Wardah NailiUlfah

School of Business and Management

Bandung Institute of Technology

EDUCATION FACTORS TO INFLUENCE WOMEN IN
ENTREPRENEURSHIP IN INDONESIA

Abstract
The purpose of this study was to determine what kind of educational factors that affected a
woman entrepreneurship in Indonesia. Is there any relationship between two variables of this
research, which are entrepreneurship education and entrepreneur skill, on Indonesian
women. This is done in order to improve the growth of entrepreneurship in Indonesia,
particularly for women. In addition, this study also intended to refuse paradigm that has been
embedded in the mindset of the people of Indonesia.

1. Introduction
1.1. Topic Area/Statement of the Problem
The growth of small-medium enterprises hashappened very rapidly, especially in
Indonesia. However, these developments do not necessarily lead to Indonesia is a developed
country, so far Indonesia is still in the developing countries group. With a population of
Indonesia, around 250 million people, where the population growth reached 1.49 percent per
year. (REPUBLIKA.CO.ID, July 17, 2013) Indonesia has not been able to keep pace with its
neighborhood countries, Malaysia and Singapore.
There is a statement of David McClellandabout entrepreneurship which states
ProsperousNation should have 2% minimum of entrepreneurs. Since
BadanPusatStatistiksays that Indonesia has citizen within over than 250 millions of people,
Indonesia obtain to be a prosperous nation if Indonesia has more than 4,6 million of
entrepreneurs. But there is significantly contradict fact, based on statistical data, there are
only 700,000 people, or only 0.28% of Indonesian people who decided to be entrepreneur. If
based on those facts as assumptions, Indonesia still has a long enough step to classify the
nation into a prosperous country. But, Amazingly 60% of Indonesianentrepreneurs, based on
that statistical information, were women entrepreneurs.
A lot of Indonesian people have a specific paradigm about entrepreneur, since such a
long time.Entrepreneur Paradigm that occurred in Indonesia is assume as base on the decent
of their blood. If someone has a parent or offspring as an entrepreneur then assumption is
that the next generations were expected to be an entrepreneur as well. Though, in the reality
that paradigm is not entirely true. That why we conduct this research, within this research we
try to answer the assumption occurs in society.
In fact there was growth of entrepreneurship in Indonesia. There was a demand from
students to studied entrepreneurship. For example, increased interest in entrepreneurship by
student has spurred colleges and universities to expand curricula in this area. (Edelman et al,
2008) and one of the new program study of SBM is Entrepreneurship. So, this study aims to
assist the reader in concept of thinking about entrepreneurship. This research will discuss the
relationship between teaching methods of entrepreneurship education with the growth of
women's entrepreneurship skills in Indonesia. Growth in teaching general management and
entrepreneurship in particular, occur at the same time. Increased interest in the management
plastered both practical and academic research, and both public and private sectors.
There was a lack of research within particularly discussed to the impact of
entrepreneurship education. Research and knowledge on entrepreneurship education
remains relatively underdeveloped despite increasing global demand (Kirby, 2002). Another
gap happened between the number of male and female entrepreneurs. Statistic says that
there was about 46 percent of the workforce and more than 50 percent of college students
are female, they represent only 35 percent of startup business owners.(Paul B. Brown,
Forbes)
The purpose of this study was to determine what kind of educational factors that
affected a woman entrepreneurship in Indonesia. Is there any relationship between two
variables of this research, which are entrepreneurship education and entrepreneur skill on
women in Indonesia. This is done in order to improve the growth of entrepreneurship in
Indonesia, particularly for women. In addition, this study also intended to refuse paradigm
that has been embedded in the mindset of the people of Indonesia. So according to those
statements, this research reputed to do to push that pattern of thinking. This research was
conducted to accomplish in some of student of college in entrepreneurship as sample size.

1.2. Purpose of the Study/Objectives
To determine what kind of educational factors that influenced entrepreneurship in
Indonesian women, it is acknowledging to encouraged the spirit of entrepreneurship in young
women. This research also conducted to enrich the literature about women in
entrepreneurship. But in the process later, this research could have an expansion in the
process of completion this research.

1.3. Research Questions
Is there any relationship between Entrepreneurship Education with a
specialization in proclivity of women in entrepreneurship?
Is there any relationship between heredity with a specialization in proclivity of
women in entrepreneurship?
How to growth the proclivity of women to entrepreneurship?

2. Literature Review
Entrepreneurship
Entrepreneurship refers to an individuals ability to turn ideas into action. It includes
creativity, innovation and risk taking, as well as the ability to plan and manage projects in
order to achieve objectives. This supports everyone in day-to-day life at home and in
society, makes employees more aware of the context of their work and better able to
seize opportunities, and provides a foundation for entrepreneurs establishing a social or
commercial activity. (Holmgren, 2004)
Entrepreneurship is a dynamic process of vision, change and creation. It requires an
application of energy and passion towards the creation and implementation of new ideas
and creative solutions. (Kuratko and Hodgetts, 2004)

Education Entrepreneurship
"Entrepreneurship has a unique and important role in business research and education.
Consider the growing importance of this in educational settings." (Hitt&Ireland, 2000).
Entrepreneurship education to be effective should be active, allowing students to
demonstrate their learning through skills attained and attitudes developed." (Martin
&Laing, 1998)
In entrepreneurship education, entrepreneurship is visible, things happen, the individual
does not just think and talk, the learning is self-made through concrete action
(Johannisson, Madsn&Wallentin, 2000).
Concerning how to conduct entrepreneurship education, the lack of knowledge about
effective teaching techniques for entrepreneurial educators is underlined as a problem,
caused by that research on how to teach entrepreneurship is underdeveloped (Brockhaus,
2001).

Women Empowerment in Indonesia
SyarifHasan the State Minister of Cooperatives and Small and Medium Enterprises ever
says, "Micro and small businesses in Indonesia which led by women are the most enduring
economic sector of the financial crisis, economic, food, and energy that hit the world and
Indonesia in the last 10 years. They could say No and Yes at the right time.In general, many
people assume that entrepreneurship in Indonesia is dominated by men. In fact, as the
development of the times and culture, it turns out that now the woman become the
economic powerhouse of Indonesia. Approximately less than 60% of the total entrepreneurs
in Indonesia are women.
Particularly in 2013, there was progress in improving access to good health care
financing and equity for women in Indonesia. Stefan Koeberle, World Bank Country Director
for Indonesia mentions that more women become entrepreneurs in line with the availability
of micro-credit. Numbers of women entrepreneur who borrow funds through micro-credit,
will have an impact on other women who do not borrow through microcredit but still want to
develop small and medium enterprises (Soehardjono, 2012). Government even made policy to
facilitate and provide benefits for employers. Entrepreneurs whose incomes have not reached
Rp. 4.8 billion per year would be exempt from income tax. Whereas the previous tax of small
business enterprise should be pay about 35%.

3. References/Bibliography
Holmgren, Carina; From, Jrgen; Olofsson, Anders; Karlsson, Hkan; Snyder, Kristen;
Sundtrm, Ulrika. (2004). Entrepreneurship Education: Salvation or Damnation?.
International Journal of Entrepreneurship 8, 55-71.
Ummu Hani, IlmaNurulRachmania, SantiSetyaningsih, RucitaCahyawatiPutri. (2012). Patterns
of Indonesian Women Entrepreneurship.Procedia Economics and Finance 4. 274 285.
Jones, Colin; Matlay, Harry, (2011). Understanding the heterogeneity of entrepreneurship
education: going beyond Gartner. Proquest Education & Training 53 8/9.692-703.
Shane E. Hill, (2011). The Impact of Entrepreneurship Education An Exploratory Study of
MBA Graduates in Ireland.University of Limerick.
Neuman, W. Lawrence, (2007).Basic of Social Research, Qualitative and Quantitative. Pearson
Education, Inc.
Paul B. Brown, 3/31/2013. Why Are There Not More Women
Entrepreneurs?.http://www.forbes.com, seen 10/15/2013, 3:20.
FikiAriyanti, 2/18/2013,RI Butuh 3,3 JutaWirausahaBaruuntukJadi Negara Maju,
http://www.bisnis.liputan6.com, seen 10/15/2013, 12:23.
MaharPrastowo, 7/4/2011. WanitaWirausahaTiangKemandirianBangsa,
http://www.generasiindonesia.comseen 10/15/2013, 12:27.
Rosa Sekar Mangalandum, 6/29/2013, Perempuan Dominasi 60% Jagad Wirausaha Tanah Air,
http://swa.co.id, seen 10/15/2013, 12:32.