Self-employed women in UK

 For the divorced women, desire to spend more time with their children as the major reason for creating their own enterprise. It offered more flexibility than a conventional organizational career, enabled them to take more easily the dual roles of careerist and mother. (Stanley Cromie, 1987)  

In the case, Casey presents herself as an owner also as the mother. “It’s very difficult and conflict sometimes”, Casey says, “I want to control my life by myself and try to be independent woman, but I have to care of child and this really hold a majority of my life. In addition, I must earn more money as a man so that I can survive with my son.” Her son study in the Birmingham where drive about one hour from the Alcester. Every morning, Casey sends her son go to school and wait there till afternoon Alex finished, they come back together. Thus, Casey has to give up the lunch, but just open the take away at evening.

Security/less risk:

George (1998) argued that risk bearing is a prime characteristic of an entrepreneur. But for the female entrepreneurs, depend on their limited capital; they don’t like affording more risks. Through choose the traditional industry, low cost operation and so on, female entrepreneurs try to decrease the risk to the lowest level. For the female, they also will consider the problem of security.  

Casey thinks of security factor as first factor to start a business. The Alcester is a smaller place compare with the Birmingham. Setting up the business in there, Casey can get more customers and the dishes can be sold by higher prices. But the Alcester is a safety town there are not so many floating population. It makes Casey feel safety. In addition, China Town takeaway has a 20 years old takeaway before Casey set up it. To buy an old business is easy than set up a new one, because It has taken the good reputation in Alcester. Fortunately, Alcester is an old town and 90%-95% are local people, who lived the Alcester more than 20 years, and most people know the China Town and some of them became the loyalty customer. Casey believes that there is no risk to deal in this takeaway continuous because she didn’t need to find new customer and more security to develop her business.

Try to deal with industry, which have done before, also can reduce the risk to fell. Casey had worked in some hotels and she had a restaurant with her husband in Birmingham before she divorced. According to her previous working experience, she didn’t want to find a new or unfamiliar work because of risk and uncontrollable. The most appropriate work to her is to build a new takeaway and using her previous experience to deal with. She believes that this is unique way to build up security and less risk to her, and has ability to take care her son also.

  In addition, compare with other business also appear in traditional businessperson, such as clothing business and artwork selling, Chinese takeaway has more mobility and less risk. For example, stock will less than clothing and artwork, and the target market is everybody because nobody could live without food. After discuss with her friends, she plans to manage a Chinese takeaway ensure the security situation.

  The services of China Town are not includes lunch serving, delivery and buffet, because the risk will be higher and more responsibilities has to take. According to Jean Bradlley, “businesswomen are asked to put the family home on the line as security… they are less willing to take that risk than men”.

Professional support

  “When I find a weakness, I usually fix it by bring somebody in who can do what in can’t” (Lore Harp, 1982) Lore also found that women’s strength is the strength of other people, they bring in someone else to fill in where they found the weakness of themselves. Compare with male entrepreneurs, female is more likely to support the external professional sources, such as the bankers or the lawyers. Because they are lack in the management experiences and special skills, professional support can help them solve the problems effectively and increase the quality of performance. Another reason is female haven’t enough time to deal with every thing by themselves. They need save time to care the family and children. Such as Casey, when she got the problem, she would go to ask the suggestions from the lower or the banker, which can decrease the risk and save her time.

   At same time, compare with male female are more likely to join the courses to improve themselves when they have the spare time. There are also some organizations or the courses are set up, which to help female learn the new skills and knowledge. (Appendix 4)

   

Financial barrier

Female in the non-traditional industry experienced greater financial problems, because they have the lake knowledge and previous working experiences on this area. Depend on the lack experiences and the professional skills, bank is rarely offer them the loan with the enough amount. So, usually, female will choose the traditional industries, such as the food services. But Peter Rose (1994) found women tended to start out with less initial capital in all sectors. So, the female entrepreneurs are willing to use their personal saving or borrow from the friends or families. Because the capital is limited, female owners prefer the cheaper resources.

Casey also uses her personal saving to set up the business. Compare with the restaurant, the take away is a low cost business. It is not necessary to rent a big place and hire many people as the waiters and cleaners. She also made the agreement contract with old owner and lease the house for ten years, but not buying the place. It helps her have more cash investing the performance of the business.

Then, the finance for the ongoing business may be less available for female-owned firms than it is for male enterprises. Female just wish to keep a stable living and have no ambition to earn so much money. It also influences their marketing strategies. Usually, they will use the word-of mother as the major advertising tool, because it is lower or none cost.

Stable/carefully to expend

  Some research interview by Agency for Trade and Industry shows that, women entrepreneurs in hotel and catering in relation to those active in business service are more often dissatisfied with the profits of their business – even more often than the male entrepreneurs in the same line of business. More than 70 per cent of the women find that the profits are too small.

On the contrary, the profits of China Town are stable and a little bit increasing from 2000-2003; Casey said she was very satisfied by herself, because the unique objective for her life is “Stable”. She said as the special situation for the takeaway business, China Town has stable customer group and no need to attract any other new customers. Moreover, this kind of business is less change and no need to creation and innovation.

  In fact, Casey has fully ability to expend two or more takeaway in other area, but she says she won’t has the enough time to take care of her son and she didn’t want the life just like a machine. For instance, the opening time of takeaway is 5:30PM, Casey can arrange everything before 5PM, which is flexible time can be controlled, such as send-off her son in the morning and back home together before 5pm. She satisfied with her currently earning and enough to live with her son controllable and enjoyable.

  Harold (1984) said successful entrepreneurs also are characterized as being able to monitor the environment and a being willing to accept innovations necessary to adapt their organizations to changes in the environment. Compare with male-owned business, most of them are willing to change and face to more risks, because it’s more challengeable. The man also has the ambition to expend their business as fast as possible. On the contrary, women entrepreneur are most take care of her family and child, they expect the more stable life than men.

But George (1988) argued that female entrepreneurs needed to achieve. They also desire to experience job satisfaction. Many female entrepreneurs have a high self-esteem and tend to enjoy attaining success. For the Casey, it maybe can achieve when the Alex is grow up and independent. Then she will be free to design the future of herself.

Lower paid

 Peter Rose (1994) suggests women perform less well on quantitative financial measures such as jobs created, sales turnover, profitability. Dr Eleanor Shaw of Strathclyde University, co-author of the report explains: "Most women hold low-paid, unskilled or semi-skilled positions, and earn on average 72% of male earnings. () It is affected by the Female’s responsibility for the family and children. They spend more time for the children, so the performance of the business is affected. Of course, their income will lower than the mail competitors.

  For the Casey, she gives up the market of the lunch serving and the all holiday. Usually, the holiday will bring more sales and profit for the food services industry. But it is also the only chance; Casey can have time play with Alex. For the son, she gives up to earn more money. It’s common in the female’s small business. They put more time on the family, but not the problem of the talent

  In fact, Peter Rosa and Daphne Hamilton found that women are satisfied with smaller earnings in their enterprises, perhaps because they want to work less while at the same time they attach more importance to quality of life and "the holistic life", that might not the problem for Casey didn’t expend her business, because that is the real life her wanted.

Carefully and warmly

  Casey thought of her business carefully than other male entrepreneur, she wants to keep reputation for her restaurant, and fully prepare to start a new takeaway. She has achieved sufficient condition to start up her business, such as food hygiene certificate, food insurance and VAT number to improve the service quality and make higher credibility to the customer. Furthermore, when other Chinese two restaurants, Roast Chicken and Sea King takeaway, enhance their promotional activities, for instance, they serve the lunch (China Town has no lunch and delivery service), buffet and free delivery to customer, and present the new delicious dish and food attract more and more people aware their brand, China Town didn’t unreasoning just followed those two restaurants, Casey says, the real competitive advantage to China Town is good service and close relationship with customer, ensure the food cleansing and delicious is most important factors to keep the customer. She also said about English culture, most people like traditional and original things, not new things. So she compete with other competitors through improve the quality control and good service, such as keep the dish warm until take away, and she remember every old customer’s name and their favorite dishes so that save the time and close relationship with customers. Through the carefully thinking by Casey, she has obtained strong competitive advantage compare with other two Chinese takeaways.

  In addition, compared with male-owned businesses, women are under-capitalized, have less managerial experience and inferior access to financial and other networks. To avoid the financial problem, Casey thought it’s dangerous and difficult to apply the bank loan, so she didn’t plan to re-decorate the original takeaway, even though it’s really old style restaurant. From the beginning, she only has limited money to lease the home and managing the business. Casey says she has to carefully think of the money problem, the most important to her is son and her own life, “there was no need to make the bank loan because more risk and out of control”.

   Female owner are unwilling to expend, but it doesn’t means no improving. Through increase the equality of service, nice profit and keep the loyalty consumers also can be achieved. Although Casey doesn’t want to change and expend her business, she had re-decorated her restaurant before five months. (Appendix) “The important thing to improve the environment, is satisfied the customers and enhance the service quality furthest”, says Casey.

Better communication skill

  Harold (1984) suggests that women are better at communication and at tasks requiring language abilities. It can help the business to establish the closed relationship with customers and attract more people through the word-of-mouth.

Similarly, Casey is a kind woman to the customer, sometimes customer complain the dish are too cold and not fresh enough. Casey apologized to them first and give them a free new dish, even the whole meal are free to the customers with smile. Then the customer will be satisfied, next time they will come again.

Although some time, it is not the fault of the take away, but the customer pick quarrel. However, Casey believes the only way to live are depend on her customers, make the customer satisfied with the quality and service are necessarily, the good communication skill could ensure the high satisfaction level and keep the good brand image around people.

Employee relations

    Many female entrepreneurs stated that issues of employee relations posed the most difficult and intractable of all problems. (Sara Carter, 2000, p173) On the other hand, Cynthia (1991) believes that men tended to “command and control” and women leaned toward “transformational” patterns, using interpersonal skills. Women differ from men in that they “encourage participation, share power and information, enhance other people’s self-worth, and get others excited about their work.

  Casey described herself like a good nature woman, which means patient to her employees and customers. She could made the better and softly communication with her employees if something goes wrong, such as prepare the wrong dish to wrong customer or when the customer complain the poor service and quality. She says she knows everyone is working hard every day, they are unhappy to be criticized, as sometimes the mistakes are ineluctable. Most time she will say doesn’t matter to her employees and encourage them try their best to improve and put right. “The serious conflict can be avoided if you are patient and heartsease”.

On the other hand, sometimes she feels that be a female affect she manage the staff. As a woman, sometimes hard to control employees, even though woman is patient, she might out of control at the same time. For example, employees always show their attitude or comment without any constrain, and they consider Casey as their friends not boss, Casey says it’s a good thing and also a bad thing because sometimes she feel shy to command or point out the problem from them. However, according to the research by Harold Welsch and Earl Young, women's management style prioritizes teamwork, cooperation in networks, and flat hierarchies, Casey also believes cooperate with her employees all the time, her business can be improve, so she is tolerant when the employees made the mistakes. That is also a difference from man, the male manager is serious and rigid, they are more likely control their employees easily, but cannot made the higher motivation and willingness from subordinates.

CONCLUSION AND RECOMMENDATION

Peter Rosa (1994) argued that the female single owners performed significantly less well than male single owners.

REFERENCE

1. Sara Carter & Dylan Jones-Evans (2000), Self-employment and small firms, Enterprise and small business, pp11-14, Pearson Education Ltd.
2. Sara Carter & Dylan Jones-Evans (2000), Gender and enterprise, Enterprise and small business, pp166-181, Pearson Education Ltd.
3. Stanley Cromie, Similarities and differences between women and men who choose business proprietorship, International small business journal, 1987 volume 5, No3
4. Jo Ann C.Carland & James W. Carland, an empirical investigation into the distinctions between male and female entrepreneurs and managers, International small business journal, April-June 1991,volume 9, No 3.
5. Peter Rosa, Daphne Hamilton, Sara Carter & Helen Burns, The impact of gender on small business management: Preliminary findings of a British study, International small business journal, April-June 1994, Volume 12, No 3
6. Lore Harp, The entrepreneur sees herself as manager, Harvard business review, July-August 1982, No 1
7. Harold Welsch & Earl Young, Male and female entrepreneurial characteristics and behaviors: A profile of similarities and differences, International small business journal, Summer 1984, Volume 2, No 4
8. Sue Birley, Female entrepreneurs: Are they really any different? Journal of small business management, Jan 1989, Volume27, No 1.
9. George T. Solomon & Lloyd W. Fernald, Value Profiles of male and female entrepreneurs, International small business journal, April-June 1998, Volume 6, No 3.
10. Nan Stone, Mother’s work, Harvard business review, Sep-Oct 1989, Volume 67, No 5.
11. Cynthia Fuchs Epstein, Ways men and women lead, Harvard business review, Jan-Feb 1991, Volume 69, No 1
12.  Schreier, J (1973) The female entrepreneur: a pilot study. Milwaukee, WI: Center for venture management.
13. Hertz, The business amazons
14. Schwartz, E.B (1976), entrepreneurship: a new female frontier, Journal of contemporary business, winter 47-76
15. Women Entrepreneurs, Business and money,
16. Nick Gibson, Women flight for their position in business, Management,
17. Women business owner in UK, Center for the firm, entrepreneurship and management,
18. U.K and Sweden promote female entrepreneurship, 7 Feb 2001,
19. Unequal entrepreneurs: Why female enterprise is an uphill struggle, 18 Oct 2001,

     

19. http://www.efs.dk/publikationer/

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APPENDIX

1. Source from: p11, Enterprise and small business

2. Interview questions:

3. Alex

The good points about living in a Takeaway is that

A. It is very peaceful.

A. When you are doing your homework nothing can disturb you.

A. You can ask for free food when you are hungry instead of buying the food

from local supermarkets.

The bad points about living in a Takeaway is that

A·        There are no any places to play for example, big parks with swings.

A·        There are no any friends from your local school to come and visit you

A·        And it is too long to drive from home to school and from school back to home.

It is also very tiring for my mum because she finishes work very late and she

dose not get much sleep so I appreciate her hard work very much and I need to

repay her with very good marks and test results and try not to get her in a bad

mood!

4.  Professional support

Luckily there is already some help out there for women. For example the dedicated website for female entrepreneurs  works closely with leading industry experts and professionals to find ways to give information, advice and help to equip their members with the tools needed to start or grow a business.

It works both on and off line with companies like IBM, NatWest Bank and BDO Stoy Hayward who support the site. It also has a free reference library and bulletin boards so that members can discuss the latest issues that are affecting their businesses.

5, Newly established business distributed by lines of business 1997----women entrepreneurs

Newly established business distributed by lines of business 1997----male entrepreneurs

6, Self-employment in UK 1990-1999 by Gender

7 Female share(%) of self-employment in UK regions 1990-1999