Analysis to understand how gender differences between male and female entrepreneurs impact their firm performance.

1. Examining the
Glass Ceiling for
Female Entrepreneurs
Hannah Stoppelmann
UCLA Master of Social Science
June 2019

2. The Glass Ceiling
World War II saw an
influx of women in
the labor market,
influencing future
generations of
women’s labor
participation and
desire for careers.
Despite this labor
market shift, roles in
the home have
remined largely
unchanged, as women
still take on a
majority of household
responsibilities.
In the United
States, larger
salaries and higher
job titles are often
associated with
longer hours, more
commitments and
less flexibility.
This difficult
balance of work
and family
disproportionally
impacts women as
they try to juggle
their personal and
professional lives.

3. 45%
Female employees
5%
Female CEOs
36%
Female entrepreneurs
12%
Female entrepreneur revenue share
Corporate
Labor Market
Female Representation*
Entrepreneurship
Labor Market
Female Representation^
*Source: Catalyst “Pyramid: Women in S&P 500 Companies”
^Source: U.S. Small Business Administration

4. “
Research Question:
Do female entrepreneurs
bypass the glass ceiling?
?

5. Analysis Process
Survey of
1,200 aspiring
entrepreneurs
in the U.S.*
Study followed
the individuals
for five years
to track their
business
progression.
I analyzed firm
performance
based on
operational
firm creation
and one-year
survival rates.
I also examined
the individual
entrepreneur
characteristics.
*Source: Panel Study of Entrepreneurial Dynamics II

6. One-Year
Survival Rates of
Operational Firms
Male Female
Importance of
Flexibility For
Starting Business
Avg. Time per Week
on Home Duties of
Entrepreneurs
Male Female Male Female
69% 71% 14 hrs 27 hrs 86%
60%
Major Paper Findings

7. Key Takeaways
1. Women and men are equally capable of creating an initially successful
new business.
2. Given its flexibility, entrepreneurship could be a good solution for
women who want to reach leadership positions, but also want to be
able to balance their personal and family responsibilities.
3. However, observed gender differences among entrepreneurs are
similar to the differences found in research related to the corporate
glass ceiling, which could inhibit female entrepreneurs’ longer term
business performance.