Analyzing the Development of the Challenges Faced by Women-Owned SMEs in High-Income Areas of Lusaka, Zambia

Abstract

This study examines the evolving challenges faced by women-owned small and medium-sized enterprises (WSMEs) operating in the high-income areas of Lusaka, Zambia. WSMEs constitute over 60% of the country’s SME sector and play a vital role in economic development. Drawing from both literature and primary data collected through 17 questionnaires, the study identifies limited access to finance, inadequate training, family responsibilities, and gender discrimination as the main barriers to growth. Findings reveal that only 11.76% of participants accessed formal loans, indicating a continued reliance on informal finance, while limited training opportunities from government and non-government institutions hinder business development. Although family responsibilities and traditional gender roles remain obstacles, 70.6% of respondents observed positive shifts in societal attitudes toward women entrepreneurs over the past decade. The study concludes that while financial and structural barriers remain, changing perceptions show the progress Zambia is making, though there are several recommendations for the Zambian government to further empower women business owners.