America should definitely prepare itself for the new image of businesses. As of this moment a number of women and minority businesses are dominating different industries from hospitality and technology to media and marketing. No one can say that women are just limited to shops that include clothes and lingerie. They also can’t say that minorities can only enter businesses that are connected to dry cleaning or minimarts. One of today’s largest online auction sites, eBay, is led by Meg Whitman. Popular chains like McDonald’s and Pinkberry are headed by Cuban- and Korean-American presidents. This just goes to show that some of the women and minority owned businesses are great enough to lead different industries.
Most of the businesses owned by women have grown at a huge rate of 42% from 1997 up to 2006. This is a very huge percentage because the growth of overall businesses is just half of the growth made by businesses owned by women. This data came from the Center for Women’s Business Research. Every indicator is pointing to a stronger increase in a short span of time which may give a long-term or a short-term impact to the company.
But even if a good outlook is expected, it has to be noted that recession can affect such results. Since recession is unavoidable, women and minority owned businesses should consider these data:
- There was an 8.5% increase in the number of firms owned by minorities between 1982 up to 1997. This is almost three times higher compared to the overall growth rate of the businesses in U.S.
- The revenues made by the minority-owned enterprises have increased by 22.5% from 1987 to 1997.
- The employment capabilities of minority-owned firms have augmented 23% over a ten-year period from 1987 to 1997.
Most of the women entrepreneurs and minority entrepreneurs launched their businesses because of a simple ambition. The demographic change in the recent decades implies that women and minorities are now granted with access to capital and investments. Even if there are financial risks ahead, women and minority-owned businesses receive help from different organizations. Such enterprises also have a wider market opportunity in the private sector.
A lot of people recognize the fact that a lot of executive level professionals are from various backgrounds. To illustrate, Indra K. Nooyi is PepsiCo’s chair and CEO in 2006. She has landed on the fifth spot on the Forbes list of 100 most powerful women in the world in 2007. The list includes Oprah Winfrey, Hilary Clinton and Melinda Gates. And due to Nooyi’s achievements, she has been an inspiration to a lot of women and minorities to take top positions in big businesses.
The rising number of women and minority owned businesses can be a consequence of the demographic change in the country. The United States Census Bureau projects that the U.S population will include 40% minority group which includes Asian Americans, Hispanics, Native Americans and African Americans by 2050. This can mean that some entrepreneurs should expect a more diverse set of challenges and opportunities.
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