ISSN No-2031-5063

Vol.1,Issue.V/Nov 2011pp.1-4

Research Paper

PROBLEMS FACED BY RURAL WOMEN ENTREPRENEURS IN TUTICORIN DISTRICT- A CASE STUDY

R.PRABHAVATHY.MA. M Phil.
ASST.PROFESSOR OF ECONOMICS KAMARAJ COLLEGE TUTICORIN

ABSTRACT Entrepreneurship Development is a very crucial factor for the acceleration of economic growth of any country and women entrepreneurship development is an essential part of human resource development. Women entrepreneurs have started show in more interest because it provides them an opportunity to be one's own boss, the challenges they want to face and the chances of making more money, which outweigh their family duties. The present research study has been conducted to study the problems of women entrepreneurs with special reference to Tuticorin District of the state of Tamil Nadu
The main objective of the study has been to understand the socioeconomic back-ground of women entrepreneurs, and their problems in running their enterprises efficiently and profitably. This study is compiled with the help of the primary data covered only three months period (2011). A sample of 216 women respondents was taken on the basis of criterion that they should be running their enterprise independently and not in partnership. Percentage, average, chi square tests, t tests, correlation, Cramer's V, standard deviation, variance and probability analysis were used. Finance is a most important aspect of any business. Among the respondents, non-availability of long-term finance (42%), regular and frequent need of working capital (27%), long procedure to avail financial help (12%), high cost of required machine or equipment (10%), lack of proper education (6%), and lack of experience (4%) were found to be the problems faced by respondents based on the multiple responses given by them. The result of chi-square analysis (2=9.14044.44, P=0.0392, df=5, t = 2.77), revealed that there is significant relationship between problems of business and women entrepreneurs in two blocks from Tuticorin District study area. Key words: women entrepreneurs, enterprise, long-term finance, Percentage, average, chi square tests and probability analysis Introduction The present world population is 7.1 billions, which is growing at the rate of 97 million people per year will touch 8.5 billion by the year 2025. About 95 per cent of the population growth will be in the developing countries. The Asian population is 3.55 billions, which may reaches 4.54 billion by 2025 and women constitute around half-of the total world population. As world economic profile of women shows, women represent 50 per cent of the world population make up 30 per cent of the official labour force, perform 60 per cent of all working hours, receive 10 per cent of world income and own even less than one per cent of the world's property. When a woman is empowered it does not mean another individual becomes powerless or is having less power. On the contrary, if a women is empowered her competencies towards decision-making will surely influence her family's and neighbor's behaviour. The presence of these spillover effects will thus create a 'social multiplier', where aggregate power will be greater than individual power. This indicates that 'woman is a person and women are a power'. In advanced countries, there is a phenomenon of increase in the number of self-employed women after the World War II. In USA, women own 25 per cent of all business, even though their sales on an average are less than two-fifths of those of other small business. In Canada, one-third of small business is owned by women and in France, it is one-fifth. 90 per cent of the rural women are unskilled and 88 per cent are illiterate which makes them vulnerable to exploit and economically dependent on men. No serious efforts have been made to improve the condition of women. There is a need to promote as entrepreneurship through which women of rural areas are empowered. Entrepreneurship Development is a very crucial factor for the acceleration of economic growth of any country and women entrepreneurship development is an essential part of human resource development. Women entrepreneurs have started show in more interest because it provides them an opportunity to be one's own boss, the challenges they want to face and the chances of making more money, which outweigh their family duties. Moreover, technological development empowers women to acquire more relevant qualifications and values to meet the demands of entrepreneurship. To fill the gap in the implementation of this erstwhile self-employment must be designed to development of entrepreneurship among the women, through which possible to develop the women empowerment. The present research study has been conducted to study the problems of women entrepreneurs with special reference to Tuticorin District of the state of Tamil Nadu .The main objective of the study has been to understand the socioeconomic back-ground of women entrepreneurs, and their problems in running their enterprises efficiently and profitably. Objectives

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PROBLEMS FACED BY RURAL WOMEN ENTREPRENEURS IN TUTICORIN DISTRICT- A CASE STUDY

Vol.1,Issue.V/Nov 2011;

This study has been done with the following specific Tuticorin District of Tamilnadu. objectives: Educational Qualification of the respondents 1. To provide a profile of the woman entrepreneur Qualification Pudur % Kayathar % in Tuticorin District Illiterate 3 1.39 12 5.56 2. To assess the reasons to start entrepreneurship Primary 27 12.49 103 47.69 3. To examine the participation in decision-making High School 6 2.78 8 3.70 Higher Secondary 2 0.93 21 9.72 in family Degree 3 1.39 31 14.35 4. To ascertain the constraints faced by women in Total 41 18.98 175 81.02 their enterprises Source: Primary data Methodology The present study has covered two blocks from Tuticorin District viz, Pudur and Kayathar were selected for the study. This study is compiled with the help of the primary data covered only three months period (2011). The primary data was collected with the help of specially prepared interview schedule. Random sampling technique was adopted for the selection of study area. A sample of 216 women respondents was taken on the basis of criterion that they should be running their enterprise independently and not in partnership. Well structured and pretested interview schedule was used for collecting primary data by survey method. This is purely a descriptive study. Percentage, average, chi square tests, t tests, correlation, Cramer's V, standard deviation, variance and probability analysis were used.

Total 15 130 14 23 34 216

% 6.95 60.18 6.48 10.65 15.74 100.00

The table gives a picture on the educational background of the samples. The majority of the respondents i.e., 60 percentage completed the primary education. The illiterates were 7% showed no significant difference (2=9.33, P=.0534, df=4, Cramer's V=0.2078, Correlation =0.203519).
Motivating factors for women entrepreneurship Reasons to start entrepreneurship Pudur % Kayathar % To supplement the family income Bored at home For livelihood To give good life to children Total Source: Primary data 17 10 9 5 41 7.87 4.63 4.17 2.31 18.98 135 19 14 7 175 62.58 8.79 6.48 3.24 81.02 Total 152 29 23 12 216 % 70.37 13.42 10.65 5.52 100.00

The table reveals that 70 percent of respondents stated that the most important motivating factor to start the entrepreneurship venture was to supplement their family Enterprises in Tuticorin District income. It also reveals that there is definite growing Enterprises Pudur % Kayathar % Total % awareness in society and women in particular that if the Boutiques 1 0.46 1 0.46 family has to maintain a reasonable standard of living, Beauty Parlors 3 1.39 7 3.24 10 4.63 women should supplement to family income with Tailoring Business 3 1.39 4 1.85 7 3.24 whatever skill they have. Only 13 percent of women P.C.Os 8 3.70 21 9.72 29 13.43 expressed that they felt bored at home, which prompted Computer Training 14 6.48 40 18.52 54 25 them to take up entrepreneurship. 11 and 6 per cent of Petty Shop Business 12 5.56 103 47.69 115 53.24 Total 41 18.98 175 81.02 216 100.00 them stated that they started business for their livelihood Source: Primary data and to provide good life for their children respectively. The chi-square analysis result (2=20.63, P=.0001, df=3, (Mean: 6.83: 29.17; S.D: 5.34: 39.01; standard error of difference: 16.07; t: 1.3892; df: 10) Cramer's V=0.309) shows significant relationship of Enterprises taken up for the motivation to start entrepreneurship and women study were boutiques, beauty parlors, tailoring shops, entrepreneurs in two blocks from Tuticorin District of P.C.O's, computer training and petty shop business. It is Tamilnadu at 5% level. specified that nearly 53 per cent of the women Decisions Making in Family Decision Making Pudur % Kayathar % Total % entrepreneurs belonged to petty shop business. Only 0.46 Yourself 13 6.02 67 31.02 80 37.04 per cent women involve boutiques business. 25 per cent Husband 24 11.11 90 41.67 114 52.78 belonged to computer training business. From the data it Both of them 4 1.85 18 8.33 22 10.18 can be concluded that women tend to involve themselves Total 41 18.98 175 81.02 216 100.00 more in enterprises which require less risk taking and low Source: Primary data investment showed significant difference (t= 1.3892; df= Women's participation in decision10). making in family is important indicator for measuring Age wise classification of the respondents their empowerment. Though 53 percent beneficiaries Age Pudur % Kayathar % Total % reported that decisions are being taken by their husbands, 18-30 years 6 2.78 18 8.33 24 11.11 31-45 years 22 10.18 103 47.69 125 57.87 yet, more than 37 percent respondents accepted that they 46-60 years 13 6.02 54 25.00 67 31.02 do participate in decision-making process. Thus, the Total 41 18.98 175 81.02 216 100.00 socio-economic conditions of women have demonstrated Source: Primary data that their status has improved since starting an enterprise. From the table, it is revealed that the percentage of middle The result of chi-square- test (2=0.72, P=0.6977, df=2, age respondents is more i.e., 59%. As per the survey Cramer's V=0.0577) revealed that there is no significant middle age groups involvements is higher than that of old difference between participation in decision-making in and young aged groups in the study area. The chi-square family and women entrepreneurs in two blocks from test value (2=0.73, P=0.6942, df=2, Cramer's V=0.0581) Tuticorin District. assured that there are no marked significant differences in age and women entrepreneurs in two blocks from

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PROBLEMS FACED BY RURAL WOMEN ENTREPRENEURS IN TUTICORIN DISTRICT- A CASE STUDY

Problems faced by women entrepreneurs Problems Long procedure to avail financial help Regular and frequent need of working capital Availability of long term finance High cost of required machine or equipment Lack of experience Lack of proper education Total No of Respondents 26 58 90 22 8 12 216 Percentage 12.04 26.85 41.67 10.19 3.70 5.56 100.00

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Source: Primary data (Mean: 36; Standard deviation: 31.80; standard error of difference = 12.98; 2=14044.44, t = 2.77, DF = 5, the two-tailed P value equals 0.0392)

Finance is a most important aspect of any business. Among the respondents, non-availability of long-term finance (42%), regular and frequent need of working capital (27%), long procedure to avail financial help (12%), high cost of required machine or equipment (10%), lack of proper education (6%), and lack of experience (4%) were found to be the problems faced by respondents based on the multiple responses given by them. The result of chi-square analysis (2=9.14044.44, P=0.0392, df=5, t = 2.77), revealed that there is significant relationship between problems of business and women entrepreneurs in two blocks from Tuticorin District study area. Recommendations Gender specific training is more essential to suit socio-economic-demographic conditions. Holistic approach is needed to look at the whole individual in a business perspective in the socio-cultural milieu. The product must fit the need through bottom-up approach. Some women need tremendous amount of nontechnical support also. Some women need pre-entrepreneurial training first. Total personal support and awareness is needed counseling, stress coping skills, public speaking skills. Conclusion Entrepreneurship is a dynamic concept and no specific personality attribute can generate success. However, the technical knowledge and skill, parental support, previous job experience may help an entrepreneur to compete successfully in the market. An awareness of various entrepreneurial risks helps an entrepreneur to build up strategies to control/ counter them and become successful. The location advantage is also a factor of success. It decides the direction of development of grass root entrepreneurship. If Indian women's talent will be utilized properly, one day India will become an ideal country to others. References 1. Block, J., Wagner, M., (2006). Necessity and Opportunity Entrepreneurs in Germany: Characteristics and Earnings Differentials, MPRA Paper 610. 2 . http://www.in.kpmg.com/TL_Files/Pictures//TiE08.pdf 3. K. Usha (2003), Gender, Equality and Development, Yojana 4. Keishnaraj, Maithreyi (2005), 'Growth and rural

Poverty, Economic and Political Weekly, September 21. 5. KPMG-TiE (2008). 'Entrepreneurial IndiaAn Assessment of the Indian Entrepreneur's 6. Nath.V. Entrepreneurship by Region and Castes: A Survey Economic and Political Weekly, Vol.35, November. 2000. 7. P a d m a v a t i , D . Tr a i n i n g Wo m e n f o r Entrepreneurship. Social Welfare, 49(2): 15-18 (2002) 8. R.PrasadF Entrepreneurship Concepts and Cases ICFAI India, 2003 9. Robert D Hisrich etc. F Entrepreneurship (6th edition ), The McGraw-Hill Publishing Company Ltd. 2007 10. Sathyasundaram, I. Encouraging Womens Entrepreneurship. Social Welfare, 50(12): 13-15 (2004). 11. www.iinovate.blogspot.com 12. www.ncert.nic.in

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