Can Online Platforms Promote Women-Led Exporting Firms?
Date issued
Aug 2023
Subject
Small Business;
Trade in Services;
Trade in Goods;
Women;
Integration and Trade;
Export;
Digital Platform;
Gender;
Women Entrepreneurs;
Export Activity;
Entrepreneurship Promotion;
SME Exporter;
International Trade
JEL code
F13 - Trade Policy • International Trade Organizations;
F14 - Empirical Studies of Trade;
J16 - Economics of Gender • Non-labor Discrimination;
L15 - Information and Product Quality • Standardization and Compatibility;
L26 - Entrepreneurship
Category
Working Papers
How can policymakers promote women-led exporting firms? In this paper, we study the role of online business platforms to reduce informational barriers to exporting for women entrepreneurs. We hypothesize that, if the costs associated with accessing digital platforms are more symmetric across gender than traditional trade costs, digital trade platforms can play an important role in making trade more gender equal. To assess this hypothesis, we combine information on firms' participation in ConnectAmericas , a free and purely informational online platform, and detailed firm level export data of a developing country over a long period. We find that participation in this platform is associated with a significantly larger increase in exports for women entrepreneurs than for men managed firms in otherwise identical products and destinations. Given existing evidence on the role of women managed businesses in reducing gender earnings inequality, these results suggest that policies which encourage women participation in online environments to reduce the informational barriers associated with operating in foreign markets have the capacity to promote gender equality more broadly.
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