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Bribe or die: gender differences in entrepreneurship in emerging markets

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  • Lan Thanh Nguyen
  • Hung T. Nguyen
  • Mia Hang Pham

Abstract

This paper examines the relation between gender differences in entrepreneurship and firm-level bribery, one of the most impactful business obstacles to private sector growth. Using data from a comprehensive survey covering 16,560 enterprises in 32 emerging economies, we find that female-led firms account for 19.2% of all enterprises, which is approximately 4 times lower than the share of male-led firms, and that female entrepreneurs experience a higher level of bribery than their peers. The impact of gender on bribery is more pronounced among firms located in countries that are more corruption-prone and becomes weaker among countries with a higher female graduation ratio at the tertiary level. In addition, female-run firms have a lower likelihood of obtaining a construction permit, securing a government contract, or holding an operating licence. Overall, the results suggest that a bribe-to-survive motive is a possible explanation for the higher level of bribery among female-led firms in emerging markets.

Suggested Citation

  • Lan Thanh Nguyen & Hung T. Nguyen & Mia Hang Pham, 2021. "Bribe or die: gender differences in entrepreneurship in emerging markets," Applied Economics, Taylor & Francis Journals, vol. 53(19), pages 2170-2191, April.
    • Handle: RePEc:taf:applec:v:53:y:2021:i:19:p:2170-2191
    DOI: 10.1080/00036846.2020.1856325
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    Cited by:

    1. Olayinka Oyekola & Martha A. Omolo & Olapeju C. Ogunmokun, 2023. "Are majority-female-owned firms more susceptible to bribery solicitations?," Discussion Papers 2311, University of Exeter, Department of Economics.
    2. Tonoyan, Vartuhi & Boudreaux, Christopher J., 2023. "Gender diversity in firm ownership: Direct and indirect effects on firm-level innovation across 29 emerging economies," Research Policy, Elsevier, vol. 52(4).
    3. Khurana, Indu & Tamvada, Jagannadha Pawan & Audretsch, David B., 2023. "The weaker sex? A tale of means and tails," Journal of Business Venturing Insights, Elsevier, vol. 20(C).
    4. Kim, Sahrok & Praveen Parboteeah, K. & Cullen, John B. & Jeong, Nara, 2022. "Social institutions approach to women’s firm ownership and firm bribery activity: A study of small-sized firms in emerging markets," Journal of Business Research, Elsevier, vol. 144(C), pages 1333-1349.

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