The Role Of Women In International Business Through Social Entrepreneurship In Community Development In Nsawam-Adoagyiri Municipality In Ghana

The Role of Women in International Business Through Social Entrepreneurship in Community Development in Nsawam-Adoagyiri Municipality in Ghana

Introduction

Social entrepreneurship is an approach that is adopted by organizations where they invest in strategies that provide solutions for cultural, social, or environmental issues along with making a profit for the organization.

Social Entrepreneurs look for different and unique business ideas which are connected closely with society and provide cultural and social solutions. And social entrepreneurship is one of the hottest business choices for booming entrepreneurs as entrepreneurs make the use of these issues to establish their business.

Entrepreneurs who adopt the social entrepreneurship approach don’t measure their profit or success by usual metrics like revenue generation or rise in the stock price of the organization. They estimate their profit based on the change that they have made in society or the environment.

The meaning of social entrepreneurship is to run a new small business using an innovative idea with no or zero expectations of making money.  The purpose of a social entrepreneur is to make the world a better place. However, the concept of social entrepreneurship is not limited to small businesses but can be applied to companies of a wide range of sizes and beliefs. Even the metrics to measure success is different for social entrepreneurship businesses.

For example, the success of a social entrepreneurship business is measured based on the total positive change made by it in the society.  These businesses try to give back to the community as much as possible rather than generating wealth.

When we look at entrepreneurship generally in Ghana, rates of female entrepreneurship are very high. The Global Entrepreneurship Monitor reports high levels of confidence in entrepreneurial skills and ability, high levels of intention to start businesses and low levels of fear of failure. Unusually by global standards, more women than men start businesses in Ghana, although many are driven by the need to provide for themselves and their families.

However, even amongst entrepreneurs in Ghana driven by opportunity rather than necessity, there are still eight women starting businesses for every 10 men. According to the recently released MasterCard Index of Women Entrepreneurs, Ghana has the highest rates of women-owned businesses in the world. 46.4 per cent of businesses operated in Ghana are owned by women. However, the vast majority (80 per cent) of these businesses are forms of micro-entrepreneurship; small scale trading activities. When looking at firms within Ghana, the vast majority are run by men.

According to the World Bank Enterprise Survey (World Bank, 2013) the proportion of firms with a female top manager is just 14.9 per cent, and those with majority female ownership only 14.7 per cent. Even looking at small firm, the size of the average social enterprise in Ghana, the proportion with a female top manager is only 16.9 per cent. By comparison, 39 per cent of Ghanaian social enterprises are run by women. So, this is actually lower than overall rates of female ownership of for-profit business, but considerably higher than the rates of female management or ownership of small or medium-sized businesses.

The Global Entrepreneurship Monitor (GEM)’s report on social entrepreneurship compares the gender balance in for-profit and social entrepreneurship rates in Sub-Saharan Africa. While this report doesn’t specifically reference Ghana, it suggests that the proportion of female social entrepreneurs is slightly higher than the proportion of male social entrepreneurs, and that the gender balance for social entrepreneurship is slightly more weighted towards women than for profit entrepreneurship.

Community Development

Community is often a geographical area. It can also be defined based on shared interest, identity or characteristics.

Community development is a process where community members are supported by agencies to identify and take collective action on issues which are important to them. For example, in my community Non-Governmental Organizations (NGOs) are in existence to help in the development of the youth and the women. Community development empowers everybody including youth and adults alike. It creates a stronger and more connected communities.

Community development is a holistic approach grounded in principles of empowerment, human rights, inclusive social justice, self-determination and collective action (Kenny, 2007). Community development gives priority to members that is both male and female to be experts in their lives and communities, values, knowledge and wisdom. Community development programs are led by community members at every stage as well as in the implementation of actions and evaluation. It has focus on redistribution of power to address the causes of inequality and disadvantage.

Community development, according to Umar and Mohamed (2014) while quoting UN 2002 report, is a term that has come into the international usage to connote the process by which people are united by putting their efforts together with the government authority for purposes of improving economy, social and cultural conditions of the communities and at the same time integrating the community into the nation and enable its members to contribute fully towards national progress or development. Ajayi (2015) on his part defined community development as a social process by which people become more competent to live with and gain some control over local conditions and the changing world. Community Youth Development combines the natural instincts of young people as they desire to create change in their surrounding environments by developing partnerships between youth-related organizations and community development agencies to create new opportunities for youth to serve their communities while developing their personal abilities.

Community development can be both an occupation (such as a community development worker in a local authority) and a way of working with communities. Its key purpose is to build communities based on justice equality and mutual respect. Community development involves changing the relationships between ordinary people and people in positions of power, so that everyone can take part in the issues that affect their lives. It starts from the principle that within any community there is a wealth of knowledge and experience stemming from the youth which if used in creative ways can be channeled into collective action to achieve the communities’ desired goals.

Moreover, Community Development (CD) is also a broad term applied to the practices and academic disciplines of civic leaders, activists, involved citizens and professionals to improve various aspects of local communities. Community Development Foundation (UK) (2015) further cited “Community development as a skilled process, and an art whose approach is the belief that communities cannot be helped unless they themselves agree to this process. Community development has to be seen as: not only at how the community is working at the grass roots, but also at how responsive key institutions are to the needs of local communities.” it also posits that Community Development aims to encourage sharing, and to create structures which give genuine participation and involvement.

There are potential outcomes at both individual and community level. Children, adolescent and adult of both male and female are directly involved in community development initiates and will benefit from increases in skills knowledge, empowerment and self-efficacy, and experience enhanced social inclusion and community connectedness (Kenny, 2007).

Through community development initiatives, community members such as women and youth can become more empowered, such that they increasingly recognize and challenge conditions and structures which are leading to their disempowerment or negatively impacting their wellbeing (Ife, 2016). At the community stage, community development and empowerment initiatives can achieve long-term outcomes such as stronger and more cohesive communities, evidenced by changes in social cohesion and improved health (Campbell, Pyett, & McCarthy, 2007; Ife, 2016; Kenny, 2007; Wallerstein, 2006).

Community development is not always a suitable approach to use and maybe particularly appropriate to address social and community. It is a good approach when one is trying to create a change in the community. For example, my goal is to improve the safety and good living conditions for the youth and women in Nsawam- Adoagyiri municipality. In addition, community development is a good approach to enable self-determination and build the capacity of local indigenous organizations and grassroots community group (Higgins, 2010).

For community development it helps local organizations to build self-capacity. Local palm oil extraction group can help to build their own capacity. Finally, community development are likely to work well in disadvantaged communities where they can alleviate some impact of the disadvantaged on children and families by building social capital and social inclusion (Ife, 2016, McDonald, 2011; Price-Robertson, 2011; Wallerstein, 2006).

Community development is a process of change from the traditional way of living of rural communities to progressive way of living as a method by which people can be assisted to develop themselves on their own capacity and resources, as a program for accomplishing certain welfare activities for rural people and as a movement for progress with a certain ideological content.

Women entrepreneurship and economic development

Women entrepreneurs around the globe have significant impact on the economic development, as the entrepreneurial ventures are creating new employment opportunities (Akehurst et al., 2012). Because of this increasing number of women entrepreneurs who are contributing in the economy, more and more scholars are focusing on women entrepreneurship in recent years (Bullough et al., 2015; Faisal et al., 2017). Nafukho et al. (2004) emphasized the importance of human resources which is a major factor of economic development and helps in positive contribution of its growth. The proper utilization of manpower ensured the growth but in least developed countries major portion of women workforce is either unused or unnoticed which can be a barrier of development. This barrier can be overcome with the encouragement and providing resources to women to setup their own independent businesses (Vinay and Singh, 2015).

Although women-owned businesses are the world fastest growing businesses around the world and have made significant contribution in the form of innovation, employment and wealth generation, it is estimated that their total share in the development of economies is 40%. But the total contribution of women entrepreneurs in the world economies is understudied as less than 10% of the entrepreneurial research studies are about women entrepreneurship (Brush and Cooper, 2012). Keeping in view above, it is a dire need that this neglected and unnoticed contribution of women entrepreneurship in the world economies should be intentionally considered in the literature, as it can be positively associated with economic development.

There is positive relationship between women entrepreneurship and economic development.

Globalization and economic development

Globalization is speeding up, widening and expanding the world wide associations through business. There are wide and varied ways to go global, but the most important contribution from entrepreneurial venture is in the form of small and medium sized businesses. As the outcome of these new small- and medium-sized businesses are the independent successful entrepreneurial undertakings (Soriano and Dobon, 2009). Operating these small businesses at national level is perhaps easy but competing at global level in the international economy is a challenging job especially for women entrepreneurs. In a study, Metcalfe (2008) revealed that women advance and accomplish significant achievements in establishing businesses, in leadership and in political roles, but they have to face cultural barriers which hinders their advancement.

Globalization of the world economy affect the women entrepreneurial activities by imposing certain restrictions on them such as free travelling, little share in inheritance and selected jobs or profession. These restrictions enhance the poverty level of women as compared to men in the world (Soriano and Dobon, 2009). Women can remove this disparity by actively participating in the social activities of their societies and improving their skills in technology related gadgets. Active use of social media through digital technology can help women entrepreneurs to unlock their capabilities globally for the success of their businesses and help in the development of economy (Ukpere et al., 2014). So, globalization is an influential factor for economy and can be positively associated with economic development. There is positive relationship between globalization and economic development.

Gender inequality and economic development

The impression of gender inequality is that the men and women are not equivalent. Gender discrimination judgments belong to the discrimination of men and women on the basis of gender. This discrimination mostly affects the women. Over the past two decades, female entrepreneurship evolution is very inspiring. But still, there is unequal contribution to the businesses originated by women, as this contribution is in the smallest cluster of businesses. Approximately, 81% of women entrepreneurs have no workforces as compared to 75% of wholly privately maintained businesses in the USA. Female-owned businesses obtain actually less than 1% of venture capital investment dollars than almost 1% of the businesses originated by men (Greene et al., 2001).

Women entrepreneurs have not the same prospects as compare to men for rights, education, expressive carriers, political inspiration and economic development. The gender inequality or discrimination occurs in all around the world. Because of such hurdles, women could not perform up to their abilities as same as the men. Women usually paid less and obtain low benefits from the work as compared to men. This inequality also exists in entrepreneurial activities of women owned businesses in relation with men-owned businesses. Because of this disparity and inequality, women entrepreneurs could not fully contribute in the social and economic development of their respective domain. From above, it is concluded that the more the gender inequality the less the economic development. So, it can be safely said that gender inequality is negatively associated with economic development.

Women entrepreneurship in the developing world

Despite the widely reported obstacles that women must contend with in male–dominated societies, the proportion of women entering into entrepreneurship in the developing world has markedly increased in the last few decades (Bullough etal., 2019, Danish and Smith, 2012, Gatewood et al., 2009). Notably, businesswomen have become key players in economic development through their entrepreneurial activity (see Brush et al., 2004, Hechavarría et al., 2019).

Accordingly, there is a societal gain to be derived through recalibrating existing financial and policy frameworks, making them responsive and sensitive to women’s entrepreneurship (Bullough et al., 2019, Bullough et al., 2022, Marlow et al., 2008), particularly within the developing world context, in which it is used as a way out of poverty (Bruton et al., 2013, Sutter et al., 2019, Kantis et al., 2002) and for women’s emancipation and empowerment (Simba et al., 2022). Therefore, community–based financing schemes in the developing world undoubtedly have the potential to produce notable positive outcomes for women entrepreneurs (Bhatt & Tang, 1998). Admittedly, access to financial resources for women entrepreneurs goes some way towards tackling discrimination and, most importantly, increases their access to equity capital and loans, especially in the developing world. With this level of empowerment, women entrepreneurship can be a force that can drive economic and social development only of women but also of the economies of many parts of the developing world (Adom, 2014, Nziku and Henry, 2021).

Women entrepreneurship matters for individuals, communities and countries. Indeed, research recognizes that women’s entrepreneurship contributes to the stability and well–being of communities and provides economic opportunities for disadvantaged groups, including women, low earners and minorities . Even if a far greater number of women in the developing world are reported to be illiterate and live in poor communities (Bruton et al., 2021, Ojong, 2019), women entrepreneurship gives them the opportunity to participate in local economics, and the process helps them become entrepreneurs (Elam et al., 2019, Frešer et al., 2019). Although their enterprises are very small, they are known to provide them with the opportunity to improve not only their lives but also those of others by creating job opportunities (Ascher, 2012). Additionally, their wider participation in economic systems enhances the diversity of entrepreneurship in any economic system (Verheul et al., 2006). Thus, an understanding of how they finance their activities, especially in the developing world, becomes important for academic research, entrepreneurship and policy development (De Vita et al., 2014).

It is worth highlighting that although women’s entrepreneurship provides a route for empowering and advancing women socially and economically in the developing world, the process greatly relies on the presence of institutional support. Such support gives women equitable access to the resources they need to start, grow, and sustain their business ventures (Olarewaju & Fernando, 2020). In the developing world, particularly in parts of Africa, the growth and development of women–owned ventures are largely dictated by the nature of the institutions dominating their society (Ahl and Nelson, 2015, Estrin and Mickiewicz, 2011). Thus, and considering that many parts of the developing world are characterised by high institutional voids, understanding the types of social and economic systems that define their entrepreneurial activity becomes paramount (also see Demirgüç–Kunt et al., 2013; Jamali, 2009).

 Women entrepreneurship potentials

Female entrepreneurship has a great potential for poverty reduction in developing world, helping women support themselves and their families. By becoming entrepreneurs, women contribute to economies through innovation, employment and the creation of wealth. Few women in the Nsawam- Adoagyiri community who are into entrepreneurship helps their families as well as the community in which they live. They do so by the income the generate from their businesses.

Problems Faced By Women Entrepreneurs

Women in business have been proving they’re as bankable as their male colleagues. Yet, they struggle to gain the same degree of acceptance. What are some of the main problems faced by women entrepreneurs in their path toward success?

 Scarce Funding

This is one of the toughest challenges faced by women entrepreneurs. They’re not taken seriously and investors are hard to come by. Holders of capital are generally reluctant to pump it into women-led enterprises. As a result, women develop their entrepreneurial ventures with little to no financial support. Some use their savings, while others fall back on credit cards. This drives up their credit utilization, causing them to be viewed as less credit-worthy and further dims their chances of getting loans or capital from investors. Many women report being refused aid even though they already run successful businesses.

Studies have shown that women-led businesses are foremost among enterprises lacking financial aid. Data also shows that women entrepreneurs’ applications for bank loans are more likely to be delayed or rejected. According to a 2019 report from the International Finance Corporation, more than 70% of the total financial needs of women entrepreneurs in India remain unfulfilled. This exacerbates the problems of women entrepreneurs, as financial institutions display a marked preference for funding businesses owned by men.

 Being accepted as a Leader

The challenges faced by women entrepreneurs who assume leadership roles can be immense. Entrepreneurship is still a largely male-dominated arena. As a result, people are often unwilling to learn from or take orders from women. Earning respect thus proves to be an uphill task for women entrepreneurs.

 Juggling Responsibilities

This is one of the most persistent problems of women entrepreneurs. The onus of ‘balancing’ work and domestic life—an expectation rarely placed upon men—falls upon women in most cases, even if they’re successful in business. Given the demanding nature of both personal and professional spheres, women often end up feeling compelled to give up one for the other. At home, they may need to juggle home care, child care and eldercare. At the same time, an enterprise also demands leadership and unwavering focus.

This balancing act can exhaust even the most driven individual. It’s especially hard on those women entrepreneurs who don’t have family support or society’s approval; they have to walk their chosen path alone. While some women find they can strike a successful balance, others are expected to be their families’ primary caregivers. They end up feeling pulled in different directions.

Limited business networks

Among the problems faced by women entrepreneurs in the male-dominated business world is the restricted access to entrepreneurial networks. This prevents women from creating networks of their own. A survey showed that women were not included in crucial business networks which would help them foster connections, grow their enterprise, or find clients, vendors and partners. While men carry out all of these activities with ease because of their robust networks; women entrepreneurs are viewed as not belonging to these circles and have trouble breaking through.

 Lack of access to financial knowledge

It’s rare for women in India to be encouraged to be risk-takers in business. As such, they’re left out of crucial financial knowledge about the markets and running an enterprise. They have to actively seek it out and educate themselves. This proves to be among the major challenges of women entrepreneurs. First, it restricts their access to the market and deprives them of valuable information. Second, it diminishes their ability to bear risks, further allowing financial institutions to reject their applications for aid.

Risks involving the markets

Not having the same access to financial knowledge afforded to men creates more problems faced by women entrepreneurs. They might have to rely on middlemen to get things done. They may even feel the need for a male partner to close deals or carry out negotiations. The markets spell tough competition for everyone, but women entrepreneurs are often at an extra disadvantage as they don’t have a level playing field with their male counterparts.

Lack of representation

One of the biggest problems of women entrepreneurs is a lack of opportunity to grow and gain experience. Owing to this, women continue to hold very few senior management roles, and can rarely be found on boards of directors. The lack of representation is also reflected in the absence of role models and mentors for women who run businesses. Men, on the other hand, find ready mentors and have several big names to look up to for inspiration. Some of the toughest challenges faced by women entrepreneurs stem from the absence of gender diversity in business.

Strain caused by the pandemic

Covid-19 added to the troubles of women entrepreneurs, many of whom had to struggle to keep their businesses afloat. In response to a survey, one in four women entrepreneurs in India said that the onus of caring for their families during the lockdown fell upon them, thereby eating into the time they would’ve spent on their enterprises. The burden of trying to save a business while grappling with increased domestic responsibilities brought on by the pandemic was predominantly borne by women.

Gender bias

All of these challenges faced by women entrepreneurs are rooted in gender inequality. Women business owners face discrimination from several quarters—at banks, in board rooms and from family and professional contacts. Some feel it acutely when they walk into seminars or networking events and find themselves significantly outnumbered by their male counterparts. The knowledge that the odds are stacked against them can undermine the confidence of businesswomen. The resultant lack of clarity and self-belief only adds to the problems of women entrepreneurs, as it sets them up for failure when they actually could have flourished.

The Nsawam-Adoagyiri Community

Nsawam-Adoagyiri Municipality is located approximately 23km from Accra, the national capital.

It is situated in the South Eastern part of the Eastern Region between latitude 5.45’N and 5.58’N and longitude 0.07’W and 0.27’W and covers a land area of about 175 square kilometers.

In terms of spatial interaction, it is bordered to the South by the Ga West and Ga East Municipalities in the Greater Accra Region and to the North by Akuapem South District. It also shares boundaries in the North-West with Ayensuano District and in the South West with the Upper West Akim District.

The proximity of the Municipality to Accra and Tema is a potential for development.  For instance, the Accra–Tema conurbation provides the single largest market in the country and provides ready market for farm produce and industrial products from the Municipality.  Thus, the Municipality, for instance, can focus on market gardening in agricultural development.

The Municipal capital, Nsawam is a gap town along the main highway linking the coastal lands to the Northern part of the country that is the Accra–Kumasi Road.

This provides opportunities for commercial activities in the town, particularly the marketing of bread and pastries.

 Youth and women living conditions in the community

The Nsawam area is very well noted for its vigorous farming activities. There are a couple of commercial pineapple and pawpaw farms in the locality which employs a few of the locals in the within and outside of the area. Apart from the few commercial farms in the area, there are a lot of small-scale farms there as most of the people living in the community are farmers.

Most of the youth and women in the Nsawam community are either semi-literate or uneducated. This is a very big problem as it makes access to formal job opportunities very difficult. The youth are left with no option but to do menial jobs for a living. Most of them end up engaging in all sorts of criminal activities as they have to not only fend for themselves but for their families as well.

The women on the other had are either married off to older men who in the minds of family members are in a better position to take better care of them. Most of these women end up on the farms of their husbands as farm hands and are often also given small portions of land to work on to take care of themselves and their children. The fortunate women who own their own lands mostly do not have the resources to cultivate them. These are the major challenges facing the youth and women within the community.

Social enterprise intervention for the Nsawam-Adoagyiri community

As a form of a social intervention program a social enterprise organization, The Roger Project has been set up to assist identify the challenges and come up with innovative strategies to assist the youth and women especially to deal with the situation in the area.

The center is an innovative program response that blends leading approaches to youth and development, social innovation, and entrepreneurship to empower marginalized youth and women to become social innovators and social entrepreneurs. It will combine social innovation workshops, mentorship, and incubation and seed funding, to equip young people and with the skills and resources they need to identify problems in their own communities and design solutions for them. While they build social and entrepreneurship skills; the center will positively impact the wider community through the indirect benefits of the products and services that youth design, as well as changing perceptions of youth as positive change agents, rather than a problem to be solved.

Activities of the program

The program will be run in several phase but for specifics the first phase which is being discussed now will focus mainly on three areas.

• Training the women about agribusiness and the various value chain activities within agriculture.
• Setting up of gari processing projects
• Financial literacy education

Strategy

1. Organize community group meetings using queen mothers and other opinion leaders.

• Explain what the agribusiness value chain is all about and explain to the gathering why everybody cannot engage in farming but could fit in any of the other activities related to agribusiness
• Put them in groups of their choice apart from farming. Input dealership, marketing of farm produce, transportation, equipment handling, and farm gangs to weed the farms. etc.
• Ensure they select leaders for the various groups

2. Collaborate with community leaders to acquire lands within the community for demonstration and farming purposes.

• Acquire lands for the groups who are interested in farming itself and others for processing activities.
• Use some for demonstration purposes where farmers will go and learn new things when it comes to specific crops and their cultivation.
• Ensure all those interested in farming will be part of the learning process.

3. Look for markets for produce which is doing very well in the community and sign contracts with these off takers to enable the farmers produce for those markets.

• As discussed earlier the community is well noted for pineapple and pawpaw production so some of these formal markets will be sort for to enable the farmers plant to feed such markets.

4. Set up gari processing centers within the community. Even though most of the farmers in the community are pineapple and pawpaw biased it is clear that these products have a very long gestation period. It is important we equip the women with skills they can live on while they wait to harvest their main crops. It is in this light that we decide to set up these processing centers to assist the women make some money while they wait.

• There are a lot of people in the area who also pant cassava
• Most of this cassava end up rotting on the farms
• They do not get value for the cassava and are losing interest in cultivating them
• In this light the setting up of such facilities will go a long way to assist theses farmers make some money from their sweat.

5. Financial literacy training.

• One major challenge with farmers is how to raise funds for their activities, the initiative will engage the services of financial institution to take them through financial literacy education to enable them understand daily book keeping and how to qualify for financial assistance.
• The initiative will also look for financial support for the farmers to enable them scale up fast in order to make their work easier.

Conclusion

When we look at entrepreneurship generally in Ghana, rate of female entrepreneurs is very high. The Global Entrepreneurship Monitor reports high levels of confidence in entrepreneurial skills and ability, high levels of intention to start businesses and low levels of fear of failure. However, as a form of a social intervention program a social enterprise organization, the Roger Project has been set up to assist identify the challenges and come up with innovative strategies to assist the youth and women especially to deal with the situation in the area which will tackle most of the challenges facing the youth and especially women in the Nsawam – Adoagyiri community. 

References

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Nsawam-Adoagyiri Municipal Assembly. (2021). About US – The Nsawam-Adoagyiri Municipality. Accessed on February 15, 2022, from http://www.nama.gov.gh/

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Umar, L.Y. & Mohammed, A., M. (2014). An Assessment of Youth Participation in Community Development Programs in Damaturu Local Government Area Yobe State, Nigeria. Journal of Humanities and Social Science, 19(7), 13-24.

SOURCE: 

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