Dissecting the Gender Gap in Entrepreneurial Ambitions and Success
Békés Gábor, Hannák Anikó, May Anna
Despite the growing number of women-owned businesses, women still lack equal opportunities for raising external capital In this study we analyze the gender differences in risk-taking and domain choice of entrepreneurs through examining more than 15 thousand product development projects initiated on the largest reward-based crowdfunding website, Kickstarter. For these projects, men tend to earn almost twice as much as women do. We investigate explanations for the observed revenue gap, more specifically, how much of it comes from differences in the entrepreneurs’ interests and the resulting domain choices for their campaigns. To learn about this, we build probabilistic topic models on the textual descriptions of the projects to a identify the role of domain choice in a campaign’s lucrativeness. Our results show that women are more likely to enter domains which were less profitable than men.