Women entrepreneurs are vital contributors to the global economy, driving innovation, creating jobs, and fostering inclusive growth. Supporting and empowering women in business is not only a matter of equity but also a strategic imperative that yields significant benefits for the business world and society as a whole.
Economic Contributions
Women-owned businesses are a significant force in economic development. In the Philippines, 66% of SMEs are women-owned, according to the State of the Filipino Women report by the Philippine Commission on Women (PCW). Women own about 40% of businesses in the country, placing the Philippines among the leading nations in Asia for female entrepreneurship.
Women in the Philippines have made significant and diverse economic contributions throughout history and in the present day. Their roles have evolved from traditional activities to various sectors, significantly impacting the nation’s economy.
Historical Perspective
During the Spanish colonial era, women were primarily confined to housekeeping and childrearing, often viewed as reserved and submissive. Despite these stereotypes, they were active and enterprising, engaging in weaving and embroidery, which later became significant exports during the American colonization. By 1921, embroidery exports reached PHP 15,000,000, and hat exports amounted to PHP 1,490,020, demonstrating their vital role in economic development.
Modern Economic Activities
Today, women’s associations are actively involved in the agricultural sector, contributing to the production, value addition, and sale of agricultural products. Many are farmers’ wives, while others are heads of households, balancing family responsibilities with community and economic aspirations. These associations participate in programs like the “Kadiwa ng Pangulo,” which helps them access wider markets.
Labor Force Participation
As of 2018, less than half of Filipino women were in the labor force, with a participation rate of 46.6%. However, this represents an increase from 39.3% in 2011, indicating progress in women’s economic engagement. A significant number of women work abroad as Overseas Filipino Workers (OFWs), with 1.26 million female OFWs remitting approximately PHP 58.2 billion annually as of 2017.
Entrepreneurship
Women entrepreneurs play a crucial role in the Philippine economy, particularly through micro, small, and medium-sized enterprises (MSMEs). MSMEs contribute to 40% of the country’s gross domestic product and provide employment for 63% of the population. In 2020, over 950,000 MSMEs existed, with women leading more than half of them. Despite their prevalence, women entrepreneurs face challenges such as limited access to resources, credit, and global trade opportunities, as well as shortcomings in digitalization and competitiveness.
Empowerment Initiatives
Various initiatives aim to empower women in the Philippines. The Department of Agriculture Philippine Rural Development Project (DA-PRDP) supports women through infrastructure and enterprise subprojects. In Mindanao, a significant number of women are involved in farming, processing, enterprise management, finance, and marketing. Moreover, the International Trade Centre’s (ITC) SheTrades initiative and Visa have launched projects to strengthen women entrepreneurs in the digital economy, providing them with access to knowledge, resources, and networks.
Addressing Challenges
Despite their contributions, many Filipino women still face poverty, with 22.5% considered poor nationwide as of 2015. The poorest women are located in regions such as the Autonomous Region in Muslim Mindanao (ARMM) and Eastern Visayas. To address these disparities, policies are needed to enable women to participate in paid labor while fulfilling domestic responsibilities. This includes quantifying the value of their domestic duties in the country’s GDP estimates and implementing flexible work arrangements.
Driving Innovation and Diverse Perspectives
Women entrepreneurs bring fresh perspectives and innovative approaches to leadership, often prioritizing sustainability, equity, and social responsibility in their business models.
• Unique Perspectives: Women offer novel products and services and potential for doing things differently, fostering fresh perspectives that better understand more than half the world’s consumers.
• Innovation: Women entrepreneurs drive innovation and creativity, pioneering new business models and technologies.
• Problem-Solving: They launch ventures that reflect their passions and solve real-world problems, contributing to a more diverse and resilient economy.
Benefits of Supporting Women Entrepreneurs
Supporting women entrepreneurs yields numerous benefits for the business world and society:
• Economic Growth: Women-owned businesses drive economic growth, create jobs, and stimulate local and national economies.
• Innovation and Creativity: Women bring fresh perspectives and innovative solutions to the market, fostering competition and economic advancement.
• Social Impact: Women entrepreneurs address social challenges through their businesses, focusing on areas such as education, healthcare, and environmental sustainability.
• Inspiration and Role Models: Women entrepreneurs serve as role models, inspiring and motivating aspiring women entrepreneurs to pursue their dreams and overcome societal barriers.
Conclusion
Empowering women entrepreneurs is not just a matter of fairness; it is a strategic imperative that drives economic growth, fosters innovation, and promotes social good. By addressing the challenges women face and providing the necessary support and resources, we can unlock their full potential and create a more equitable and prosperous business world.
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