Framework For Female Entrepreneurship In China

Theoretical framework: an entrepreneurial model for Chinese women
entrepreneurship



The institutional environment and internal motivations caused by push and pull factors stimulate the potential entrepreneur’s expectations. The gap between expectations and reality leads to entrepreneurial needs, which determine entrepreneurial motivation. It is motivation that gives rise to entrepreneurial decision directly; in addition, personal characteristics add variance.





The model in Figure 2 shows that entrepreneurial behavior is impacted by both motivation and personal characteristics. Entrepreneurial motivations, in turn, are underpinned by the institutional environment as well as push and pull factors. We use the framework in Figure 2 to examine specific factors associated with female entrepreneurship in China, focusing on institutional environment and personal characteristics. Pull factors include interest in business, self-fulfillment, personal control, and maintaining technological skills (Tong and Chen, 2004). Entrepreneurs motivated by pull factors often resign from their stable work environments to create their own new ventures by taking advantage of their accumulated financial savings as well as technological skills or management experience. Push factors include low income, future limitations on employee opportunities, loss of employment, and too much competition for jobs (Hu and Zhu, 2006). Push and pull factors were prevalent in the transformation of China. The interaction of internal and external factors determines personal entrepreneurial behaviors. External institutional environment and internal push or pull factors stimulate a person's expectations and create the existence of entrepreneurial need, resulting in the formulation of entrepreneurial motivation. Motivation and personal characteristics combine as possible factors, which together lead to entrepreneurial behaviors (Ahl, 2006).

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