Gender and Entrepreneurship as a Career Choice: Do Self-assessments of Ability Matter?

The gender gap in entrepreneurship has typically been understood through women's structural disadvantages in acquiring the resources relevant for successful business ownership. This study builds on resource-based approaches to investigate how cultural beliefs about gender influence the process by which individuals initially come to identify entrepreneurship as a viable labor-market option. Drawing on status characteristics theory, this study evaluates (1) how cultural beliefs about gender and entrepreneurship influence self-assessments of entrepreneurial ability, and (2) the extent to which such assessments account for the gender gap in business start-ups. Results suggest that women are significantly less likely to perceive themselves as able to be an entrepreneur and they hold themselves to a stricter standard of competence when compared to similarly situated men. This gender difference in self-assessments accounts for a significant portion of the gender gap in entrepreneurship after controlling for relevant resources. Additional analyses reveal that significant gender differences in self-assessed ability persist among established business owners.