The Dilemma of Growth: Understanding Venture Size Choices of Women Entrepreneurs

Michael H. Morris, Nola N. Miyasaki, Craig E. Watters and Susan M. Coombes

Journal of Small Business Management, 2006, vol. 44, issue 2, 221-244

Abstract: In recent years the number of women‐owned firms with employees has expanded at three times the rate of all employer firms. Yet women remain underrepresented in their proportion of high‐growth firms. A number of plausible explanations exist. To develop richer insights, a two‐stage research project was undertaken. A mail survey was sent to a sample of female entrepreneurs to assess motives, obstacles, goals and aspirations, needs, and business identity. Based on the survey results, follow‐up, in‐depth interviews were conducted with entrepreneurs, selecting equally from modest‐growth and high‐growth ventures. In terms of quantitative findings, growth orientation was associated with whether a woman was “pushed” or “pulled” into entrepreneurship, was motivated by wealth or achievement factors, had a strong women's identity in the venture, had equity partners, and believed women faced unique selling obstacles. The qualitative research made clear that modest‐ and high‐growth entrepreneurs differ in how they view themselves, their families, their ventures, and the larger environment. The results of both stages suggest that growth is a deliberate choice and that women have a clear sense of the costs and benefits of growth and make careful trade‐off decisions.

Date: 2006
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DOI: 10.1111/j.1540-627X.2006.00165.x

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