What is it about?
Due to data limitations, it is often impossible to compare women-owned firms with their men-owned counterparts. In this study, we selected subset of small businesses with same or similar characteristics. We use six different characteristics (business owner's race, age, education, experience, number of weekly hours, location and industry of the business) to match these firms and compared their performances.
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Why is it important?
When comparing performances of a woman-owned firms with a man-owned firms, it is important to compare apples to apples. Because we used 430 pairs of a woman-owned and a man-owned firms with same characteristics, we are able to explain whether there is a gap in traditional performance measures (such as growth rate, or survival rate).
Perspectives
It's always debatable whether woman-owned firms lag behind men in terms of their performance. On one hand, most studies find women-owned businesses have lower survival rates, slower growth rates, or less access to credit. On the other hand, many studies conclude there is no gap in their performances. While it's hard to find two firms look the same, we hope our results explain why there are gaps in their performances.
Dr. Naranchimeg Mijid
Charter Oak Financial
Read the Original
This page is a summary of: Do women lag behind men? A matched-sample analysis of the dynamics of gender gaps, Journal of Economics and Finance, November 2017, Springer Science + Business Media,
DOI: 10.1007/s12197-017-9416-8.
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