Barriers to Successful Entrepreneurship for Women in Edward Garten, Ph.D. and John Johnson, Ph.D.

Abstract Relevant Literature Major Findings Limitations Ukraine is an Eastern European country of about 50 Although many studies on Small to Mediium • Many Ukrainian women have had to become self- Difficulty in locating independent businesswomen in million people with a well-educated and Enterprises (SMEs) in transition countries emerge employed mainly due to harsh life circumstances. the regions as open rosters did not always show good skilled labor force. After Ukraine declared its (e.g., Robert McIntyre and Bruno Dallago, 2003; Josef They initiated their businesses due to the difficult candidates. independence from the former it made Mugler, 2000; Oliver Pfirmann and Gunter Walter, economic times when it was nearly impossible to real progress in shifting towards a free-market 2002; Jean-Paul Larcon, 1998), very few of them focus secure any private or public jobs in the market. Many business women are either wives of daughters economy and democratization. However, many critical on female entrepreneurship (Aidis, et al., 2005). Aidis, Business startups by include of powerful regional men or politicians who serve as problems still remain to be solved. Among them, Welter, Smallbone&Isakova (2005) state that the services such as dress making, hair salons, protectors. in Ukraine cope with stereotypes emergence and legalization of entrepreneurship in the catering, event-management services, and other issues which often create insurmountable form of privately operated business was a great informational/educational services, and consulting. Difficulty to gain agreement on the interview even if obstacles toward the success of their business change in all post-Soviet countries. Self-employed contact is identified (low level of trust, many telephone endeavors. women emerged as a new economic force. In this new • Respondents stressed that they enjoy running their offers were turned down) setting, Welter, Smallbone, Isakova, own businesses in spite of the challenges. They Conclusions Aculai&Schakirova (2003) indicate a high significance find it very difficult at times but do not regret the Problem of female-owned enterprises within the overall job choice they made to begin the business. They are Successful entrepreneurship is possible by women in market. The Ukrainian researcher Zhurzhenko (2001) following a personal need for self-development and Ukraine in spite of the challenges they face. High barriers to entrepreneurship and traditional views considers the Ukrainian -entrepreneur as a enjoy what they are doing even though it is difficult of women continue to exist in Ukraine but few studies Starting a business not only provides a source of separate type of identity that has special Ukrainian to run a business in Ukraine. have deeply explored such impediments. income for women, but also a sense of confidence and traits. According to Zhurzhenko (2001), because of the self fulfillment. stereotyped view of gender roles, a woman- • Even though participants are running their own Women who start businesses in Ukraine often entrepreneur is seen more as a wage-earner who has businesses which are profitable, many of them were overlook the talent skill and ingenuity which this action Purpose “ to do business only due to the harsh life circumstances reluctant to call themselves successful” has demonstrated. The purpose of this study was to identify common and will return to her maternal role as soon as these entrepreneurs. Success in their minds would mean Women who are entrepreneurs in Ukraine tend to barriers that female entrepreneurs face in Ukraine circumstances change. Becoming a successful creating/running a very large operation, vs. one depend on family, friends and informal networks for and to develop guidelines to help overcome those businesswoman can be a difficult task for Ukrainian which is merely profitable and provides for their support , vs. participating in business organizations. barriers. women. This stems not only from the harsh market needs. The researchers argued that this reflects a competition and bureaucracy but also from the barriers Slavic tendency for modesty and understatement. More barriers to entrepreneurship exist today than they created by a stereotyped gender policy and male (As compared to the American tendency for over did a decade ago due to new government regulation dominance in big business/politics (Sukovata, 2001). statement and dramatization). and the state of the economy. Research Questions Sukovata (2001) rightly states that Ukrainian society One challenge mentioned to business growth was the “has no positive image of a ‘businesswoman’ and lacks • Most commented that their family was a major need for qualified and dependable personnel and the Two questions guided this study: the model of ‘a successful woman’ that would not source of motivation, support, and encouragement difficulty in securing such. This seems counterintuitive 1. What barriers to the growth and development of overlap with a paradigm of a successful marriage” (p. and not a detriment to success. They noted also in a country with a weak job market and an educated your business did you face? 132). Because of these factors, Ukrainian women who that the society around them did not provide this as workforce such as Ukraine. 2. How were these barriers overcome? have succeeded in starting successful businesses there are few entrepreneurial networks, support have the opportunity to model these skills for younger groups and governmental Initiatives to help. The women who are only beginning their career (Welter, et respondents articulated various barriers for women al., 2003). who run small and medium sized enterprises, Social Change Implications including bribes, the need for personal connections This research project reaffirmed the concept of Procedures in high places and the lack of governmental support. successful female owner, and helped provide role Data Analysis Pointedly, many gave recommendations to younger models for a new generation of female entrepreneurs. Researchers, supervising contracted in-country females not to start their own businesses because In countries with developing systems of associates, conducted a qualitative study using a Interviews and focus group data were analyzed of difficulties with the current political and economic entrepreneurship such as Ukraine, the engagement of phenomenological approach. inductively, with the collection, analysis, and writing climate. Surprisingly, none of the women felt that women in business is changing the overall patterns occurring simultaneously. gender stereotypes in Ukraine were an obstacle to Twenty two successful female entrepreneurs were and landscape of the market and economy. selected from the different regions of Ukraine using The researchers clustered information into major their success. On the contrary, many respondents criterion sampling. themes, using triangulation between interviews and commented that it is important not to do conduct participants to justify the themes. In-country research associates collected data via in- business as men often conduct business (at times, depth interviews in local communities (all major cities some compared businessmen to sharks). They in Ukraine in Summer 2012), followed up by focus argued that it is essential to be flexible and use the group in – Capital of Ukraine (September 2012) advantages that women have, in addition to the need to achieve balance and maintain flexibility.