women) would do entrepreneurial training baed on project,.% (8 women) would do human reource tudie, 13.88% (5 women) would do entrepreneurial management and 30.57% (11 women) lack interet in Out of 1.6% women with other type of tudie, 83.34% (10 women) would continue their tudie with management and marketing tudie and 16.66% ( women) lack interet in Out of % women that lack uperior tudie, 17.64% (6 women) would do general management coure; 38.3% (13 women) would do marketing coure; 11.76% (4 women) would do human reource management coure and 3.37% (11 women) lack interet toward 4. DETERMINATION OF THE DEVIATIONS DUE TO THE SAMPLE ERROR In order to obtain reult baed on the analyi of the randomly choen ample, we have divided the analyzed ample into 1 layer defined by 3 firm ize clae taking into conideration the medium number of employee and 7 economic ection baed on the claification by uual interval defined by law. Table 5 emphaize the number of enterprie tarted by women between 1990 and 006, claified by CAEN ection and firm ize clae. Table 5 Value for N, N [ 3 ] CAE N Firm ize cla [employee] cod A,B C-E F G H I J- U Total Where: N - number of enterprie in the layer; N = N1 + N + L + N - number of unit of the total population. The ample ha been randomly choen and ha been divided on economic ector and firm ize clae a uch (Table 6). Table 6 Value for n Firm ize cla CAEN [employee] cod Total Total A,B C-E F G H I J-U Total Where: n - number of unit of the ample layer n = n L+ - Total number of 1 + n + n unit of the ample It i to oberve that the ample tructure i not homogeneou: it varie from 5 to 50 what concern firm ize clae; the ampling fraction i 0.15 for micro enterprie, 0.1 for mall enterprie and 0.05 for middle-ized enterprie. We have obtained the following reult regarding the CAEN ection: in agriculture(a,b) the ampling fraction i 0.1, 0.1 in indutry (C,D,E), 0.4 in contruction - (F), 0.9, in trade - (G), 0.5, in tranport - (H), 0.33, in hotel and retaurant - (I) and in other ector that correpond to letter J-U, the ampling fraction i 0.6. We can oberve the homogeneity of the ample on activity ector, while the total ampling fraction i 0.7 of the interviewed enterprie that belong to the ample compared to the total number of enterprie tarted by women. 5. MAXIMUM ERRORS OF THE SAMPLE PROPORTION ESTIMATION Due to the fact that we have analyzed a mall ample out of the total population, the etimation may uffer ampling error. In order to determine tatitical error aociated to ample, three poibilitie have been analyzed for the diintegration of an indicator: by ector; by firm ize cla and both by ector and by firm ize cla 1. The diintegration by ector of economic activity. In thi cae there are 7 layer defined by ector of activity. The maximum tatitical error i given by relation 1: S N % (1) = 1 N n 1. The diintegration by firm ize clae. In thi cae, the maximum tatitical error i given by relation : S N % () = 1 N n 1 3. The diintegration both by ector and by firm ize cla. In thi cae we have 1 layer defined by activity ector and ize clae. The tatitical relation i given by relation 3: S N % (3) [ 4 ] = 1 N n 1 It i to oberve that the ize of tatitical error grow when the reult are diintegrated in a too great amount. The relatively high value obtained for the three type of ituation are to be jutified by the fact that the reearch ample i relatively mall in comparion to the number of unit of the total population. We believe that thi i one of the limit of the reearch. Due to the fact that the maximum error ha the mallet value in the firt cae, we recommend that the diintegration hould be done on ector of economic activity. In order to obtain an evaluation of the reult we have etablihed the following: p 1 - the hare of the CAEN ection in the total population; p - the hare of the CAEN ection in the ample population and Δ p the deviation due to the ampling error; The reult are preented in Table 7. Table 7 The deviation caued by the ample error CAEN ection N N e p 1 p Δ p A,B C,D,E F G H I J-U Total Where: N the number of unit of the total population; N e total number of unit of the ample divided in region; We oberve that at the country level, the C, D, E indutry ection, G trade, I hotel and retaurant have a greater ampling deviation than the other ection: C, D, E indutry:.7%, G trade: 3.4%, I hotel and retaurant: 1.9%. For the other ection we have obtained the following value: A, B agriculture: 0.8%, F contruction: 0.5%, H tranport: 0.1%, J-U other ection: 0.4%. The reult that we obtained by quetioning women entrepreneur have been extrapolated in order to make etimation at the level of the entire population. 6. CONCLUSIONS Although Romania ha had and till ha a maculine-oriented culture-and that i becaue it i aid that men are uppoed to take the greatet deciion, the material need and the yearning for financial independence ha determined women to embrace entrepreneurhip. On the firt place in the motivational hierarchy i the need of obtaining extra income (36%). Another type of motivation i the need of more material independence (9%), the alternative againt unemployment (%), the poitive entrepreneurial example (7%) and the expertie in the domain (5%) and to perpetuate a family tradition. (1%); The tudy ha revealed the fact that the majority of women entrepreneur in Romania have tudie in economic (36.73% - 36 women) who have taken the advantage of entrepreneurhip coure offered by their curriculum. Starting with the change of the political ytem after 1990, many large enterprie have changed their legal tatute and many people have been dicharged, epecially women. Therefore, women entrepreneur without uperior tudie (34.69% - 34 women) have tarted their own affair, a they had to find an alternative to earn money and avoid unemployment. Alo, we have noticed that there a greater openne among women entrepreneur to organizing and adminitrating their own buine, a they fear of failing. Therefore, mot of the quetioned women entrepreneur, with different type of tudie have already done or are willing to do We have interrogated women entrepreneur from Romania, who work in firm from different activity ector. Even if the quetioned randomly choen ample i mall (only 98 women entrepreneur), we could extrapolate the final reult at regional level, a the diverion caued by the ampling error are between reaonable limit, creating a whole picture of the entrepreneurial activity of the Romanian women. 7. REFERENCES 1. Izvercian, M. The Human Reource Marketing, Solne, Timioara, 00.. Driga,O.,Lafuente Gonzalez, E.M. The Women Entrepreneurhip in Romania The peronal Characteritic and The Effect of Socio-Cultural Variable, CEBR Working Paper Serie, 0-007, pdf, lat acce on Nicolecu, O. et al, The White Charter of SME from Romania, Olimp, Bucureti, Goleţ, I., Statitic, Politehnica, Timişoara, ADDITIONAL DATA ABOUT AUTHORS NEGRU-STRAUTI Gabriela, Ph.D Eng., Politehnica Univerity of Timioara, Management Department, Faculty of Management in Production and Tranportation, Str. Remu, nr. 14, Timioara, jud. Timi, , Romania,
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