Women Entrepreneurs encounter two sets of problems i.e, general problems of entrepreneurs and problems specific to women entrepreneurs. These are discussed as follows.
1. The problem of Finance: Finance is regarded as “Life-blood” for any enterprise whether small or big. However, women entrepreneurs suffer from a shortage of finance on two counts. Firstly women do not generally have property on their names yo use them as collateral for obtaining funds from external sources. Secondly, the banks also consider women less credit-worthy and discourage women borrowers on the belief that they can at any time leave their business.
2. The scarcity of Raw Material: Most of the women enterprises are fallen by the scarcity of raw material and necessary inputs. Added to his is the high price of raw material, on the one hand getting raw material at the minimum discount, on the other.
3. Stiff Competition: Women entrepreneurs do not have organizational set up draw a lot of money for canvassing and advertisement. Thus, they have to face stiff competition for marketing their products with both organized sector and their male counterparts. Such a competition ultimately results in the liquidation of women enterprises.
4. Limited Mobility: Unlike men women, mobility in India is highly limited due to various reasons. The complicated exercise involved in starting an enterprise associated with the official humiliating attitude towards women compels them to give up the idea of starting an enterprise.
5. Family Ties: In India, it is mainly a woman’s duty to look after the children and other members of the family. The man plays a secondary role only. In case of married women, she has to strike a fine balance between her business and family. Her total involvement in the family leaves little or no energy and time to devote for business.
6.Lack of Education: In India, around 60% of women are still illustrated. Illiteracy is the root cause of socio-economic problems. Due to the lack of education and qualitative education, women are not aware of business, technology and market knowledge. Thus lack of education creates problems for women in the setting up and running of business enterprises.
7.Male-Dominated Society: The constitution of India speaks of equality between sexes,, But in practice, women are looked upon as able I. e., weak in all aspects. Women suffer from male reservation about a women’s role, ability and capacity and are treated accordingly. In the nut shell, in the male-dominated Indian society women are not treated equally to men.
8. Low Risk-Bearing Ability: Women in India lead a protected life. They are less educated and economically not self-dependent. All these reduce their ability to bear risk involved in running an enterprise Risk-bearing is an essential requisite of a successful entrepreneur.