MICRO AND SMALL ENTERPRISES IN LEBANON

The entrepreneurs opted to change occupations for several reasons. The most prevalent reason waslow earnings (23%), and bad working conditions (21%). Around 11% changed their previousoccupation due to family reasons, while only 1.2% were laid off.Gender analysis reveals that low earning was cited as the primary reason for employment change formales (23.6%) more than for females (14.9%), while more females changed jobs for family reasons(15.8% for females and 10.9% for males) indicating conflicting roles between family obligations andprofessional obligations. In addition, almost the same percentage of females complained about badworking conditions as males – around 21% – while more males altered jobs consequent to a change intheir geographic location – 9.7% compared to 5.9% females.Of those who changed employment, the drive for 21.4% was the previous experience in the business,for 15.3% the suitability with qualifications, and for 16.8% the need to improve living conditions,however 16.6% expressed the desire to set up new enterprises. More females: choose their presentoccupation because it suits their qualifications (20% for females and 15% of males); strive forimproving their living conditions (20.5% for females and 16.4% for males); and do not have options(7.5% for females and 5.9% of males). Conversely, more males choose the occupation as they haveexperience in it (21.6% for males and 18.3% for females), because it is the family business (13.7% ofmales and 8.3% of females), and because they want to set up a new enterprise (17% for males and11.8% for females).III.13.6 Gender considerationsIn addition to being gender disaggregated, the questionnaire used in the field survey contained aspecific part related to gender issues. The tables below detail these results. It should be noted thatrespondents should know at least one woman entrepreneur in order to answer the questions (25% ofthe surveyed entrepreneurs know at least one woman entrepreneur, of the former 78% are males).Around 50% of the respondents (of whom 80% are males) found that women entrepreneurs facespecific problems. A categorization of these constraints is presented in Table 31.Table 31: Problems Facing Women EntrepreneursConstraints faced by women entrepreneurs Yes No No answer TotalProblems in setting up enterprise 40.1% 59.5% 0.4% 100%Problems in hiring workers 31.4% 67.8% 0.8% 100%Problems in managing business 22.6% 76.6% 0.8% 100%Problems in marketing 23.4% 75.4% 1.2% 100%Problems in benefiting from financial services 19.2% 80.8% 0.0% 100%Problems in securing contracts 19.5% 78.8% 1.7% 100%Problems in joining business associations 20.5% 79.1% 0.4% 100%Personal harassment 74.8% 24.8% 0.4% 100%The largest constraint faced by women entrepreneurs is personal harassment (74.8%), followed byproblems related to setting up an enterprise (40%), hiring workers (31%), and to a lesser extentmarketing (23.4%), and joining business associations (20.5%).Around 56% of female entrepreneurs declared that they do need a household permission in order to bein business, and in 74% of the cases this permission was issued by the husband.In addition, 62.6% of female entrepreneurs declared that the worst constraints on business come fromthe household (versus 37.4% from the community), and 54% of female entrepreneurs declared thatthey do suffer from the conflict between professional and family duties. However, 66.5% feelempowered by earnings.III.14 Employment Generated by MSEs in LebanonOne of the major attributes of SMEs is their contribution to employment. Due to the fact that theseenterprises make up the bulk of the existing enterprises, their employment behavior significantlyaffects national employment and unemployment trends. The enterprises surveyed in the context ofthis study in Lebanon generated 7,369 jobs, translating into 2.5 employees per enterprise.36