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Innovative Female-Led Startups. Do Women in Business Underperform?

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  • Paola Demartini

    () (Department of Business Studies, Roma Tre University, 00154 Roma RM, Italy)

Abstract

The spur of innovative startups has provided an unprecedented opportunity for female entrepreneurship. However, the mainstream literature on startups has elaborated a gender performance gap hypothesis. Considering the speed of technological, social, and cultural changes that have taken place in this millennium, we wonder if this gap can still be found today, with particular reference to new technology-based ventures. A financial analysis has been conducted on a sample of innovative Italian startups, and the following variables have been used to assess the company’s success: (i) size, (ii) profitability, (iii) efficiency, (iv) financial structure, and (v) financial management. Our results reveal that as far as financial performance is concerned, innovative female-led startups do not lag behind male ones in terms of dimension, company profitability, efficiency, and financial management. However, findings confirmed, even for our sample, that female businesses raise, on average, a lower amount of financial resources in comparison to men.

Suggested Citation

  • Paola Demartini, 2018. "Innovative Female-Led Startups. Do Women in Business Underperform?," Administrative Sciences, MDPI, Open Access Journal, vol. 8(4), pages 1-15, November.
  • Handle: RePEc:gam:jadmsc:v:8:y:2018:i:4:p:70-:d:183650
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    References listed on IDEAS

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    More about this item

    Keywords

    Innovative female startups; underperformance hypothesis; gender gap; high tech female entrepreneur;

    JEL classification:

    • M - Business Administration and Business Economics; Marketing; Accounting; Personnel Economics
    • M0 - Business Administration and Business Economics; Marketing; Accounting; Personnel Economics - - General
    • M1 - Business Administration and Business Economics; Marketing; Accounting; Personnel Economics - - Business Administration
    • M10 - Business Administration and Business Economics; Marketing; Accounting; Personnel Economics - - Business Administration - - - General
    • M11 - Business Administration and Business Economics; Marketing; Accounting; Personnel Economics - - Business Administration - - - Production Management
    • M12 - Business Administration and Business Economics; Marketing; Accounting; Personnel Economics - - Business Administration - - - Personnel Management; Executives; Executive Compensation
    • M14 - Business Administration and Business Economics; Marketing; Accounting; Personnel Economics - - Business Administration - - - Corporate Culture; Diversity; Social Responsibility
    • M15 - Business Administration and Business Economics; Marketing; Accounting; Personnel Economics - - Business Administration - - - IT Management
    • M16 - Business Administration and Business Economics; Marketing; Accounting; Personnel Economics - - Business Administration - - - International Business Administration
    • L - Industrial Organization

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