Enabling and limiting factors influencing women entrepreneurs in Bihar’s MSME sector with special reference to Muzaffarpur district

Abstract

Women’s entrepreneurship plays a pivotal role in inclusive growth, job creation, and poverty reduction. Despite its potential, women-owned enterprises in Bihar’s MSME sector remain underrepresented. The present study explores the enabling and limiting factors shaping women’s entrepreneurial journeys in the state, with particular emphasis on the Muzaffarpur district. Using secondary data from official reports and district-level analyses, the study employs a descriptive-analytical approach to identify both supportive mechanisms and persistent barriers. Enabling factors include family and community support, self-help groups (SHGs), microfinance institutions, skill development programs, and digital opportunities. At the same time, women face significant constraints such as limited access to finance, patriarchal norms, infrastructural deficits, digital exclusion, and weak policy implementation. Muzaffarpur illustrates this dual reality: while strengths exist in agro-processing, handicrafts, and cooperative networks, women entrepreneurs often struggle with market access, scalability, and recognition within formal value chains. The findings suggest that enabling factors, though growing, are not yet strong enough to offset systemic barriers. The study argues for a comprehensive policy framework that integrates inclusive finance, market-linked skills, digital empowerment, and institutional reforms to transform women’s enterprises from survival-oriented activities into growth-driven businesses capable of driving Bihar’s socio-economic development.