Do men and women start businesses for different reasons?

Males and females have different ideas when it comes to reasons for starting up their own businesses, new research has found. Psychologists from the University of Cincinnati's Carl H Linder College of Business discovered that while men decide on such an undertaking for financial benefits, women view the approach as a way to bring environmental and social change.

Diana Hechevarria, a Doctoral Candidate in Management and Entrepreneurship at the institute, noted ladies are 1.17 times more likely than guys to create social ventures rather than economic-based ones, as well as 1.23 times more drawn to environmental-focused setups.

The findings have been published as a chapter in the book Global Women's Entrepreneurship Research: Diverse Settings, Questions and Approaches, which was released by Edward Elgar Publishing.

Ms Hechevarria said: "Traditionally, men have always been more active in start-ups, but that's because we typically have studied economic, social and environmental start-ups all together."

Professor Cary Cooper from Lancaster University, an Honorary Member of the British Psychological Society, takes a different view:

"Women often start businesses because they want more control over their lives. Working in large organisations, it can often be hard to maintain a good work/life balance. This is one of the reasons why many new business are set up by women.

"Of course, if a new business does well it can become just as hard to maintain that balance, but women are generally better at delegating than men."