Sexist attitudes affecting women entrepreneurs: study

AUCKLAND: Women entrepreneurs are experiencing varying levels of sexism as they try to raise capital for their businesses.

A new study from the University of Auckland’s School of Business examined the unique challenges women face as they hunt for new investors to expand their firms.

This study included interviews with 26 women who were at different stages of raising capital for their businesses, as well as interviews with both male and female investors.

It found many women who had a male cofounder or business partner found potential investors would direct their comments to their male colleagues, because they assumed that the women were not decisionmakers.

Women also reported being asked by investors if they were single or planned on having children and received comments about their choice of clothing.

‘‘In my opinion, when investors see a young woman, they think, ‘We don’t know how persistent this woman might be. She might decide to have a family and how strong is she to carry on being a CEO’,’’ one investor named Paula said.

The author of the research, Janine Swail, said women entrepreneurs had to think about how they dressed, what they said and how they conducted themselves in front of investors.

While there was no evidence that sexism was preventing women raising capital, these were factors that men did not have to contend with, she said.

‘‘If this is the ecosystem that we have, how will that encourage other women entrepreneurs to put themselves out there and raise capital if they are aware they are going to face extreme challenges ahead?

‘‘Will they make that next step for their growing businesses?’’

The challenges women faced when developing a business extended beyond just sexist interactions with investors.

One woman, named Deborah, said she thought most men would struggle to be in a relationship with her because they would have to assume most of the childcare commitments when she was on the road travelling trying to raise capital. Another woman discussed the awkward dynamic of having to pitch to her partner to get him to support her business, despite supporting him throughout his career.

The research found women were often discouraged from calling out sexist behaviour because it could be seen as rocking the boat, while others felt they should just ‘‘get past it’’, the study said.

Dr Swail said it had to be acknowledged sexism existed but women should not have to accept it.

It was incumbent on the investment community to become aware of these biases they might have and take steps to address them, she said. — RNZ

❛ In my opinion, when investors see a young woman, they think, ‘We don’t know how persistent this woman might be. She might decide to have a family and how strong is she to carry on being a CEO