Women Entrepreneurship and Poverty Alleviation among Low income Families in Developing Societies: An Empirical Evidence from Nigeria

Abstract

The study investigated the relationship between women entrepreneurship and poverty alleviation among low income families in developing societies, and evaluated the impact of women entrepreneurship on poverty alleviation using Nigeria as reference. A survey design was employed with a questionnaire instrument administered to 250 women who are business owners in Lagos,using a simple random sampling technique. The response data were analyzed using both descriptive and inferential analytical methods.  The descriptive analysis showed that women take up entrepreneurship for the purpose of supporting their spouses to fight against poverty. A multivariate Partial Least Squares Structural Equation Model (PLS-SEM) was used for the inferential analysis and to specify the relationships among the construct variables in the study. The bootstrapping technique of the PLS-SEM was used to estimate the parameters in the model, with the aid of the Smart-3 software. The result of the factor loadings, reliability test, convergent and discriminant validity revealed that the construct variables are fit for the PLS-SEM. The path analysis revealed that wife’s income (women entrepreneurship) has significant positive relationship with provision of health care, education, clothing and housing, and hence significantly positively impact on poverty alleviation in these areas of family needs. But in contrast, women entrepreneurship does not impact significantly on food.  In general, the study concludes that women entrepreneurship is a key driver of poverty reduction among low income families in Nigeria. Therefore, it is recommended that government and other stakeholders should make deliberate efforts to promote women entrepreneurship by providing financial support and other facilities to women entrepreneurs.