Digitalization and entrepreneur’s gender: Evidence for Spanish SMEs in the service and retail sectors

Alfonso Expósito, Amparo Sanchis-Llopis and Juan A. Sanchis-Llopis
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Alfonso Expósito: University of Málaga, Spain
Amparo Sanchis-Llopis: University of Valencia and ERICES, Spain
Juan A. Sanchis-Llopis: University of Valencia and ERICES, Spain

No 2211, Working Papers from Department of Applied Economics II, Universidad de Valencia

Abstract: This study investigates the role of the entrepreneur’s gender on digitalization strategies undertaken by SMEs in the service and retail sectors. Specifically, we aim at testing how the gender of the entrepreneur may affect investment in software and equipment related to information and communication technologies (ICT). We use a sample of 1,041 Spanish businesses and estimate a bivariate probit model for these two decisions, controlling for other entrepreneurial and business characteristics. Results indicate a higher probability of male entrepreneurs to invest in software and ICT equipment, as compared to women. Furthermore, we find that entrepreneurial risk-taking and business’ innovation capabilities are important drivers for engaging in these two digitalisation strategies, regardless of the gender of the entrepreneur, and that entrepreneurial proactiveness is especially important for women entrepreneurs, since the positive impact of entrepreneurial proactiveness on the probability to engage in digitalisation strategies is stronger in women-led businesses. This study provides new empirical evidence on the role of entrepreneur’s gender in SMEs regarding their digitalisation strategies.

Keywords: Gender of entrepreneur; small and medium-enterprises; digitalisation strategies; information and communication technologies; bivariate probit model. (search for similar items in EconPapers)
JEL-codes: C35 J16 L26 M21 (search for similar items in EconPapers)
Date: 2022-10
New Economics Papers: this item is included in nep-cse, nep-gen, nep-ict and nep-sbm
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