Authors: Tanushri Gaur, Ritu Sundrani, Shreya Kathuria, Jiya Sachdeva and Anna Jojo

Indian women have always been a crucial part of business, whether it is managing small businesses or heading successful startups. They have overcome social barriers and established themselves as capable entrepreneurs over the years. Yet, issues such as gender discrimination, financial challenges, and absence of mentorship continue to prevail. In spite of these challenges, women continue to innovate, generate employment, and contribute heavily to the economy. Their single-mindedness and perseverance have defined the Indian business world, motivating generations to follow with bigger dreams.

This article delves into the transformation of women’s entrepreneurship in India over the generations. Baby Boomers and Gen X women struggled hard to start businesses under a more limiting setup, while Millennials leveraged technology and government backing to scale their businesses. Now, Gen Z women are leveraging technology and international opportunities to redefine success. By recognizing these generational changes, we can observe how women’s opportunities have grown and what issues remain to be tackled. Empowering and enabling women entrepreneurs is critical to India’s economic development and to creating a more inclusive and vibrant business environment. With proper support, guidance, and policy reforms, the next generation of women entrepreneurs can unlock new potential and propel India towards a more equal and prosperous future.

 Historical Perspective of Women Entrepreneurship in India

The evolution of women entrepreneurship in India has been a gradual yet transformative process, shaped by socio-cultural, economic, and political factors. From the 1960s, when women were primarily confined to household roles, to the present, women have increasingly ventured into business, driven by both pull factors such as self-respect and personal growth, and push factors like socio-cultural norms and limited financial independence (Suri & Verma, n.d). Government initiatives, including MUDRA Yojana, Stand-Up India, and Atal Innovation Mission, have provided vital support by offering financial resources, training, and mentorship, particularly benefiting women in rural and underserved areas (Kumar & Shobana, 2023). The liberalization era of the 1990s further empowered women by providing better access to resources and creating opportunities in diverse sectors, including IT and services (Lal, 2015). Despite progress, challenges remain, such as limited access to capital, gender biases, and the burden of balancing business with familial responsibilities (Kumar & Shobana, 2023; Lal, 2015). However, the rise of digital platforms and shifting societal attitudes provide optimism for the future, indicating that women will play an increasingly central role in India’s economic and social transformation (Kumar & Shobana, 2023). In conclusion, while challenges persist, women entrepreneurship in India is poised for continued growth, contributing significantly to economic and social change (Suri & Verma, n.d; Lal, 2015).

Millennials, having been shaped by the 2008 financial crisis, like scalable, experience-driven companies that focus on sustainability and social responsibility. They start companies in the tech, health, and e-commerce space and finance them through VC, crowdfunding, and corporate incubators. While they are risk-averse, they prefer stability, choosing steady growth over hyper-scaling. Gen Z, the digital natives, adopt hyper-adaptive, creator-driven, AI-enabled models such as subscription economics, influencer commerce, and micro-entrepreneurship. With a “do-it-themselves” attitude, they prefer bootstrapping, crypto investment, NFTs, and DeFi to traditional VC. Risk? They live on it, reveling in risk in investments (crypto, side hustles) and career tracks (gig economy, early-stage startups).

67% of Gen Z entrepreneurs self-finance, while Millennials seek structured capital (51%), a Deloitte study determined. In addition, a McKinsey report cites Gen Z’s resilience with 62% having multiple streams of income compared to 38% for Millennials. While millennials constructed the pillars of the digital economy, Gen Z is rewiring it in real-time using speed, automation, and shadow finance to reshape entrepreneurism. Their battlefield? The attention economy, AI-powered disruption, and decentralized finance—and they’re barely begun.
A study of the evolution of women entrepreneurs from one generation to another reveals cutting differences in attitude, leadership style, and areas of operation. Baby Boomers (1946-1964) followed traditional hierarchical styles of leadership, focusing in areas like retail and services. Generation X (born 1965-1980) embraced cooperative leadership styles and ventured into consultancy and professional services. Millennials (born 1981-1996) were characterized as digitally native, changeable, and tech-savvy, applying transformational leadership and engaging in technology startups, wellbeing, and social entrepreneurship. Generation Z (born 1997-2012) were born digital with inclusive leadership predispositions and working in a plethora of industries such as sustainable clothing, digital advertising, and technical solutions. Even with advances, there are still issues; women make up only 32% of UK small business owners and a mere 5% of venture capital investment is directed to female entrepreneurs.

Challenges and Barriers to Growth 

Myriad challenges faced by women entrepreneurs in India loom large for generations to come. Despite such progress, gender bias and societal norms continue to be obstacles, as women are often expected to place family obligations before their businesses, making it difficult to scale ventures. Due to this, there is very little societal acceptance or any professional networks that can work in favour of women-led enterprises. However, financial challenges remain due to lending biases, no security against the loan received, and low access to venture capital despite Mudra Yojana and other initiatives. Women-led businesses are viewed as high-risk by many financial institutions, resulting in a funding gap that hinders their growth. Access to technology and digital literacy are also dependent on the age group — younger women are adept at utilising these platforms but older women entrepreneurs often face challenges in getting tech-savvy and use e-commerce, digital payments and online marketing. Causing this digital divide shrinks their competition in an ever-increasing technology market and age. Regulatory and bureaucratic challenges make it even more difficult for businesses to thrive, with lengthy processes and multiple complex compliance requirements and paperwork hitting women more than anyone. Corruption and bureaucratic red tape add delays that discourage women from legally registering and growing their businesses. Together, these barriers restrict women entrepreneurs’ capacity to contribute to economic growth and innovation fully.

 Opportunities for Women Entrepreneurs in India

The face of Indian entrepreneurship has undergone a drastic transformation with more opportunities for women being created decade by decade. Government policies, business growth, and technological advances have all cumulatively contributed towards the climate for the evolution of women entrepreneurship. The government of India has also initiated several programs to encourage the role of women’s entrepreneurship. Start-Up India scheme offers loans between ₹10 lakh and ₹1 crore to women entrepreneurs and thereby offers access to finance. The Women Startup Fund offers support to innovative women-started startups and provides financial as well as advisory support. NITI Aayog’s Women Entrepreneurship Platform (WEP) is also a one-stop shop offering mentorship, networking, and access to funding and thereby facilitating the cause of women entrepreneurship initiatives.

 Women-led founders have left their mark in several verticals including fintech, ed-tech, health-tech, and social enterprises. Founders like Upasana Taku (MobiKwik) and Richa Kar (Zivame) have disrupted the fintech and e-commerce industries, respectively. Women-led startups in the ed-tech industry like Infinity Learn and Leap Scholar are building diverse learning environments. Health-tech startups like NIRAMAI and CareMother solve critical healthcare problems. Besides, women-run social enterprises like sustainable development, empowering poor communities, and ethical business practices. 

The emergence of online platforms and social media has transformed entrepreneurship among young women. Gen Z entrepreneurs utilize Instagram, Facebook Marketplace, and online marketplaces such as Meesho to access broader markets. Low-cost marketing through social media and direct-to-consumer strategies have dramatically lowered barriers to entry, enabling young women to initiate and scale businesses from the comfort of their homes. With growing support systems and changing market trends in their favor, India’s women entrepreneurs are shattering barriers, innovating, and building a more inclusive business environment.  

Policy Recommendations & Future Roadmap

In the grand canvas of India’s economic emergence, women entrepreneurs are increasingly bold colors filling in the narrative of grit and enterprise. Their story is more often, though, beset by issues demanding nuanced policy interventions. 

Enabling Credit & Venture Capital for Women-Led Business
Availability of finance remains one of the determining factors for entrepreneurship success. There has been significant growth in the financial involvement of women, states a recent report by NITI Aayog, From Borrowers to Builders: Women’s Role in India’s Financial Growth Story. As of December 2024, 27 million women were accessing their credit, up by 42% from the earlier year, indicative of growing financial literacy. But the Reserve Bank of India survey reveals that only a meager 5.9% of startups are initiated by women alone.To fill this gap, policy has to spur customized financial products, venture capital investment in women-owned businesses, and support credit guarantee schemes.

Bridging the Rural-Urban Divide in Entrepreneurship Opportunities
The rural-urban entrepreneurial divide crushes potential. NITI Aayog’s Decoding Government Support to Women Entrepreneurs in India highlights the importance of decentralized support systems. Setting up rural-focused incubation centers, developing digital infrastructure, and enabling market linkages can make resources more accessible, and talent from all regions can bloom.

Developing Women-Owned Business Incubators and Mentorship Initiatives
Support ecosystems are required in nurturing fledgling businesses. NITI Aayog’s Women Entrepreneurship Platform is a wonderful example of an integrated access portal, bringing women from all geographies onto one platform to pursue their entrepreneurial aspirations.Scaling up similar programs, forging partnerships with industry leaders, and peer-to-peer learning can provide the scaffolding support that women entrepreneurs need to scale.

Improving Policies for Startups & Corporate Leadership Gender Diversity
Not only a moral imperative, diversity is also a driver of innovation. The Women Transforming India awards, sponsored by the NITI Aayog, celebrate women entrepreneurs who succeed despite stereotypes. Having policies mandating gender diversity at the leadership level, providing incentives to inclusive practices, and driving diversity numbers transparency can lead to more balanced representation.

In summary, Indian women entrepreneurs have come a long way through generations, surmounting obstacles and changing business landscapes. Baby Boomers and Gen X set the stage through determination and grit, while Millennials used technology and policy interventions to scale their businesses. Gen Z, with its digital-first worldview, is transforming entrepreneurship with inventive, tech-based business models. In spite of all these advances, gender discrimination, limited financial access, and compliance challenges still weigh against development. Policy measures for tackling them through selective interventions, enhanced financial access, and stronger mentorship support are the way forward in establishing a more diversified entrepreneurial landscape. Narrowing the rural-urban gap, developing access to funding, and greater leadership diversity will also continue to strengthen women entrepreneurship. With increasing opportunities, technological developments, and changing support systems, the future of Indian women entrepreneurship is bright. By empowering and encouraging women entrepreneurs, India can fuel economic progress and social change to ensure an egalitarian and prosperous future.

References 

• Suri, K., & Verma, A. Evolution of women entrepreneurship in India. International Journal, 1(2).
• Kumar, J. S., & Shobana, D. (2023). Evolution and significance of women entrepreneurs in India. World Journal of Advanced Research and Reviews, 19(2), 1445-1458.
• Lal, A. T. (2015). Women entrepreneurs in india-over the years!. Abhigyan, 33(2), 13-25.
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• Reserve Bank of India. Survey on Startups: Women-Led Enterprises in India. Available at: https://www.entrepreneur.com/en-in/women-entrepreneur/rbi-survey-on-startups-show-6-startups-led-by-female-only/344453
• NITI Aayog. Decoding Government Support to Women Entrepreneurs in India. Available at: https://www.niti.gov.in/sites/default/files/2023-03/Decoding-Government-Support-to-Women-Entrepreneurs-in-India.pdf
• Wikipedia. Women Entrepreneurship Platform (WEP). Available at: https://en.wikipedia.org/wiki/Women_Entrepreneurship_Platform
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• McKinsey (2023). Gen Z and the Future of Business.
• Harvard Business Review (2023). The Rise of Decentralized Finance Among Gen Z.
• PwC (2022). Gig Economy and Risk-Taking Behavior in Younger Entrepreneurs.