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Factors influencing micro-entrepreneurship among women SHG members of Sikkim: a propensity score matching approach

Smriti Prasad (Department of Economics, Sikkim University, Gangtok, India)
Manesh Choubey (Department of Economics, Sikkim University, Gangtok, India)

International Journal of Social Economics

ISSN: 0306-8293

Article publication date: 17 October 2023

Issue publication date: 21 May 2024

205

Abstract

Purpose

The paper identifies the influence of socio-economic factors and livelihood training in stimulating micro-entrepreneurship among women self-help group (SHG) members.

Design/methodology/approach

The study is based on a sample of 416 women SHG members drawn from all the four districts of Sikkim using cluster sampling procedure. A multivariate binary logistic model is used to find the impact of socio-economic factors, and a Poisson regression has been used to find the impact of training on fostering micro-entrepreneurship. The result is validated using a propensity score matching approach which corrects for the potential self-selection bias in the sample. Subsequently, a covariate adjustment estimator verifies the robustness of the approach.

Findings

The study finds that “size of landownership”, “amount of loan borrowed”, “member's age”, “number of earning and dependent members”, “number of years of SHG enrolment” as well as the “district to which the member belongs to” have a statistically significant influence on the graduation of SHG members to micro-entrepreneurs. Furthermore, it is found that members attending the livelihood training programmes had a significantly higher number of microenterprises.

Originality/value

The study differentiates itself by providing empirical evidence on how socio-economic factors and livelihood training stimulate micro-entrepreneurship among SHG women of Sikkim, which has so far remained unexplored. Moreover, advanced econometric method has been used to eliminate the possible self-selection bias involved with training participation and thereby provides reliable and robust results.

Peer review

The peer review history for this article is available at: https://publons.com/publon/10.1108/IJSE-01-2023-0070

Keywords

Acknowledgements

Smriti Prasad is a recipient of Indian Council of Social Science Research Doctoral Fellowship. Her article is largely an outcome of her doctoral work sponsored by ICSSR. However, the responsibility for the facts stated, opinions expressed and the conclusions drawn is entirely that of the author.

Funding: The study was funded by the Indian Council of Social Science Research [Grant code: RFD/2018-19/GEN/ECO/06].

Citation

Prasad, S. and Choubey, M. (2024), "Factors influencing micro-entrepreneurship among women SHG members of Sikkim: a propensity score matching approach", International Journal of Social Economics, Vol. 51 No. 6, pp. 741-756. https://doi.org/10.1108/IJSE-01-2023-0070

Publisher

:

Emerald Publishing Limited

Copyright © 2023, Emerald Publishing Limited

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