EXECUTIVE SUMMARY

Today, women empowering is the most important and critical issue in Bangladesh. It
helps a woman to overcome any unexpected situation, increase her social status,
Provides security. In general, the case studies presented in this paper show the
extraordinary resilience of the women entrepreneurs of Bangladesh. Some of them
have converted their livelihood challenges into business opportunities, some have
converted their felt social obligation into successful business models, and some have
dared to pursue their dream of owning a business against all social and family odds.
All of them are survivors! Despite such extraordinary business potential, the women
entrepreneurs are challenged by certain problems that have been preventing them
going for expansion. A number of factors motivates women to become a successful
women entrepreneur – Desire to do something, Need for independence, hobby,
availability of funds etc .Although many theoretical and empirical researches on
women entrepreneur was made in the western countries, very little is known on the
topic in the Bangladesh context. The study has been conducted by a empirical
survey to collect necessary data and information to present the facts in a logical
format & has made a modest attempt to provide a small block of knowledge in the
field and its practices & development in Bangladesh especially in Chittagong. A huge
number of articles and statements have been collected for this purpose & the nature
of women entrepreneur in CTG has been studied & views of the concerned authority
in this regard examined. It has been found that the present scenario of women
entrepreneurship in CTG reasonably satisfying, Although it has some limitations &
weaknesses such as discrimination problem, placement problem, no sufficient
experience or training, extortion, high materials cost, shortage of capital & skilled
employees. In the light of the identified limitations and weaknesses, some
recommendations have been suggested towards its possible improvements in the
future.

1
 OBJECTIVES OF THE STUDY
The main objective of the paper is to explore the potential of business expansion of 7
boutique house by the existing women entrepreneurs of Bangladesh especially in
Chittagong city, its socio – economic impact and also to identify problems and
suggest guidelines. Following are the specific objectives of the study:

 To evaluate the nature of women entrepreneurship in Chittagong city.

 To know about difficulties which are faced by the women entrepreneur
to sanction bank loan.
 To collect information about women empowering in Bangladesh.
 To show how they are creating an overall positive impact on their
family status and for economic solvency.
 To identify the major constraints for women entrepreneurship
development and giving recommendations for the rapid flourishment of
women entrepreneurial ventures.

METHODOLOGY

An empirical approach is used to fulfill the purpose of the study. First an initial
literature study is performed to get an idea about the women entrepreneur in
boutique business. Thereafter, empirical case study is completed which is limited to
7 boutique house. Due to constrain of resources in terms of time and money, it was
confined to Chittagong city only. In this study, the choices of boutique are based on
the purposeful sampling method, because it is more suitable, and representative with
rich information for pure qualitative studies. The data for the study, a detailed
questionnaire was administered by the owner of the each boutique house. The study
used both the primary and secondary data. Most of the data required for the study
were collected from primary sources through interview schedules. The collected data
& information have been processed manually. The analysis of the study is made by
combining the literature studies with the empirical data. Finally, the paper has been
prepared in the present form to make the study informative.

2
 LITERATURE REVIEW
Entrepreneurship Development is a very crucial factor for the acceleration of
economic growth of any country and women entrepreneurship development is an
essential part of human resource development. Women entrepreneurs have started
show in more interest because it provides them an opportunity to be one's own boss,
the challenges they want to face and the chances of making more money, which
outweigh their family duties. Moreover, technological development empowers
women to acquire more relevant qualifications and values to meet the demands of
entrepreneurship.

It is inspiring to mention here that, a new women’s entrepreneurs’ class is

increasingly emerging each year taking on the challenge to work in a male-
dominated, competitive and complex economic and business environment. Not only
have their entrepreneurship improved their living conditions and earned more
respect in the family and the society, but they are also contributing to business and
export growth, supplies, employment generation, productivity and skill development
of the country.

Women in Bangladesh are a significant entrepreneurial force, contributing to

the development of local, national and global economies. Women-run businesses,
mostly micro and small enterprises, are found in the production and marketing of
agricultural and consumer goods, as well as the provision of services for local,
national and multinational markets. The enterprises owned by women feature some
interesting characteristics regarding ownership, management, sources of capital,
technology, market orientation. More specifically:

Enterprise ownership is the main type of enterprise business which has seen
in women entrepreneurship. These women, are the Owner/operators of existing
micro-enterprises, and have proven management and technical skill in self-
employment.

Decisions related to choice of enterprise and market, borrowings are mostly

done by the owner. In many cases the decisions are taken by the male family
members or according to their guidance. Two management styles are visible: (i) the
owner is the manager and all the major decisions in all areas are taken by the owner;
(ii) the owner is the manager but market and bank related activities are supported
and influenced by male relatives.

Most of women-owned enterprises produce or provide services for domestic

market directly to the consumers or retail sellers. Often the production and market
are seasonal. Large enterprises sell to wholesalers and depending on the product
aim for foreign markets. Export is mostly in the area of handicrafts and agro-based
products.

3
 Self employed women have acquired on their own, especially from parents,
relatives or friends, the skills and capacities to operate enterprises. Some have
under-gone training and apprenticeship or worked as skilled labourers and obtained
enough knowledge to start their own business.

Women's traditional skill enables them to take up manufacturing in areas

where raw material for the products is easily available. Women in these activities
employ workers as skilled, non-skilled, permanent or as seasonal workers. With the
expansion of business and the development of quality products, training in skill,
technology, management and marketing becomes essential.

Many women are involved in the family trades, hereditarily performed through
generations and the skill is traditionally kept within the family. Women in such
activities have their enterprises or employment based at homesteads. Manufacturing
handicrafts or pottery, involved in food preparation, operating individual units of
embroidery, tailoring printing, dyeing, weaving, spinning, net making, etc., are some
of the activities in this structure.

This new system of generating income in the non-formal sector is providing

opportunities for women through a negotiable procedure obtaining orders for
products from either, exporters, producers, whole sellers, and middlemen.

These new occupations have been mastered by the women even though they
have to compete with the men. Women have become owners of medium and large
industrial units either through inheritance or through private initiative.

Women entrepreneurs faced several obstacles on running and opening their

enterprises. Though the three major stages in the entrepreneurial process – of
creating, nurturing and nourishing – are the same for men and women, there are
however, in practice, problems faced by women which are of different dimensions
and magnitudes, owing to social and cultural reasons.
The gender discrimination that often prevails at all levels in many societies
impact the sphere of women in industry too, and a cumulative effect of psychological,
social, economic and educational factors act as impediments to women
entrepreneurs entering the mainstream.
Access to credit for starting the business is a critical concern for women
entrepreneurs and women-owned businesses, due to their limited access to
collateral, banks' unwillingness to accept household assets as collaterals and the
lack of positive attitude and confidence of loan officers to women entrepreneurs'
managerial skills.

The limited access to market information and business support services

constitute a further impediment to women's access to existing opportunities. Some
women-led enterprises have already reached export potential. Women-led
enterprises export agricultural produce, processed foods, handicrafts, and other

4
items, and some are looking to order more products from self-employed, owner-
operated enterprises.

Women have limited access to vocational and technical training in

Bangladesh. In fact, women on average have less access to education than men,
and technical and vocational skills can only be developed on a strong foundation of
basic primary and secondary education. Bangladesh is characterized by low
enrolment among women in education, high drop out rates and poor quality of
education.
Women have fewer business contacts, less knowledge of how to deal with the
governmental bureaucracy and less bargaining power, all of which further limit their
growth. Since most women entrepreneurs operate on a small scale, and are
generally not members of professional organizations or part of other networks, they
often find it difficult to access information.
Most women have little access to policymakers or representation on
policymaking bodies. Large companies and men can more easily influence policy
and have access to policymakers, who are seen more as their peers. Women tend
not to belong to, and even less reach leadership positions in, mainstream business
organizations, limiting their input into policymaking through lobbying.
One characteristic that clearly distinguishes most businesswomen from their
male counterparts is the added responsibility society often puts upon them in their
roles as mothers and wives.
The often prevailing attitude that the women’s place is at home and that her
first priority is to look after the home and family constrain many married women from
venturing into entrepreneurship. Even for the women who are interested, the fact that
marriage often results in geographical displacement, makes serious
entrepreneurship the last option.
Most countries do not collect statistics on the sex composition of business
owners or operators. Indeed, statisticians would argue that such statistics are
methodologically problematic because many businesses have multiple owners and
operators, some of whom might be men and some women.

5
 INTRODUCTION
WOMEN ENTREPRENEURSHIP

A woman entrepreneur is defined as a woman who has alone or with one or more
partners, started, bought, or inherited a business, is assuming the related financial,
administrative, and social risks and responsibilities, and is participating in the firm’s
day-to-day management. Such women are also known as women business owners
or women entrepreneurs or self-employed women (LFS, 1996)

More recently, a new trend has emerged where women are venturing as
entrepreneurs and are contributing to the economic development. Women’s
entrepreneurship has been recognized during the last decade as an important
untapped source of economic growth. Women entrepreneurs create new jobs for
themselves and others and by being different also provide society with different
solutions to management, organization and business problems as well as to the
exploitation of entrepreneurial opportunities.

Goffee and Scase (1999) use a sample of 54 female proprietors to identify a

typology of female entrepreneurs. Four types of female entrepreneurs were
identified:

6
Chowdhury (1988) classified ten types of women entrepreneurs in her study as
follows: -

7
WOMEN ENTREPRENEURSHIP IN BANGLADESH

Women entrepreneurs in Bangladesh represent a group of women who have broken

away form the broken track and are exploring new vistas of economic participation.
Their task has been full of challenges (Begum 2000).

Motivations for women start-up business as Bangladeshi were identified as a desire

for job satisfaction, independence and achievement.

The major problems, identified by the female respondents in this study, were under
capitalization and a lack of knowledge and training in business skills. A majority of
the respondents reported difficulties in “overcoming some of the social beliefs that
women are not serious as men about business.”

Women entrepreneurship happening the positive. Government are now conscious to

procure the woman human resource, who are our 50% manpower. Industries
Minister Dilip Barua said the present government is pledged-bound to strengthen
participation of women in mainstream business and commerce besides ensuring
women empowerment. The government expects that every woman in the country
would contribute to the socio-economic development through their own capacity.

Bangladesh Bank Governor said- the central bank has taken steps to overcome
the problems in the SME sector, especially for removing obstacles for women
entrepreneurs in getting loans. He said minimum 15 percent of the Bangladesh
Bank’s refinancing scheme has been preserved for disbursing loans to women
entrepreneurs and the interest rate for those loans have been fixed at 10 percent
interest rate.

8
There are some important step taken by the Govt., which are given below-

9
WHY WOMEN ENTREPRENEURS?

Labor force participation rate for female in Bangladesh has increased sharply from
8% in FY1984 to 29.2% in FY2006.

Labor force participation rate for

female in Bangladesh

30%

20%

10%

0%
1984 2006

Every year 600,000 women are adding to the labor force. With gender parity in
primary and secondary education, more educated women are a part of this labor
force. Accommodating such a big labor force is not possible unless the country
facilitates entrepreneurship development. Also, given the wide male-female disparity
in the workforce participation in economic activities, as Hussain (2008) argues, self-
employment for women in small businesses is the most plausible solution.
Of course, women entrepreneurs are gradually becoming important economic agents.
But there is a long way to go: proportion of women entrepreneurs in Bangladesh is
much less than that in many countries, including neighboring India, Pakistan, and
China. For Bangladesh to reach a level comparable to these countries, much needs
to be done both at macro-level (e.g. women-entrepreneur-friendly business
environment) and micro-level (e.g. capacity building). This requirement is also echoed
in the 2003 Asia Foundation Report. It says -
“… female entrepreneurs revealed that they faced harassment from
their male counterparts and customers. Women business owners
experienced extortion and tolls at roughly twice the frequency as their
male counterparts. Further, 93% of women entrepreneurs believe that
one reason there are not more WOBs is because women feel unsafe
having a shop .

10
WOMEN ENTREPRENEUR IN BOUTIQUE SECTOR (CHITTAGONG
PERSPECTIVE)

Boutique shops are one of the largest business sector where found more women
entrepreneurs. There are many Boutique shops situated in Chittagong city. Lion’s
shares of these shops are owned by women entrepreneurs. In Boutique shops new
designed and fashionable dresses are made and sold. They also take orders from
the customers. Customers suggest their own design or select from their catalog.
Embroidery, batic, applic, karchupi and different types of design are done in these
Boutique shops. These shops are mainly small business and very few workers work
in these shops. It is found that not more than five workers work in a shop and
average number of workers are three. These shops need not too much capital to
start but the return is much more appreciable. Resent study on this sector,
researcher find out 32% percentage of Women Entrepreneur is involved in boutique
business. A pie chat given below which show the different sector Women
Entrepreneur are involved.

Involvementof Women Entrepreneurin

differentsector
Dairy farming Others
8% 10%

Beauty parlors
Tailoring 29%
10%

Boutique
shops
Poultry 31%
farming
12%

Because of less capital needed and also for the demand this sector becomes much
attractive to the women entrepreneurs. But the competition also becomes higher and
higher in recent years.

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 ANALYSIS & FINDING OF WOMEN ENTREPRENEUR
ESPECIALLY IN BOUTIQUE BUSINESS IN
CHITTAGONG

There is no denial that women entrepreneurs are the first generation Business
women. Some of them have decent educational background, others don’t. However,
hardly any of them are business graduates, although some of them have gone
through a very brief training program. For many, such a background is probably
sufficient to start a business at micro or small scale. The owner’s of different
boutique house shares their different views about their starting period when
surveyed them. Maximum boutique house start its journey after 1990. Although the
time duration is not too much long from starting period to now but today they can
write their name as a successful and potential women entrepreneur. Most of the
entrepreneurs are quite happy with whatever they have already achieved despite
being women and despite operating in such a women entrepreneur. According to the
information of concerned group, reveal the starting period with a histogram:

3
Number of boutique house

2.5

1.5

0.5

0
1990-1995 1995-2000 2000-2005 2005-2011

Year of Establishment

12
The respondents group provides reasonable reasons to select this particular sector.
Their views are differing from one another. Some choice it because of self –
independence, do not like chain – of – command. Some thinks that, if male comes in
this profession, why they can not do.

 Rukhsana tawheed (The owner of Anisha’s collection) said that, it

was her hobby to made own dress from her childhood.

 The owner of Wadisha boutiques house told that, she gathered

experience from her friend, when she was a student of university.

 Sabina Akter (The respondents of Rodela boutiques & fashion)

informed that, she wants to fulfill her dream through establish a
garment in future and now she is gathering experience from this
business.

It is heartening to note that despite many barriers, a new women's entrepreneur

class has arisen in the country taking on the challenge to work in a male-dominated,
competitive and complex economic and business environment. Not only have their
entrepreneurship improved their living conditions and earned more respect in the
family and the society. Now they are successful women entrepreneur, but a number
of concerned people play a vital role to achieve this position. They support them in
different ways:

o Mental support

o Family support

o Financial support

It was very difficult for them if they were not given enough support to start their own
business.

13
 Respondents Concerned group who inspired
(owner of the boutique house) the respondents

Mrs. Nilufar Yasmin(shoer’s city) Own & husband

Mrs. Rukhsana tawheed(Anisha’s Husband & mother

collection)

Mrs. Taslima Khan Rozi Peer Group

(Wadisha boutiques)

Mrs.Sabina Akter(Rodela boutiques & Elder sister

fashion)
Wahida Jasmin, Valancias secret self

Ive Hashan, Dolls House Brother-in-low

Rehnuma Tabussum, Tabussum Husband & mother

boutiques,

Mrs. Sabina akter also included that, situation was responsible to start her own
business.

Maximum boutique house was started its business in sole proprietor and a very few
started it in partnership (Including Wadisha boutiques). Considering the information
of respondents group, find the scenario of ownership of boutique house with a Pie
chart:

Sole proprietor
(90%)

(90%)
Fig: (%) of ownership

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The key objective of maximum boutique house is same- to expand it day by day.

 The owner of Rodela boutiques & fashion said that, she wants to
develop this business as a renewable garments industry.

Realizing that, the advancement of women can not be prevented patriarchal society
is changing its attitude toward women. There has been a gradual change in how
people behave with working women. In the work place and at home people are now
welcoming women. Of course, women entrepreneurs are gradually becoming
important economic agents. When they started their own business, a few owner
faced some family & social problems. Considering the information of concerned
group, express it with a pie chart:

(%) of family barriers with a pie chart:

Agree (15%)

Disagree (85%)

Fig: (%) of family barriers

15
The Proportion of the respondents (90%) is disagreed with the question. They said
that, they did not face any family barriers, all family members were supportive.

 Only the owner of Rodela boutiques & fashion informed that, at

starting period of her business, she did not face any barriers but at
the growing period, she face a lot of hurdles from her family.

All of the respondents disagreed in terms of this question regarding social barriers.

Maximum respondents informed that, they faced discrimination when she started
her business. A few said that, they did not face any types of discrimination.

 Mrs. Sabina Akter (Rodela boutiques & fashion) thinks that, a male
does not support it that, female takes the higher position than he, so
they always dominate female.
 The respondents of Wadisha boutiques said that, they always
deprived from all kinds of facilities because of women entrepreneur,
where a male entrepreneur attend & enjoy any kinds of competition.

A few women entrepreneur faced challenges when they started own business. The
challenges differ from person to person. Some face financial problem, some face
family problem.

 The owner of Shoer’s city said that, when she goes India for business
purposes, arrange fair in New York, it is very difficult for her to
manage all family members.
 The respondents of Rodela boutiques informed that, she face a crisis
of capital & raw – materials.

The opinion of different respondents is not same regarding this question-

motivational factors of women entrepreneur. According to the information of
respondents -

16
 Respondents Motivational factors of women
entrepreneurship
(owner of the boutique house)

Mrs. Nilufar Yasmin(shoer’s city) Desire to do something + Need for

independence

Mrs. Rukhsana tawheed(Anisha’s Need for independence + Availability of

collection) fund
Mrs.Taslima Khan Rozi Hobby
(Wadisha boutiques)
Mrs.Sabina Akter(Rodela boutiques & Desire to do something + Need for
fashion) independence + + Availability of fund

Wahida Jasmin, Valancias secret Desire to do something

Ive Hashan, Dolls House Desire to do something

Rehnuma Tabussum, Tabussum boutiques, Desire to do something

Starting capital:
To start any types of business need to invest some amount of capital which is known
as venture capital. Starting a boutique business doesn’t require to invest a large
amount of capital. It can be start with a small amount of capital. But if anyone wants
to start with a large amount she but it will be better if she prepares a plan for it.

In the survey it is found that women entrepreneurs started their boutique business
with a small amount of capital as well as large amount of capital. The average
amount of starting capital of the boutique is tk50,000 – tk7,00,000. But Wahida
Jasmin (Valancias Secrets ) started her business with an amount of 40,00,000 lacks.

17
On the other hand, Rukhsana Tawheed (Anisha’s collection) didn’t start her business
with any specific amount of capital. She started her business with an order of 4 suits
given by her relatives – aunt, sister and cousin.

Sources of finance:
Before an individual takes the family out to a restaurant, he or she will usually cheek
his or her financial resources to make sure that he or she can pay for it. Planning the
financial needs of a business is very important. An entrepreneur needs to plan about
his financing. She must know the answer of some financing related question. These
are: Why does she need money? How much money will be need? If she takes loan
when she will be able to repay the loan? And where will she obtain the money? After
answering the question she needs to identify the sources of capital. If she could
identify appropriate sources of capital it will be easier to start the business. Sources
of finance may be two types.

 Owner’s capital
 Banks loan.

A Boutique entrepreneur can use both of the sources. Owner’s capital may be her
own deposit or she can borrow from her relatives or friends. Banks are also providing
loan to the boutique entrepreneur as a loan in SME sector. Sometimes they offer
extra facilities to the SME business.

The survey shows that almost all the entrepreneur started her business with her own
capital. Very few of them use both sources of capital. The entrepreneur of Rodela
boutique and Valancias secreat has used both the owner’s capital and bank loan.

Bank loan:

Bank loan is one of the major sources of financing. Maximum boutique entrepreneur
uses own capital to finance. But few of them have experience of getting bank loan for
financing. Bank loan can be two types; long term and short term. For the boutique
business short term loan is used. Many of the Govt. & private bank are giving loan
for SME sector. Brak bank, Standard chartered Bank. Jamuna bank etc. are giving

18
SME loan to the boutique entrepreneur. Valancias secrets, Shoper’s city has taken
loan from bank.

Though bank are giving loan to the boutique entrepreneur as SME loan, sometimes
women entrepreneurs are facing problem at the time of getting loan. Some factors
may affects to get loan from bank. These are:

 ID card
 Trade license
 TIN number
 Guarantor
 Bank statement
 Passport copy

Because of this factor women entrepreneur faces problem in getting loan. All
entrepreneurs may not have guarantor, bank statement or TIN number.

Experience & training:

It is known to all experience makes a person to perform in a better in future. If a

women who wants to start boutique business it will help her a lot. Training program
regarding boutique business will be also benefited for her. Different government and
Non-government organization are offering training program with different time
duration. Training program mainly related to block, designing, and color mixing. It will
be also better if the women entrepreneur has training on fashion designing.
Moreover, she needs to be very creative and excellent sense of color.

Employee:

Operating the boutique business is similar as other SME business. The operation
may small or large in scale. Most of the boutique business requires a little number of
employees. Survey shows that no. of employees are vary from boutique to boutique.
It depends on the size of the business. The average number of employee of a
boutique is from 2 – 30. If the employees are trained, it makes easier to work with
them. They will easily understand what the customer demand. Some women

19
entrepreneurs provide training to their employees. Some provides hands-on training
to their employee.

Supplier relation with the entrepreneur:

A better supplier relation helps to be more efficient. In case of large enterprise they
maintain a strong supplier relation. But in boutique business it is vary from boutique
to boutique. Some are strongly agree that it is very important to maintain consistent
cooperation among their supplier in order to be successful in their business.
Valancias secrets maintain a regular supplier relationship. In contrast owner of
Anisha’s collection, Wadisha boutiques, Shoer’s city think that it is difficult to
maintain strong relation with supplier because they are not always reliable.

Cost of running a boutique business:

Cost of running a boutique business depends on the size of the business, no, of
employees, and some other related factors. The approximate cost of running a
boutique is tk20,000 to tk2,00,000. But Valancias secret experience a cost of tk
60,00,000 lacks to run their boutique.

The operation of boutique business is not difficult as running large industries. Cost of
running boutique sometimes goes very high. It is increased because of increasing
the row material costs. And the owners don’t have any specific strategy to reduce the
operational cost. The boutiques pay 1.5 percent VAT on sales. On top of that, the
government imposed a 15 percent VAT on the rents of commercial spaces, which
increased the costs of business,

Profitability growth rate:

The main objective of any business is to earn profit. In the survey it is tried to find out
that are the women entrepreneurs satisfied with their profitability growth rate. Almost
all the owner is satisfied with their profitability growth rate except the owner of
Wadisha boutique. Satisfied women entrepreneur are following some criteria to
maintain profitability growth rate. These criteria are:

20
  offering exclusive design with a reasonable price
 always follow the latest trend of fashion
 have special offering in the festival
 more focus on customer
 provide opportunity to customer to choose the design & color
 maintain a better customer relation.

Main offerings

In Butique shops new designed and fashionable dresses are made and sold.
Generally main offerings of the boutiques are sari, salwar kamiz, Panjabi, fautia,
based on block –batic, karchupi,applic, embroidery etc. some boutique also offer
kids collection.In the recent scenario, boutique house offers sari, salwar kamiz,
Panjabi, fautia.They highly gives priority to the customer demand, and sometimes
they specially design their dresses for loyal customers according to their demand.
They also take orders from the customers. Customers suggest their own design or
select from their catalog. Embroidery, batic, applic, karchupi and different types of
design are done in these Butique shops

Age group

People in 25-35 age groups want to represent themselves in a different way, so they
become very much fan of boutique’s dresses. Because they know well about their
expectation.This research shows that, young women and men are very much fan of
designers dresses, because they think that it represents their status. Designer of the
boutique house gives more concentration young customers demand and expectation
when they design their dresses. But there are some aged customers who frequently
buy their dresses from boutiques.

Class of customers

Boutique house captures almost every class’s customer’s attraction. Upper class
people as well as middle class people are attracted by their dresses.This research

21
showed that, there are some boutique like Wadisha,Rodala,Tabassum who offer
their dresses for upper class and middle Class customers. But boutique like
Valencia’s Secrets, Shoppers City offers their dresses only for upper-upper class
and upper class customers. Their price is so high that middle class people can not
afford it.

Extra benefit

Some boutique house tries to provide some extra benefit to their customers so that
they can maintain a long term relationship with them.This study found that, boutique
house provide some benefit to their customers, like Some boutique make dress
according to particular customers size, if her size is not available in the stock but
customer is willing to buy this particular dress.Some boutique offer shopping on
credit to their loyal customers. Some also offer change dress color on the basis of
customers order.

Pricing strategy

Generally any product’s pricing policy mainly depends on its raw materials cost.
In boutique house dress, mostly price depends on design.This finding shows that,
different boutique follow different pricing policy for their dress. Some offer exclusively
designed dress at a high price and some offer normal designed dress at a
reasonable price. But some offer both if them at a time.

Special offering
Boutique house offer specially designed dress during each festival like eid, puja,
pohela falgun, pohela boishakh etc.When they design their dress and choose color
and materials they keep theme of the festival on their mind.In recent trend, the
selection of women's wear is elaborate with various designs of shalwar kameez,
saris and fatuas.Some uses playful colors and carefully selected fabrics. The
quintessential sari, the sassy shalwar kameez and the sauve panjabi for men form
the framework of current year's collection.They follow new style is the in the cutting
pattern of Punjabi, fatua, salwar-kamiz, kurta-kurti and shirt. Different designs are in
the full-sleeve shirt of the boys. Punjabi, fatua, salwar-kamiz, kurta, kurti, shirt are
made in its own weaving on cotton, silk, dupian silk, balaka silk, jayasri silk, endy silk

22
and on endy cotton.They try to give something new design to the customer in every
occasion which is appropriately match with the theme of the occasion.

Strategy to gain competitive advantage

This research shows that, every boutique entrepreneur must maintain some
competitive strategies to compete with their competitors. Some of them offer higher
quality dresses but at a reasonable price, many entrepreneur offers exclusively
designed dresses at a reasonable price and many provide discount to their
customers to gain competitive advantage.

Major source of earnings

This research highlight that, for some women it is their major source of earnings and
they start the business to independent themselves for their survival, whereas for
some it is only their passion or they desire to do something which gives them a
identity or fame.

Problem face to run the business

To manage a business is not an easy task. Entrepreneurs face many problems when
they practice their business. With so many boutique businesses open every month
and a large percentage of them closing before their second year in business. There
are marketing problem, networking problem, networking problem, client problem etc.
This study also find outs some problems: shortage of capital, difficulty to getting loan,
shortage of trained workers, but a major problem is materials cost increasing day by
day. So cost of their dresses also high, which customers don’t like and they refuse to
buy it. As a results demand of their dress decreasing day to day.

Facing more problem because of women

Some entrepreneurs agreed that they face more problem because they are women
whereas some agreed they don’t feel any discrimination.According to suffered
entrepreneurs, sometimes they face threat from male customers and they create
force to reduce price.

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Extortion

This study finds out that, sometimes women entrepreneurs are extorted by local
powerful leader.

Major risks practicing business

Business and risks are associated with one another. Entrepreneurs have to bear
risks if they want to successful in the business, but they must take risks in a
calculative way.Researchers of this study finds out that, boutique entrepreneurs also
bear risks while they practicing their business. They take risks when they bring their
materials from supplier, because sometimes their materials are lost in the route.
They also face risks if customers refuse to take their dress after order.

Current limitation of the business

The findings of the study is that, their current limitation of the business is high
materials cost. Now the price of cloth,febrick, wage all are increase, so product price
also increase, as a result customers are not willing to buy boutiques dress. Due to
this reason they lost their many customers. Placement of the boutique is another
limitation of their business. mostly it is a major factor of a business.

Future plan

This study shows that, most of the entrepreneurs want to open their boutiques
branch in different districts. Some of them want to employed country’s well known
designer in their boutiques, and some of them want to create more employment
opportunity for women.

Contribution to Family and Society

Women entrepreneurs serve their family and society in silent. According to this
research, they give strong financial support to their family. They are able to bear their
own expense and can also contribute with their husband. They can take care their
parent’s family and in-laws family without bothering her husband.They also
contribute their society by creating employment opportunity.

24
Personal Vs. Professional life

It must not forget that these women entrepreneurs have dared to take up the
challenge of running their second enterprise (or even more) after taking care of their
very first enterprise as a home-maker. Maximum women entrepreneur informed that,
they give first priority to their family & then manage her business.

 The owner of Wadisha boutiques house said that, she gives equal
priority to her family & business.
 Rukhsana tawheed (owner of Anisha’s collection) told that, she
passes most of the time with her family & stay in the shop of her
leisure period.

Degree/training

All of the respondents think that, it is very important to take training or special
courses on boutiques business - to be successful, WE & other association plays an
inevitable role in this case.

Women empowerment

Most of the owner of boutique houses thinks that, women empowerment is very
important aspect in Bangladesh.

 Mrs. Nilufar Yasmin(Shoer’s city) told that, it is needed for all

women because of self – independence. She also included that; a
male can not ignore her as a female after empowering.
 Rukhsana tawheed(Anisha’s collection) said, it helps to increase
social status of a woman.

International completion ability

Most of the respondents believe that, women of Bangladesh are able to compete
internationally and stand against all odds.

25
 Strongly agree

(70%) Agree (30%)

According to the information of Pie chart, express the view of different respondents
about women empowering. The highest proportion of the respondents (70%) are
strongly agreed with this & only (30%) of them are agreed in terms of such
questions. The proportion of the respondents of disagreed & strongly disagreed is
(0%).

Economic Development

Economic growth depend on single contribution of a person in the country. Which

aggregately make the economy str9onger towards the development. Boutique sector
can be a silent auxiliary of economic growth in Bangladesh. From the survey it is find
out, women are believing now that it can be change the situation of life, help to
overcome the social barriers and make self-dependent. It also make women to
compete internationally and stand against all odds. In Nepal, India, chain, Malaysia,
Singapore and other south Asian countries demand for deshi boutique is increase
day by day. It will create huge market and contribute in GDP & GNP.

Scope in 21st century

Atmosphere for the women have been changed in this 21st century. Today it is very
easy for women to start business. Women are changing their point of view that doing
something for self-depended. Finding show that, there are create scope for boutique
business providing many kind of training program.

26
Suggestion of successful women entrepreneur in boutique
business

Mentality to self-dependent, obedient, honest, sincere, personality, mutual

understanding with husband is inspirational factor for women to successful as a
women entrepreneur. Now a days boutique sector providing many kind of training
program on color contrast, fashion designing, which is create scope for women as an
entrepreneur. Some successful women entrepreneur suggests that-“every woman
should come forward for servicing or business profession. It helps to increase status
of women”. Taslima khan Rosy owner of Wadisha Boutique suggest for new comer
is-“if don’t get family support then overcome with help of counseling”.

Key factor to success in Boutique business

Researcher gives important on some key factor for successful boutiques business.
This is given below with diagram-

27
From the finding it is prove that each factor are extensively influence toward the
success. Here give the key factor and success achievement with the help of table:

Key factor Success achievement

• Financial support Birth of a business

• Creativity Get competitive advantage

• Well behavior with Increase goodwill

customer

• Hardworking Overcoming barriers

• Maintenance To run business properly

• Honesty Which is the best policy

PROBLEMS WHICH ARE FACED BY WOMEN

ENTREPRENEUR:

Existing sex ratio in demographic structure of Bangladesh indicates that women

comprise almost 50% of the total population. They are essential part of nation’s
human resources. Due to this demographic structure, the issue of the participation of
women in the mainstream economy is imperative. Without a meaningful and active
participation of women, half of the total population, in regular economic activities, a
dynamic and sustainable economy is impossible. In spite of this, they face many
problems.Reachers find out some problems associated with women entrepreneurs
which are presented below:

28
 Policies and programs tend to be “men streamed” and too
often do not take into account the specific needs of women entrepreneurs and
would-be women entrepreneurs. As a results, equal opportunity between men
and women from the perspective of entrepreneurship is still not a
reality.Maximum women entrepreneur faced discrimination at the starting
period of their business.
 Mrs. Sabina Akter(Rodela boutiques & fashion) thinks that, male
always dominated a female so that she can not take higher
position than he.
 The owner of Wadisha boutiques informed that, they always
deprived from all kinds of facilities than male entrepreneur,
because they are women.

 A few respondents faced some family barriers while started

her business, but they did not face any social problem.

 The owner of Rodela boutiques & fashion informed that, at the

starting stage, she did not face any barriers but at the growing
stage, she face many hurdles from her family side.

 Afew number of boutique house faced some challenges

when started it.
 The respondents of Shoer’s city said, she has to manage
everything when she goes India for business purposes.
 Mrs. Sabina Akter (Rodela boutiques & fashion) told that, she
faces a crisis of capital & raw – materials.
 Finance for an existing firm may be less available, because women
are less likely than men to penetrate informal financial networks.

 Select a location is not an easy task for them, because they can not
start their at any where due to security.

29
  It is very difficult to convince guarantor in case of apply for loan.

 Women business owners experienced extortion, and tolls at roughly

twice the frequency as their male counterparts.

 Women entrepreneur faces problem when they apply for loan. Banks
may verify some documents, trade license, TIN number, guarantor or bank
statement which may not be available to the entrepreneur.

 Employee may not be well trained that’s why it takes a long time to
make them understand about the work.

 Lack of reliable supplier of raw materials.

 Price of a product increases due to increases of raw material cost.

 The boutiques pay 1.5 percent VAT on sales. Moreover, government

imposed a 15 percent VAT on the rents of commercial spaces.

KEY POLICY RECOMMENDATIONS

Women entrepreneurs are gradually becoming important economic agents. But there
is a long way to go: proportion of women entrepreneurs in Bangladesh is much less
than that in many countries, including neighboring India, Pakistan, China. For
Bangladesh to reach a level comparable to these countries, much needs to be done
both at macro-level and micro-level.

After long, elaborate and lively discussion on women entrepreneur mainly boutique
business made the following recommendations:

 More research work on women entrepreneurs and the strengthening of

Women and Child Ministry.

30
 Ensure available raw material in this sector at low price, which is monitor by
Govt. caretaker.

 Govt. should give priority the women entrepreneur in prepare annual budget.

 Social awareness turn backward women into entrepreneur.

 Some specific sector can be identified for development and investment by the
women entrepreneurs.

 Lack of information and regulatory barriers are one of the main problems for
the women entrepreneur to flourish. Government & other concerned institution
can help in accessing information.

 Women face problems in getting license, permission, tax certificate, banking

certificates, access to finance etc. Network within the women organization and
other related organization is necessary to resolve these issues.

 Women entrepreneur should get discount in respect of renting stalls while

participating in fairs, going abroad for training, etc.
 Ensured available technical training on boutique relevant activities & Fashion
Design.
 Cost of raw materials should be at a minimum level, so that production cost
can decrease and it will help to increase the demand of the boutiques
dresses.
 Policy and program makes in a way that it will represent equal rights between
men and women entrepreneurs.
 Negative attitude for women entrepreneurs should be remove from all levels
and aspects.
 Government should take steps against extortion and give remarkable
punishment to them so that every people become concern about extortion.
 Motivational steps must be taken to make the employee permanent
 Government may reduce the VAT on sales and rent on commercial spaces.

31
 CONCLUSION
From the detailed analysis of the women entrepreneurial venture-Boutique
Business, women are observed to be more willing to achieve self-employment and
self-reliance. The selected women entrepreneurs of Chittagong city have mainly
started their business for meeting their self-actualization needs rather than survival.
Boutique sector creating possibility for entrepreneur in domestically as well as
internationally. It can be silent auxiliary of economic growth in our country. Day by
day women are self- dependent through this business. In Nepal, India, China,
Malaysia, Singapore and other south Asian countries demand for Deshi Boutique is
increase day by day.

The central bank has taken steps to overcome the problems in the SME sector,
especially for removing obstacles for women entrepreneurs in getting loans. But, still
lots of possibilities are there and if govt. women policy gives more emphasis on
Boutique business of women entrepreneurship, then women entrepreneurs will be
more encouraged. Besides, Women Entrepreneurs Association (WEA) can arrange
more financial capital and technical knowledge for women in Chittagong. For one
thing, low govt. budget in this sector has severely harmed the women
entrepreneurship. So, for building up more varied women ventures and rapid growth
of existing ventures, a clear cut SME and women entrepreneurship policy needs to
be formulated and through this, women will be capable enough to bring a positive
socio-economic impact in their life.

In a word, a successful boutique business depend on trendy fashion, creative design

those attract the customer, to keep commitment for goodwill, to survey the market,
conscious about prices, co-operation of the employees.

32
 REFERENCE
www.guruma.com

www. Micro credit to Bangladesh - GlobalGiving.htm.com

www. The Daily Star Internet Edition.htm.com

www. Small Business Planning « Kamruzzaman Sabbir.htm.com

http://www.independent-bangladesh.com/200806106356/business/encouraging

http://www.bangladeshinfo.com/business/budget2008.php

http://povertynewsblog.blogspot.com/2008/01/bangladesh-bank-report-says-
development.html

http://www.bidnetwork.org/article-38079- en.html

http://www.idlc.com/ecd.asp

http://www.managementhelp.org/aboutfml/privacy.htm

http://www.erim.eur.nl/entrepreneurship

http://www.entrepreneurshipsme.eu/index.cfm/12,html?
nxt=ctm_publikatie&bestelnummer=R200809

http://ideas.repec.org/stepbystep.html

33
 Women Entrepreneurship
A study on some selected Boutique Business in
Chittagong

Submitted By
Proactive

Date: Thursday, February 10, 2011

34
 University of Chittagong
Department of Management Studies

Course name:
Entrepreneurship Development
(403)

Project For:
Dr. A. F. M. Aowrangazab professor.
Department of Management Studies
University of Chittagong

Project Title:
Women Entrepreneurship
A study on some selected Boutique Business in Chittagong

Submitted by:
Proactive

Group Contact Information

Name Information
Md. Maruf kamal Exam ID-2006/11

Shah Md. Imran Exam ID-2006/49

Patwary
Shamima Nasrin Exam ID-2006/69

Kazi Mahrufa Wahab Exam ID-2006/83

Antara Bhowmick Exam ID-2006/84

Dr. A. F. M. Aowrangazab

professor.

Department of Management Studies

35
University of Chittagong

Sir,

This is a great honor for us to hand you the report about Women Entrepreneurship: A study
of some selected Boutique business in Chittagong, completed on different boutique house
belongs to women’s.

However, we have tried to attain practical knowledge of entrepreneurship. We have learned

the practical experience of entrepreneurs and achieved some theoretical knowledge about
it. We also find out the present situation of the women entrepreneurs and recommend the
future steps that must be taken by Govt. for the improvement of women entrepreneurs.

We appreciate having worked under you and to complete the project under your supervision.

Sincerely,

Group: Proactive

PREFACE

36
Women’s entrepreneurship has been recognized during the last decade as an

important untapped source of economic growth. A woman entrepreneur is defined as

a woman who has alone or with one or more partners, started, bought, or inherited a

business, is assuming the related financial, administrative, and social risks and

responsibilities, and is participating in the firm’s day-to-day management. Such

women are also known as women business owners or women entrepreneurs or self-

employed women. Women entrepreneurs create new jobs for themselves and others

and by being different also provide society with different solutions to management,

organization and business problems as well as to the exploitation of entrepreneurial

opportunities. They still represent a minority of all entrepreneurs. Thus there exists a

market failure discriminating against women’s possibility to become entrepreneurs

and their possibility to become successful entrepreneurs. This market failure needs

to be addressed by policy makers so that the economic potential of this group can be

fully utilized. Without a meaningful and active participation of women, half of the total

population, in regular economic activities, a dynamic and sustainable economy is

impossible. Sectors like boutique are really doing a lucrative job for women

entrepreneurs. Many women’s are engaged with this business and get success and

make their own identity as a successful entrepreneur.

ACKNOWLEDGEMENT

37
Preparing a report requires a number of people’s contribution. The group members
of “Proactive” do their part efficiently. We would like to recognize just a few people
who contributed to this report. We would like to express our gratitude to all those
who gave us the possibility to complete the report.

We would like to thank our honorable chairman Prof. Dr. Shelina Akhtar, Department
of Management Studies, University of Chittagong for giving us permission by
providing a forwarding letter to do the necessary research work.

We are highly obliged to or honorable teacher, Dr. A. F. M. Aowrangazab, Professor,

Department of Management Studies, University of Chittagong, who gave us the
permission, opportunity and immense support by stimulating suggestions and
encouragement that helped us in all the time of research for and writing the report.

We would like to acknowledge also –

 Wahida Jasmin, Valancias secret, 1667,O.R.Nizam Road, Prabartak circle.

 Rukhsana Tawheed, Anisha’s collection. 25, Kollol super market, Panchlais.
 Nilufar, Shoper’s city, 30 Kollol super market (1st floor), Panchlais.
 Sabina Akhter, Rodela boutiques & fashion, Nahar mansion, 93/A, Bashir
Mohammed Sarak, Agrabad.
 Taslima Khan Rozi, Wadisha Boutiques, 17/B, Gulzar tower, 1st floor,
Chawkbazar.
 Ive Hashan, Dolls House, Chandgao residential area.
 Rehnuma Tabussum, Tabussum boutiques, Panchlais residential area.

We convey our thankfulness to them for all their help, support and valuable times.

TABLE OF CONTENT

38
 Content Page no
1. Executive Summary 1
2. Objectives of the Study 2
3. Methodology 2
4. Literature review 3-5
5. Introduction 6-11
6. Analysis & Findings 12-28
7. Problems faced by Women 28-30
Entrepreneurs
8. Key policy 30-31
recommendation
9. Conclusion 32
10.Reference 33

39