Linking entrepreneurial ability with profitability: A study of registered women entrepreneurs from Punjab, Haryana, and Chandigarh

Abstract

Over time, with growing attention to women's entrepreneurship, their entrepreneurial ability is improving. The term entrepreneurial ability is used to highlight various abilities that a woman entrepreneur must have that is further linked to their success in business. The present study attempted to highlight various entrepreneurial abilities related to entrepreneurial psychology and behaviour of women entrepreneurs and assess their impact on the level of profit using structural equation modelling. For the empirical analysis, primary data were collected from Punjab, Haryana, and Chandigarh's registered women entrepreneurs. The study identified one psychological and three behavioural factors that significantly influence the level of profits through the impact on investment. Overall, the study found that levels of initial investment were positively and significantly impacting the profits. The level of investment is determined by factors such as achievers’ attitude and willingness to take the risk. The risk-free attitude of women entrepreneurs was negatively affecting their profit levels.