How psychological perceptions and family dynamics shape necessity- and opportunity-based female entrepreneurship: the role of gender equality

Purpose: This paper aims to explore how psychological perceptions and family situations drive women into necessity- or opportunity-based female entrepreneurship (NBFE or OBFE) and the moderating role of gender equality. Design/methodology/approach: This study adopts multilevel logistic regression analysis to examine relationships based on a sample of 6,843 women across eight developing countries drawn from the Global Entrepreneurship Monitor (GEM). Findings: The findings suggest that capability and opportunity perceptions positively affect NBFE and OBFE. Family responsibility burden positively affects NBFE and has a U-shaped relationship with OBFE. Household income negatively affects NBFE but positively affects OBFE. Gender equality weakens the U-shaped relationship between family responsibility burden and OBFE but strengthens the positive relationship between capability perception and NBFE and between opportunity perception and NBFE. Research limitations/implications: The study highlights the need for targeted policies and support that consider the distinct antecedents and mechanisms of NBFE and OBFE, as well as the importance of promoting gender equality and entrepreneurial education to empower women in their entrepreneurial endeavors. A limitation of this study is the reliance on older data from the GEM, which may not fully capture the current dynamics of developing societies. While the study provides valuable insights, future research should incorporate more recent data to enhance the applicability of the results. Originality/value: This study deepens the understanding of antecedents of NBFE and OBFE, breaking through the existing literature that neglects the heterogeneity of female entrepreneurship (FE).