**5. Research methodology**

The whole study revolves around the impact of handicrafts on the socio-economic status of women. A proposition has been developed since female entrepreneurs have a high status in society. Different elements have been considered keeping in view Punjab as the area of study.

#### **5.1. Research design**

in far flung and under developed areas of Pakistan, we see that there are very hard-working women who make beautiful handicrafts but when the time comes to sale these products, there are no potential customers. They ultimately must sell those beautiful products to ignorant people who do not have any idea about the products' actual cost, so they demand a very low price; handicrafts women must sell these products at the price offered to earn their living. However, the trend is different in the large cities of Pakistan where there are various foundations and organizations that not only support the females to start up their businesses, but also provide financial support to the minorities. Hence, a woman who has a little money to start up her business will take a certain loan amount from such micro-finance institutions or organizations and operate their work. In this way, they earn a considerable amount of income and are able to repay the amount of loan. They easily support their families. They send their children to schools and get the necessities of lives. This is how their presence is acknowledged

Maskiell [14] analyzes the impact of colonial policies and the intermixing of economic and cultural aspects of "Phulkari" among Punjabi women during the British Raj and how this has continued to make work feminine or masculine in the cultural imagination. She uses the term

The introduction of products of modern technologies such as ceramics, plastic, and metallic utensils that are steadily replacing the utility of indigenous craft products in both urban and rural areas, is affecting the economic status of the artisans. Under these circumstances, artisans have lost and are still losing their traditional rural markets and their position within the community. This is chiefly true about artisan women. In the area, it is not the manufacturing industries that have been introduced but their products. If there manufacturing industries, they would have at least absorbed some of artisans. The consequences are many; first, the product is affecting progress of indigenous technology. Second, it is leading to widespread unemployment by destroying the labor-intensive crafts and reducing livelihood options; it is directly or indirectly intensifying environmental degradation. Besides, by affecting the progress of indigenous technology, this affects the positive interdependence between agriculture and craft sectors. Furthermore, enhanced machinery is hardly ever introduced in rural areas. Even when introduced, women are usually excluded from access to jobs in the new institutions by the associated criteria set for recruiting for employment. Another major challenge to the handicrafts women is that they cannot access the loans while living in far flung areas and they do not have any helping member who can help them to access the micro-finance institutions in large cities. They also cannot come to the big cities. Large NGOs and other microfinance institutions should focus on such small groups of women from backward areas; they should guide and direct women in the proper right direction so that their work is brought to the commercial level and also displayed in large artisan exhibitions. In an article, attention was drawn toward the tendency among governmental agencies and most non-governmental organizations (NGOs) over the past two decades to apply a welfare model to women poverty alleviation projects [15]. Since the 1970s, various developing countries and donor agencies as

in society and this is how their decision making power is also increased.

"gendered work" to explain her point.

74 Entrepreneurship - Trends and Challenges

**4. Micro-loans and challenges**

The research is intended to study the impact of one independent variable, which is handicrafts, over the other dependent variable, which is status of women. Both variables have their own dimensions.

#### **5.2. Sampling**


#### **5.3. Hypothesis development**

The null hypothesis was the following:

H0: handicrafts have significant impact on the socio-economic status of women in Punjab.

H₁: handicrafts do not have significant impact on the socio-economic status of women in Punjab.

The following formula has been used X2 = ∑(O–E)<sup>2</sup> /E

 O = observed value. E = expected value.

Degree of freedom was calculated by

Df = (r–1) × (c–1)

where r = no. of rows, c = no. of columns.

Decision rule states that we need to reject H0 if:

14.903 < 114.27

for opting for chi-square was because we have

X2 calculated value > X2 critical value

At 5% level of significance, we have 90 degrees of freedom and chi-square is 114.27. The calculated value of chi-square is less than the critical value of chi-square, that is,

Micro-Finance: A Driver for Entrepreneurship http://dx.doi.org/10.5772/intechopen.75031 77

The analysis at hand endorses the impact of handicrafts on the socio-economic status of women in Punjab. The results were calculated by applying chi-square on the data. The reason

From the supported material and findings of the results, it is therefore concluded that handicrafts women are producers of indoor and outdoor implements that rural communities are depending on. In addition, their works in the sector are sources of livelihood diversification

where

**6. Results**

Hence, we accept H0.

**7. Conclusion**

• quantitative data

• adequate sample size • data in frequency form

• two variables

#### **5.4. Data analysis**

A total of 109 questionnaires were circulated among the respondents. The data received from the respondents was analyzed. To test the hypothesis, Chi-square test was used to know whether the chi-square was accepted or rejected.

#### **5.5. Methodology**

The data obtained was analyzed using chi-square. The observed and expected values were calculated. Each question had two options, which were Yes and No. Hence, these options were assigned the values 2 and 1 (Yes = 2, No = 1). In this way, it was observed how many respondents opted Yes and how many opted No. Degree of freedom was calculated using the appropriate formula and .05 level of significance.

The calculations for chi-square are as follows.

Observed values


#### Expected values


#### Chi-square


The following formula has been used

X2 = ∑(O–E)<sup>2</sup> /E

where

**5.3. Hypothesis development**

76 Entrepreneurship - Trends and Challenges

**5.4. Data analysis**

**5.5. Methodology**

Observed values

Expected values

Chi-square

The null hypothesis was the following:

whether the chi-square was accepted or rejected.

appropriate formula and .05 level of significance.

The calculations for chi-square are as follows.

H0: handicrafts have significant impact on the socio-economic status of women in Punjab.

H₁: handicrafts do not have significant impact on the socio-economic status of women in Punjab.

A total of 109 questionnaires were circulated among the respondents. The data received from the respondents was analyzed. To test the hypothesis, Chi-square test was used to know

The data obtained was analyzed using chi-square. The observed and expected values were calculated. Each question had two options, which were Yes and No. Hence, these options were assigned the values 2 and 1 (Yes = 2, No = 1). In this way, it was observed how many respondents opted Yes and how many opted No. Degree of freedom was calculated using the

**Response Kashf Foundation customers Non-Kashf Foundation customers Total** Yes 152 196 348 No 34 12 46 Total 186 208 394

**Response Kashf Foundation customers Non-Kashf Foundation customers Total** Yes 164.284264 183.715736 348 No 21.71573604 24.28426396 46 Total 186 208 394

**Response Kashf Foundation customers Non-Kashf Foundation customers Total** Yes 0.918548967 0.82139475 1.73994372 No 6.949022623 6.214029846 13.1630525 Total 7.867571591 7.0354246 14.903

O = observed value.

E = expected value.

Degree of freedom was calculated by

$$\mathbf{Df} = (\mathbf{r} \mathbf{-1}) \times (\mathbf{c} \mathbf{-1})$$

where r = no. of rows, c = no. of columns.

#### **6. Results**

Decision rule states that we need to reject H0 if:

X2 calculated value > X2 critical value

At 5% level of significance, we have 90 degrees of freedom and chi-square is 114.27.

The calculated value of chi-square is less than the critical value of chi-square, that is,

14.903 < 114.27

Hence, we accept H0.

#### **7. Conclusion**

The analysis at hand endorses the impact of handicrafts on the socio-economic status of women in Punjab. The results were calculated by applying chi-square on the data. The reason for opting for chi-square was because we have


From the supported material and findings of the results, it is therefore concluded that handicrafts women are producers of indoor and outdoor implements that rural communities are depending on. In addition, their works in the sector are sources of livelihood diversification that reduce pressure on land and hence, alleviate environmental degradation. These women need assistance to set up saving and credit cooperatives, making capital available for further investment. Groups' saving, and credit cooperatives are helpful to link the local cooperative unit to mainstream financial institutions in the country. There is a need to teach people the fact that existence of their technology is wholly based on the available surrounding natural resources and devastation of the resource cycle lead to interruption of the craft works. Microfinance institutions that give loans with minimum interest rate should be set up in rural areas. Even if there are many lacking facilities, the handicrafts women can still empower their socioeconomic status via earnings from their work. It was also concluded that Kashf Foundation customers have a better socio-economic status than those of non-Kashf Foundation customers.

**7.** Have you been benefitting out of your micro-enterprise activity?

**9.** Has your ability in doing purchases without seeking approval increased?

**11.** Since you have been working, do you think your quality of your life has improved?

[1] Schuler SR, Hashmi SM.Women's empowerment, contraceptive use in Rural Bangladesh.

[2] Muhammad Y, Bertrand M, Lehmann-Ortega L. Building social business models: Lessons from the Grameen experience. Long Range Planning. 2010;**43**(2-3):308-325 https://doi.

[3] Dubreuil GE, Mirada CT. Microfinance and gender considerations in developed countries: The case of Catalonia. Management Research Review. 2010;**12**(33, 12):1140-1157

**10.** Has your role in your reference community increased greatly?

Address all correspondence to: asma.salman@aue.ae

Studies in Family Planning. 1994;**25**(2):65-76

org/10.1016/j.lrp.2009.12.005

American University in the Emirates, Dubai, UAE

**8.** Are you facing any kind of financial independence after you have been a part of micro-

Micro-Finance: A Driver for Entrepreneurship http://dx.doi.org/10.5772/intechopen.75031 79

• Yes • No

• Yes • No

• Yes • No

• Yes • No

• Yes • No

**Author details**

Asma Salman

**References**

enterprise activity?

#### **Annexure**

#### **Questionnaire**

Age: Income Level:


that reduce pressure on land and hence, alleviate environmental degradation. These women need assistance to set up saving and credit cooperatives, making capital available for further investment. Groups' saving, and credit cooperatives are helpful to link the local cooperative unit to mainstream financial institutions in the country. There is a need to teach people the fact that existence of their technology is wholly based on the available surrounding natural resources and devastation of the resource cycle lead to interruption of the craft works. Microfinance institutions that give loans with minimum interest rate should be set up in rural areas. Even if there are many lacking facilities, the handicrafts women can still empower their socioeconomic status via earnings from their work. It was also concluded that Kashf Foundation customers have a better socio-economic status than those of non-Kashf Foundation customers.

**2.** What according to your perception are the sources of your empowerment in your society?

**3.** Do you think micro-loans/credit can be a driver in expanding your business?

**5.** Since you have been involved in handicrafts, are you involved in decision making?

**6.** Has the attitude of your household members changed since you started contributing to the

**4.** Who is the principal decision maker in your house hold?

**1.** Do you think handicrafts are a leading factor in poverty alleviation?

**Annexure**

• Yes • No

• Yes • No

• Yes • No

• Yes • No

• Yes • No

• Yes • No

income-generating activities?

**Questionnaire**

Age: Income Level:

78 Entrepreneurship - Trends and Challenges

