E-COMMERCE/E-RETAILING PROJECTS MAIER, NAIR-REICHERT

Empowering Women Through

ICT-Based Business Initiatives:
An Overview of Best Practices in
sylvia.maier@nyu.edu
E-Commerce/E-Retailing Projects
Assistant Professor/Faculty
Fellow
Center for European and Information and communication technologies (ICTs) have been increasingly
Mediterranean Studies promoted as a key solution for comprehensive development, poverty eradica-
New York University tion and the empowerment of historically disadvantaged groups, such as
285 Mercer Street, 7th ºoor
women and minorities in the Global South. ICT-based business initiatives, and
New York, New York 10003
e-commerce projects in particular, have been hailed as “potential goldmines”
USA
(212) 998-3857 for women’s empowerment. However, research and experience show that to
be successful, projects must balance the need to overcome structural barriers
to women’s advancement with sensitivity to the limited space within which
Associate Professor many women in the Global South navigate. In this paper, we review literature
School of Economics on ICT and empowerment of women, drawing upon several e-commerce/
Georgia Institute of Technology e-retailing projects as case studies to identify a set of best practices that un-
USA derlie a successful project: 1) government and institutional support, 2) societal
involvement, 3) training and empowerment, 4) expansion of market access,
and 5) managerial best practices. We anticipate that the insights generated by
this study will be useful both for purposes of effective program development
and policy design.

This study is motivated by the potentially powerful role that information

and communication technologies (ICTs) can play in the empowerment of
women in the poor and underdeveloped societies in the world.1 In this es-
say, we review the literature on ICTs and empowerment of women, draw-
ing upon several e-commerce/e-retailing projects as case studies to
identify a set of “best practices” that underlie a successful project. We an-
ticipate that the insights developed in this study would be useful both for
purposes of effective program development and policy design.
ICTs are increasingly promoted as a key solution for comprehensive de-
velopment, poverty eradication and the empowerment of historically dis-
advantaged groups, such as women and minorities in the Global South
(Bhatnagar & Schware, 2000; Friedman, 2005; Hafkin & Huyer, 2006;
Hafkin & Taggert, 2001; Heeks, 1999, Huyer & Mitter, 2003; UNCTAD,
2002; International Telecommunication Union, 2005). An International
Telecommunication Union (ITU) study (2005) describes ICTs as potentially

1. For the purpose of this paper, we deªne ICTs as any communication device and application, such as computer and
network hardware and software, the Internet, telephones, cell phones, radio and television, and additional services
they enable, for example, long-distance learning.

© The MIT Press 2008. Published under Creative Commons Attribution NonCommercial-NoDerivativeWorks Unported 3.0 license. All rights
not granted thereunder to the public are reserved to the publisher and may not be exercised without its express written permission.
Volume 4, Number 2, Winter 2007, 43–60 43
E-COMMERCE/E-RETAILING PROJECTS

powerful “development enablers” and the World cial structure without inadvertently reinforcing exist-
Bank currently supports more than 1,000 projects ing gender divides or causing even further
with an IT component (The World Bank Gender marginalization in a backlash, such as what hap-
Group, 2006). Simultaneously, the Declaration of pened to the Rupununi Weavers Society (Hafkin &
Agreement in Support Of Girls and Women in Infor- Huyer, 2006; Maneja, 2002; Sciadas, 2005; World
mation and Communication Technology, introduced Bank, 2007a). Numerous other factors can impact
at the United Nations World Summit on the Infor- the success of an ICT-based project. While many pa-
mation Society in Tunis, Tunisia on November 16, pers have addressed the theory related to this topic,
2005, stresses that “ICT allows women increased and there are individual case studies examining the
participation in political, social, and economic arenas impact of ICT on the empowerment of women, we
and supports empowerment for themselves, their have, to the best of our knowledge, not seen any
families, and their communities.” However, it also systematic work on “best practices” in this area.
warns that “[f]ailing to recognize and remedy Our paper, therefore, is motivated by the question:
women’s severe under-representation in the devel- How do ICTs and the development of e-commerce/
opment of ICTs and ICT policy, including both access e-retailing projects facilitate the empowerment of
and leadership, limits our ability to advance our women, and what are some characteristics of
global society.” successful e-commerce/e-retailing projects? For the
In recent years, therefore, development agencies, purpose of this paper, we deªne e-commerce/e-re-
such as the World Bank, USAID and the Canadian tailing as business-to-customer (B2C) and business-
International Development Research Centre (IDRC) to-business (B2B) online sales and purchases of
have substantially increased funding for ICT projects goods or services.
that speciªcally aim to empower women, such as The methodology we developed for this study is
e-commerce, e-government, business development, to ªrst review the literature and identify factors that
and networking projects. Women have increasingly facilitated successful e-commerce/e-retailing projects
proven to be active and enthusiastic participants in a and factors that hindered such projects. We then
large variety of ICT-enabled projects, such as com- identify a set of e-commerce case studies that we
puter training and data entry facilities, call centers, analyze to understand the extent to which the theo-
billing, computer repair work, and e-enabled busi- retical ªndings are validated by the ªeld experiences.
nesses. (Hafkin & Huyer, 2006; Lafond & Sinha, Through this process we are able to identify a set of
2005; Sciadas, 2005). E-commerce projects (tradi- best practices that underlie a project that is success-
tional or otherwise) that tap the skills of women and ful in empowering women. We deªne best practices
exploit their potential have been particularly popular as sets of actions, managerial practices, and policies
in global markets. The Georgetown-initiated Cot- undertaken by women-owned e-commerce/
tage Industry-Global Market CI-GM Project, Tortas e-retailing businesses that lead to the empowerment
Peru, the India Shop, ElSouk, EthioShop, Women of women both working in those businesses and
Entrepreneurs and Handicraft Producers in Bhutan, those others who regarded it as a role model to
the World Bank-funded Knitting Together Project emulate. Many of the case studies included in the
and the Rupununi Weavers Society are examples of paper have been widely discussed in the literature.
(at least, initially) successful e-commerce projects. We are limited by the availability of data since our
Projects like those by the Delhi-based Datamation speciªc focus is on e-commerce/e-retailing, and
Foundation, the Information Village Project in we include mainly case studies we found during
Pondicherry, India and the Grameen Phone Project in our literature search that speciªcally relate to
Bangladesh serve as models of the potential of ICT- e-commerce/e-retailing (rather than the general use
based projects. of ICTs). Our experience mirrors the 2004 UNCTAD
Experience has also shown, however, that the ef- E-commerce and Development Report’s spotlight on
fective application of any new technology must rec- the “scarcity of reliable data on the value of
ognize that technologies are not gender neutral, e-commerce” (p. 13), which is mostly “based on
neither in design nor in implementation (Boserup, anecdotal and case study evidence” because of an
1970; Hafkin & Huyer, 2006, Rosser, 2005; absence of statistical data on e-business, especially
Wajcman, 1991), and second, that ICT projects must in developing countries (p. 25).
be designed to function within the cultural and so-

44 Information Technologies and International Development

 MAIER, NAIR-REICHERT

• ICTs provide greater access to weather-related

information and credit opportunities.
In short, access to ICT and proper use of this access
could place an economy on a higher income trajec-
tory over time.2

ICTs are consistently hailed as one of the most effec-

The literature on the enormous opportunities ICTs
tive tools for economic development. An ITU study
can provide for women’s empowerment is vibrant
(2005) describes ICTs as potentially powerful “devel-
and wide ranging. Kelkar and Nathan (2002, p. 433)
opment enablers:” they are cost-effective with
have argued that ITs have the potential to “rede-
signiªcant transformative power, allow developing
ªn[e] traditional gender roles” and that “the spread
countries to leapfrog several stages of the develop-
of IT-enabled services has been immensely beneªcial
ment process and, in furnishing individuals directly
to both women and men, especially those who
with tools for self-empowerment, avoid top-heavy
have limited skills or lack of resources to invest in
and corrupt bureaucracies (Heeks, 1999; Karake-
higher education.” Drucker (2001) has called
Shalhoub & Al Qasimi, 2006). Speciªcally, Eggleston,
ICTs the “great equalizer” and pioneers in the ªeld
Jensen, and Zeckhauser (2002) argue that ICTs “can
of gender empowerment through ICTs, both in
enhance the functioning of markets that are critical
academe and advocacy, such as Hafkin & Taggert
for the well-being of the poor” because ICTs can
(2001), Haflan (2002), Huyer (2002, 2005), Mitter
foster greater market integration in many ways:
(2003), Nath (2001), Sharma (2003), Sharma
• They allow ªrms and individuals in developing (2004), and Ng (2005) have convincingly shown
countries to participate more competitively and that access to and effective use of ICTs contributes
with greater ease in the regional, national and to women’s empowerment and capacity building
global economies and reduce uncertainty in in numerous ways, frequently with synergetic
doing business; effects:
• Information regarding prices enables producers • Training in the use and design of computer ap-
to plan their product mix and input purchases plications, such as e-mail, word-processing and
in an efªcient manner; design applications, builds marketable skills;
• Access to ICTs allows producers to sell their • Marketable skills create alternative possibilities
products in the most proªtable markets and for income generation and the possibility of
determine the optimum timing of sale; upward mobility;
• Availability of price information shrinks the in- • An independent income is the basis for individ-
formational asymmetry between the rural pro- ual autonomy, increased agency and control
ducers and middlemen; and, frequently, increased self-esteem and self-
• ICTs reduce the exploitation of rural producers conªdence (Huyer, 2006, p. 30; Garrido & Ro-
by e-middlemen; man, 2006, p. 170). The Economist quotes a
• Increased information facilitates technology dif- female volunteer who helps run an ICT-based
fusion, adoption and innovation at a much “Knowledge Center” in Embalam near
faster pace; Pondicherry in India as attesting that the status
of women in Embalam has improved as a result
• Increased information about the availability of
of using the computers. “Before, we were just
jobs could result in better and faster matching
sitting at home,” she says. “Now we feel em-
between landless laborers and available jobs,
powered and more in control”3;
ultimately leading to increased productivity;

2. Other papers include Rice (2003) and Kenny (2002). Rice (2003) summarizes the beneªts of ICT, including the ICT
sector’s direct contribution to output, improvements in public sector administration, education, better delivery of public
and private services such as health care, monitoring ecological situations and maintaining environmental stability, inte-
grating distant regions and areas, providing better communications, promoting productivity gains, efªciency, and
growth. Kenny (2002) describes ICTs as “powerful tools for empowerment and income generation in LDCs.”
3. Charles Kenny “Behind the Digital Divide,” The Economist; 3/12/2005, Vol. 374 Issue 8417, Special Section pp. 22–25.

Volume 4, Number 2, Winter 2007 45

E-COMMERCE/E-RETAILING PROJECTS

• Increased agency and self-conªdence allow women to a much inferior status. Hafkin (2000) has
women to travel more and develop a wider also shown that gender discrimination is often trans-
network of contacts. Such travel and network- ferred, presumably unintentionally, because ICTs are
ing expose them to the availability of more designed by “Western men who do not understand
economic opportunities (Eggleston, Jensen & the social, economic, or cultural contexts for use of
Zeckhauser, 2002; Rice, 2003; Kenny, 2002; these technologies” (p. 4).
Bayes, von Braun, & Akhter, 1999); There are several speciªc obstacles that prevent
• ICTs open new avenues for education, commu- women, especially women entrepreneurs, from en-
nication and information sharing; joying the full beneªts of the ICT revolution:

• ICTs can be a valuable tool for the organiza- Business Challenges

tion and mobilization of women’s advocacy The key two business problems faced by women
and interest groups (Friedman, 2005; Nath, running micro (e-commerce/e-retailing) enterprises
2006); are constraints in obtaining necessary loans for seed
money and/or to ensure consistent funding for an
• Education and information increase knowledge
existing project (they therefore often develop sub-
about the world and the political, economic,
stantial dependency on government sources) and re-
social and cultural factors that shape women’s
sistance to women’s empowerment by (male)
lives.
government ofªcials and fellow villagers (Garrido &
Finally, women’s empowerment and a country’s Roman, 2006; Poster & Salime, 2002). Additionally,
level of economic development are inextricably women ªnd it difªcult to mobilize alternative
linked (Boserup, 1970; Elson, 1995; Marchand & ªnancial resources, as, unlike men, in many develop-
Parpart, 1995; Nussbaum, 2001; Sen, 2000). For in- ing countries they are unable to travel on their own
stance, UN Secretary-General Koª Annan (2005) has to various distant ofªces and agencies.
called the empowerment of women “the most ef- One of the most important problems women’s
fective development tool.” Sharma (2003) argues enterprises face is undue delay in getting paid by
that “societies that discriminate by gender pay a government departments and other agencies for the
high price in terms of their ability to develop and to work they do. Unlike their male counterparts, they
reduce poverty” (p. 1), an assertion that has been are limited in their abilities to collect their dues be-
supported by every annual United Nations Human cause of their limited freedom to travel alone. Cor-
Development Report since 2001 (UNDP, 2001– rupt government ofªcials may see women’s
2006). organizations providing ICT-based services as a
Despite these great promises and numerous suc- threat to them, especially where corruption exists in
cess stories, one must not be seduced into believing the provision of services. Government ofªcers often
that ICT-enabled development projects for women do not appreciate seeing work they were previously
are panaceas, but be mindful of the very signiªcant doing now being handled by women who are less
challenges faced by women in ICT-based businesses. educated and less trained than they. This may lead
Indeed, the IT sector remains one of the most to deliberate delays in processing applications,
gendered sectors (Archibald, et al., 2005; Arun & granting approvals, making payments, etc. This
Arun, 2001; Mitter & Rowbotham, 1997; Patel & problem is worsened by the fact that many of these
Parmentier, 2005; Wajcman, 1991). Ubiquitously, women-owned businesses are dependant to a large
women face barriers to the use of ICTs, mostly lack degree on speciªc products/services and on govern-
of training, lack of access, the high costs of equip- ment contracting. They realize the need for diversi-
ment and connection as well as software and hard- fying their business activities as key to their long-
ware applications and designs that do not reºect term survival and growth, but they face serious
the needs of women (Arun & Arun, 2002; Hafkin & ªnancial and societal constraints.
Huyer, 2006; Hafkin & Taggert, 2001; Mies & Shiva, Finally, villages are often illiterate and distrust
1993; Mitter, 2005; Mitter & Sen 2000; Momo, ªnancial transactions over the computer; hence it
2000; Rathgeber, 2000; Sciadas, 2005). These barri- takes considerable time and effort to build trust and
ers are often exacerbated by extreme poverty and conªdence in the business.
highly patriarchal social structures that relegate

46 Information Technologies and International Development

 MAIER, NAIR-REICHERT

Societal Challenges preclude women from all sorts of agency. Indeed, as

Women are often discouraged, both at the family Maneja points out, culture can actually open paths
and village levels, in their entrepreneurial efforts. Of- to power (2002, p. 32). For example, women can
ten the fear that it may change or shift the power focus on the “enabling” structures of culture, such
structure creates hurdles in their path. Many women as an emphasis on child rearing, their cooking skills
are also uncertain about their professional opportu- or expertise in weaving or embroidery, to open op-
nities once they get married. In addition, juggling portunities for social and economic empowerment.
household responsibilities and work responsibilities Indeed, e-commerce/e-retailing projects, such as
can be very challenging and may result in women Tortas Peru, Women Weavers in Morocco, Elsouk,
opting out of the ICT-driven developmental efforts EthiopiaShop, and the CI-GM project are clear ex-
(Hafkin & Huyer, 2006). amples of women’s successful capitalization on “tra-
These structural constraints are extremely difªcult ditional female skills.” Therefore, instead of
to overcome because they reºect centuries of cultur- assuming “culture” to be a static, oppressive force
ally and religiously justiªed forms of gender discrimi- that needs to be broken down or oversensitivity to
nation and have been ªrmly internalized by men an idealization of culture, successful ICT4D projects
and women alike, permeating all institutions of soci- work within a culture, assume that women are re-
ety. These gender inequalities are often enforced by sourceful, and if given the opportunity, will exercise
older women in so-called “escalator hierarchies,” their agency for change. Most importantly, develop-
(Papanek, 1990, p. 170, quoted in Maneja, 2002, ment projects must aim to foster the “capacity to
p. 25) who depend for their hierarchical seniority on aspire.” (Maneja, 2002, p. 32, citing Rao & Walton,
men whose expectations they have served in their 2002, p. 28). By “capacity to aspire,” Rao and
youth, such as through bearing sons, obedience to Walton understand the “capacity of individuals and
elders, or excellent housekeeping skills. Therefore, groups to look to the future, assess risks, engage
development projects cannot automatically depend with markets, the state and other groups in the
on the support of all women, especially respected strategies that determine economic and social devel-
elder women, for fear that these programs might opment paths” (p. 28).
upset the “social applecart.”
This means that projects must transform the
mechanisms and internalized psychological con-
straints that restrict women, but must do so slowly
In 2002, the annual UNCTAD report on E-Commerce
and over time. This is of particular importance for
and Development hailed e-commerce as a “potential
e-commerce projects that enable women to earn
goldmine” for women in the developing countries
considerable incomes of their own. This economic
because of its great potential for women’s empow-
empowerment of women substantially changes
erment. Women-owned or women-operated
power relations between women and men (who un-
telecenters in Senegal and Morocco, phone shops in
til then, had exclusive control over the means of
Ghana, Internet cafés in Thailand and Malaysia, and
production) and is likely to cause conºict, as it hap-
the Grameen Phone Project in Bangladesh were
pened to the Rupununi Weavers Project in Guyana.
cited as examples of how women in developing
Therefore, as Bourque and Warren (1990) have
countries can successfully exploit opportunities of-
shown, for these women to ever truly beneªt
fered by new technologies (p. 64). Accordingly, the
from the opportunities technologies can offer, a
interest of development agencies, scholars and activ-
recognition of the ideological, cultural, and social
ists in e-commerce projects has increased
impediments to the acceptance of technological ca-
signiªcantly over the past ªve or six years.
pabilities is just as crucial to eventually challenging
As a result, the literature on e-commerce is enor-
directly or indirectly these impediments as the
mous, and the overwhelming majority of scholars,
empowerment of women (through education,
activists and policymakers agree on the great poten-
awareness-raising, etc.).
tial of e-business/e-commerce/e-retailing for
It must be noted, though, that while culture may
women’s empowerment, particularly in developing
and does inhibit women’s ability to engage in eco-
countries (Morgan, Heeks & Arun, 2006; Duncombe
nomic opportunities, it is not static and does not
et al., 2006; Hafkin & Taggert, 2001; Heeks, 2004;

Volume 4, Number 2, Winter 2007 47

E-COMMERCE/E-RETAILING PROJECTS

Huyer & Mitter, 2003; Mitter & Rowbotham, 1997; “make-or-break” concerns were related to connec-
UNCTAD, 2002, 2003, 2004, 2005, 2006). At the tivity problems (high costs, sparse access, low speed,
same time, the literature is characterized by a deªn- and inadequate coverage), low computer security
ite focus on e-commerce in OECD countries, busi- (such as encryption technologies) as well as a lack of
ness models, and, surprisingly, especially regarding trust in the respective country’s legal and regulatory
successful uses of ICTs by women-owned businesses, framework necessary for e-commerce resulting from
is based on anecdotal evidence and a few case stud- a real or perceived lack of enforceable laws on on-
ies but not on any systematic statistical evidence line contracts, banking laws, and security concerns
(Hafkin & Haggart, 2001; ITU, 2002a, 2002b; Mitter, regarding credit card and foreign currency transac-
2005; UNCTAD, 2002, 2004).4 For example, only tions (Orbeta, 2001, 2005; UNCTAD 2004, p. 54;
15% of developing countries, compared with 75% see also OECD 1997).
of OECD countries, have collected data on barriers Several case studies also provide important in-
to e-commerce (Partnership 2005, pp. 29–30), and sights. Singh (2005) identiªes the “lessons learned”
only 10% (!) or fewer of countries (and about the from an ongoing NGO-supported project whose
same amount of their population) collected data on goal is to empower low-income rural artisans from
the type and value of goods and services purchased North and Central India. He argues that successful
over the Internet (Partnership, 2005, p. 15). Data e-commerce/e-retailing projects of such type encour-
disaggregated by gender are virtually non-existent. age and maintain a cooperative environment among
The reasons for this dearth of data are a lack of community members, provide “revolving funds” to
awareness among policymakers of the importance maintain the supply chain, provide assistance and
of statistics and limited resources and capabilities to training with regard to international shipping for-
collect and compile these data (UNCTAD, 2004). malities and other supply problems, and run work-
Nonetheless, existing research on e-commerce/ shops to make artisans self-sufªcient, give design
e-retailing allows us to identify important patterns. input to ensure the marketability of the product and
Early studies on B2B e-commerce (Goldstein & ensure and enforce quality, standardization and
O’Connor, 2000; OECD, 1997) have argued that deadlines (p. 47). Joseph and Narayanan (2005)
e-commerce, especially e-retailing, will only be suc- show that teaming up with an established NGO, in
cessful if it can approximately replicate the amount this case the Foundation for Organizational Develop-
of trust and conªdence involved in familiar everyday ment (FOOD), may offer signiªcant beneªts for the
business transactions, such as payment security and producers. In the project they analyzed, rural arti-
quality control of the purchased product, and gov- sans and women’s cooperatives in India were able to
ernments are able to establish the corresponding generate for themselves a regular, signiªcant source
regulatory and legal framework to make consumers of income. FOOD designed an experimental Web
and producers feel secure when using the Internet site for the sale of the products, hired and trained
(Joseph & Narayanan, 2005). Recent UNCTAD re- e-marketers (educated but unemployed youngsters)
ports have conªrmed this assessment. to publicize the products provided immediate cus-
Several recent regional surveys in South Asia, tomer service and helped with shipping and pay-
Latin America and Africa have identiªed key require- ment logistics. The initial support was free and later
ments for e-commerce projects to thrive in develop- supported through a nominal fee paid by the
ing countries (Orbeta, 2001, 2005; UNCTAD, 2004). producers.
While the studies have found a general positive atti- Mitter (2005) is generally more cautious regard-
tude by entrepreneurs and consumers toward ICTs ing the enabling potential of ICTs. She outlines the
and a deªnite willingness by business owners to in- signiªcant obstacles faced by e-retailing/e-commerce
tegrate ICTs in their business plans, they also make entrepreneurs and argues that there are three main
clear that the hurdles are signiªcant. Speciªc limiting factors for B2C e-commerce projects: (1) the

4. For speciªc information on the dearth of country data on ICT penetration and indicators, see the report by the Part-
nership on Measuring ICT for Development. (2005). Measuring ICT: The global status of ICT indicators. New York: The
United Nations Information and Communication Technologies Task Force.

48 Information Technologies and International Development

 MAIER, NAIR-REICHERT

absence of secure payment modes and the high

costs associated with non-credit card payments are
particularly crucial for women’s e-commerce projects
which, because of the nature of their products— We classify our best practices into training and em-
clothing, food and decorative items—operate on powerment of women, expanding market access
very tight proªt margins, (2) the absence of regula- and generating proªt-making opportunities, govern-
tory frameworks in most developing countries and ment and institutional support, societal involvement,
(3) most important, lack of consumer conªdence in and appropriate managerial practices, based on the
the quality of the goods sold over the Internet insights from our literature review. Under training
(pp. 5–6). Consequently, she considers e-B2B pro- and empowerment of women, we identify ICT and
jects (“insourcing”) as the more promising empow- business-related training, externalities generated by
erment venue in the long term (pp. 5–6). She also successful projects and the virtuous cycle of eco-
argues that e-commerce projects that require only a nomic independence and empowerment as key driv-
small amount of capital, a low level of education or ers. ICTs and e-commerce/e-retailing also facilitate
training and that can be done while doing house- greater and wider market access, better information,
hold chores promise to be more successful (p. 7).5 In and elimination of the middleman, positively impact-
addition, Mitter identiªes seven speciªc barriers that ing the cost structure. Our study indicates that
women entrepreneurs need to contend with in or- e-commerce/e-retailing projects which focus on
der to kick off and sustain e-commerce/e-retailing quality, ªrm reputation and product diversiªcation
businesses (p. 8): (1) the mastery of Internet tech- are also more successful. It is important to note that
nologies (such as programming and design language given the inherent biases against women-run enter-
and applications), (2) learning the “language of the prises in many societies, these qualities become
Internet”, i.e., English, (p. 8), (3) gaining access to especially important for such women-owned busi-
capital that, at least initially, requires no collateral, nesses. Governments and supporting institutions
such as through micro-ªnance and micro-credit pro- have an important role to play in providing the initial
grams, (4) the acquisition of technical and business momentum and ongoing support for successful pro-
management skills to deal with supply and delivery jects as they often provide both the necessary infra-
logistics, such as packaging and shipping the prod- structure and also are a large part of the women-
uct, (5) the acquisition of “information on trade and owned business’ customer base. Family support is
customs regulations” (p. 8), (6) the ability to deal very crucial, especially for women with small chil-
with technical and regulatory problems for payment dren, as it is very challenging to handle both home
over the Internet, and (7) the ability to address con- and business responsibilities without family support.6
sumer conªdence about the quality of the product. Finally, sound managerial practices such as a partici-
Any successful e-commerce/e-retailing project, patory management style, a strong commitment to
therefore, needs to overcome these very signiªcant remaining in the business, good business reputation
socio-cultural and structural barriers, and numerous and good public relations are all key success factors
projects have been very successful indeed. This liter- for women-owned e-commerce/e-retailing busi-
ature review provides us with a framework for sys- nesses.
tematically developing a set of “best practices,” Despite the challenges faced by women in
based on our analysis of successful ICT-based pro- e-commerce/e-retailing and other ICT-based busi-
jects for the empowerment of women. In the next nesses, we have come across several projects run by
section, we are able to effectively address the ques- women that have successfully navigated the impedi-
tions begged by this analysis. What are the charac- ments to establishing and developing e-commerce/
teristics of these successful e-commerce/e-retailing e-retailing projects. We now analyze these projects
businesses? What can we learn from them? with a view to developing a set of best practices
that have served to overcome the adverse factors.

5. See also UNCTAD (2002) E-Commerce and development report, pp. 63–65.
6. Lack of family support is an important determinant of the drop-out rate in these projects.

Volume 4, Number 2, Winter 2007 49

E-COMMERCE/E-RETAILING PROJECTS

We classify our best practices into training and em- sess, and hence the training equips them to
powerment of women, expanding market access better manage and develop their businesses.
and generating proªt-making opportunities, govern-
ment and institutional support, societal involvement,
and appropriate managerial practices. Brief descrip-
Another important determinant of success as evi-
tions of the cases we have analyzed are included in
denced in case studies such as Tortas Peru, Women
Appendix A.
Weavers in Morocco, CI-GM, Computer Facility at
Kasargod, Kerala, India and Divine Computers of
Several case studies such as the Village Pay Phones Vadakara, India was expanding market access to
(VPPs) in Bangladesh; Computer Facility at Kasargod, proªtable business opportunities.
Kerala, India; Divine Computers of Vadakara, India; 1. ICTs enable women to reach markets far
e-Seva Centres in Andhra Pradesh, India; and India from home and sell their goods, providing
Shop and Cottage Industry–Global Marketplace, In- greater access to regional, national and
dia, all point to the crucial role that training plays in global markets. An article in The Guardian
the success of ICT-based projects undertaken by describes how Elsouk, an e-commerce
women. Some of the key insights are as follows: website set up with World Bank assistance,
1. Successful projects have externalities (i.e., helps women artisans from Morocco, Egypt,
they create beneªts that spill over to other Jordan, Tunisia and Lebanon sell their prod-
entities outside the business itself). For ex- ucts abroad and even develop B2B direct re-
ample, the computer center in Kasargod lations.8 The Tortas Peru confectionary
beneªted from the excellent reputation of website set up by housewives in Peru en-
other women-owned ICT-based businesses ables women with children to work from
that were afªliated with their sponsor home and earn an income.
agency, Kudumbashree. Women own the 2. Products are sold directly online thus cutting
means of production, thus reforming owner- out the middleman and maximizing proªts;
ship norms and helping other women with likewise inputs are purchased directly, once
their businesses. Women themselves are in again reducing costs. The Guardian article
charge of the production and are involved in also describes the story of a woman weaver
distribution and sales logistics. Greater deci- from Kancheepuram in India who wove
sion-making authority leads to greater beautiful sarees that she was forced to sell
knowledge, income and empowerment. In at a very low price to a middleman as she
the Kasargod facility, there are 10 core had no access to other markets for her prod-
women members who handle the ªnances, ucts.9 IndiaShop posted photos of her sarees
assembly and installation, marketing and on their website and was able to procure or-
service of the computers.7 ders for her at a very good price, thus pre-
2. All the case studies emphasize the impor- venting her being exploited by a
tance of training. Women are given ICT middleman.10
training as well as training in management 3. Many successful projects encouraged the
and business practices, marketing, purchas- use of local resources and/or are focused on
ing, how to analyze the data and make traditional crafts (combining them with
good business decisions, personnel manage- modern technology), thus making the pro-
ment, negotiation techniques, etc. These are jects more easily accepted by the local com-
skills many women traditionally do not pos- munity. It is useful to note that while our

7. They also have three male employees who handle work at distant locations that the women are uncomfortable trav-
eling to.
8. The Guardian, “World-Wide Wealth,” Dec. 12, 2002.
9. The middlemen then resold them at a much higher price in the big towns. Women in developing countries are often
not allowed to/cannot travel far from their homes to sell their goods in distant markets unlike their male counterparts.
10. The Guardian, “World-Wide Wealth,” Dec. 12, 2002.

50 Information Technologies and International Development

 MAIER, NAIR-REICHERT

focus is on best practices in women-owned ernment agencies. They recognize the need
businesses that are successful in empower- to diversify their operations and client base,
ing women, an important issue is to manage but they have to contend with ªnancial and
the community’s fear and opposition to such technical hurdles as well as the challenge of
projects. Hence, while starting an ICT-based/ identifying the best direction in which to di-
e-commerce project in an area that has not versify.11
seen such projects before, it may be useful
to start with projects that are more readily
accepted and supported by the community.
Case studies such as the Computer Facility at
This could pave the way for a broader spec-
Kasargod, Kerala, India, and e-Seva Centres in
trum of projects in the future as the commu-
Andhra Pradesh, India, also highlight the import role
nity sees ªrst-hand the beneªts of such
of institutions and government in providing the ini-
women-owned businesses.
tial impetus and the ongoing momentum for these
4. Firm reputation and quality of the products ICT-based projects.
are also important determinants of success.
1. The mediating institutions provide the mo-
This is especially important in the case of
mentum for the project by organizing the
women-owned enterprises in societies that
women in small groups, identifying suitable
are biased against women and unsure of
projects, providing the training and initial
their ability to perform well in ICT-based op-
networks needed to start the project and
erations that are essentially perceived as a
even providing some government contracts.
male domain.
A prime example is the development of ICT/
5. Gaining the trust of the customers is an- e-commerce projects under the umbrella of
other important factor; again in societies Kudumbashree, a Kerala State government
with a bias against women and where organization. It facilitated the formation of
women have less access to resources and fa- the women’s micro-enterprise project group
cilities, this is particularly difªcult. The Seva for the Kasargod computer facility, provided
Centers case study points out that while it additional training on business-related topics
was initially difªcult for the women there to and helped the women form suitable con-
gain the villagers’ trust, they were able to do tacts to procure business deals.
so because they transacted business in a
2. The government also plays an import role in
speedy manner for those who sold their
providing infrastructure such as telephones
products through e-Seva.
and internet access in remote areas. Some
6. The case studies also showed that reputation projects require ªnancial, logistical, or tech-
by way of providing an expanded range of nical support from local or international de-
goods and services over time created more velopment organizations. Projects may also
stable and proªtable businesses. The reason need consistent, long-term funding and as-
this is especially important as a best practice sistance until they are self-sufªcient.
for women-owned e-commerce businesses is
3. The support of senior government ofªcials
precisely because it is so much harder for
also lends momentum to projects. The Seva
women to develop new products and mar-
Centres case study also noted the impor-
kets given that they face substantially more
tance of the strong support from the District
constraints than their male counterparts,
Collector, a very strong ªgure in the govern-
and yet this strategy yields rich dividends.
ment.12
For example, the women at Technoworld
Computer Center in Mallapuram in India 4. Proper monitoring, evaluation and corrective
work mainly on data entry and DTP for gov- action are all key to the success of e-

11. It is important to note that male-owned businesses also face similar constraints and beneªt from similar best prac-
tices. But in many societies where women have played traditional roles, it is far more challenging for women to over-
come these hurdles or implement these best practices.
12. In most of the cases in India, this is most likely to be a male.

Volume 4, Number 2, Winter 2007 51

E-COMMERCE/E-RETAILING PROJECTS

commerce projects. The technology and the system, instead of direct attacks that of-
business methods are unfamiliar territory to ten result in confrontation and undesirable
most of the women and feedback and cor- outcomes.
rective action are critical, especially during 2. Involvement and support from immediate
the initial stages of the business. For exam- family were also valuable, especially where
ple, the e-Seva project case study indicted the women had children and other house-
that regular monitoring and evaluation of hold responsibilities.13
Seva centers in terms of the number of
3. Many women also felt that utilizing proªts
transactions and income generated, and
for family care, education, medical needs,
then implementation of corrective action
the purchase of a house, etc., highlighted
where necessary, were both important deter-
the value of women’s entrepreneurship and
minants of the center’s success.
provided more support for them both at
home and in the society.
The important role that the support of the local so-
ciety plays is emphasized in case studies such as the
All of the case studies highlight the importance of
Computer Facility at Kasargod, Kerala, India; e-Seva
sound managerial practices as important determi-
Centres in Andhra Pradesh, India; Women Weavers
nants of successful e-commerce ventures. The key
of Morocco; and Rupununi Weavers Project, Guy-
managerial best practices are discussed below.
ana.
1. A participatory and open management style
1. Involvement of community elders and
is an important factor in the success of
ofªcials in projects was very important to
women-owned e-commerce projects. Peer
their success. In general, those projects that
group support and advice, from both
did not directly challenge gender roles, social
women and men, are valuable in overcom-
order and power distribution were more suc-
ing challenges and achieving success. Mem-
cessful. Again, it is important to note that
bers at the Kasargod facility stated that their
while these are the ªndings from the case
unity was a key factor in their success. At Di-
studies, the authors are cognizant of the
vine Computers in Vadakara, the women re-
fact that it is not possible to empower
iterated this view, emphasizing collective
women without redeªning traditional gen-
decision making and a strong sense of to-
der roles. It is important to challenge, di-
getherness in tough times as key to their
rectly and indirectly, impediments to the
success.
empowerment of women, not only through
the projects themselves but also by creating 2. Investment in initial and supplemental train-
institutional and policy changes. But it is also ing is key to providing high quality products
important to avoid a power struggle and its and service and helping the staff cover tasks
destructive consequences as in the case of during each other’s absences. This is particu-
the Rupununi Weavers Project in Guyana. larly true in cases of women-owned e-com-
The phenomenal success of the women in- merce businesses where the technology and
volved with this project and the respect they business practices are new to most of the
received threatened the position of the tradi- participants.
tionally minded regional leaders who took 3. Good public relations in the local commu-
over the project in a “coup.” This does not nity, with the government agencies and with
mean that women should not challenge customers helped garner new business and
gender roles. The point we want to empha- facilitated growth. This was especially
size is the need to develop smart strategies signiªcant for women-owned businesses
to act as catalysts for change from within and helped the women deal successfully

13. The Malappuram case indicates that one member left the group because she got married and moved away and the
other was on maternity leave. It was uncertain if they would return.

52 Information Technologies and International Development

 MAIER, NAIR-REICHERT

Figure 1. Challenges to and Best Practices of E-Commerce/E-Retailing.

with many of the prejudices they faced from Among the best practices that empowered women
more traditionally minded groups who felt are strong initial and continued training, access to
threatened. necessary resources, help in expanding the market,
4. All the successful projects exhibited a strong government and societal support, good networks in
commitment on the part of the women to the community and an open and participatory man-
stay the course and succeed despite several agement style. Among the challenges that women
social, economic and other obstacles. in ICT-based e-commerce businesses still have yet to
overcome are dependence on government con-
tracts, societal conºicts that arise as existing power
structures are threatened by the increasing eco-
The main goal of this paper was to develop a set of
nomic independence of women involved in these
best practices in the areas of ICTs and the empower-
projects and issues related to work-life balance in
ment of women through e-commerce/e-retailing.
more traditional societies.
We began with a review of the existing theoretical
The best practices we have identiªed and dis-
literature regarding the main factors inºuencing the
cussed will serve as a useful framework for further
success of ICT-based e-commerce/e-retailing projects
development of ICT-based projects and also provide
for women. In light of the theoretical framework,
valuable guidance to policymakers and prospective
we then examined speciªc case studies to under-
entrepreneurs. Eliminating the need for “trial and
stand how well theory correlates with the practical
error” signiªcantly reduces the start-up costs, which
realities of women-owned e-commerce/e-retailing
is particularly important for women. The best prac-
projects, and to develop a set of best practices.
tices are easily replicable and their systematic follow-

Volume 4, Number 2, Winter 2007 53

E-COMMERCE/E-RETAILING PROJECTS

through will considerably facilitate the long-term vi- livestock emergencies, and even secured better rates
ability and success of women-owned e-commerce/ for foreign exchange transactions.
e-retailing projects. The following three (numbers 2–4) case studies
regarding the impact of ICT in India are from the
“Women’s ICT-Based Enterprise for Development”
project at the University of Manchester’s Institute for
Development Policy and Management. They offer
useful insights into the ways in which the introduc-
1. Village Pay Phones (VPPs) In Bangladesh
tion of ICT has impacted the lives of women in India
Bayes, von Braun, and Akhter (1999) study the case
as well as the difªculties and challenges that arise
of Village Pay Phones (VPPs) in Bangladesh. The
because of the gender biases and culture.
Grameen Bank of Bangladesh leased cellular mobile
2. Computer Facility at Kasargod, Kerala, India
phones to women members. Their purpose was
The computer microenterprise at Kasargod was facil-
two-fold and implemented with two aims: the
itated by Kudumbashree—Kerala State’s poverty
women themselves would make a living by selling
eradication agency. It initiated the efforts to form a
services, and the villagers would beneªt by buying
group suitable for the microenterprise by linking
the services. Their research indicates several ways in
with local women below the poverty line who were
which this has proved useful to villagers from a de-
a part of a desktop publishing (DTP) course. The fa-
velopmental perspective. Approximately half of the
cility has 10 women employees including the group
phone calls made were for economic purposes such
leader and the secretary, all in their twenties, and
as obtaining market prices of commodities, employ-
three male employees. The main activities of the
ment opportunities, land-related and other business-
unit are PC assembly and installation, service and
related transactions, and remittances. The poor and
sales, computer training, and data entry operations.
nonpoor groups accounted for more or less the
The unit uses one landline telephone, two mobiles,
same proportion of economic/ªnance-related calls
one PC and printer, an Internet connection, and
(46% and 47%, respectively).
software, including Windows98, Windows XP, Linux,
One of the important effects of VPPs is that they
Ofªce XP, Script Easy (Malayalam software),
reduce the volatility in demand, supply, and the
PageMaker, Photoshop, and Corel Draw and has un-
prices of commodities and inputs through dissemi-
interrupted power supply.
nation of useful information in a timely manner to
This facility has helped the women employed
remote villages. The researchers found that the aver-
here in several ways. Their knowledge of IT has in-
age prices of agricultural commodities (especially
creased substantially given the training they have
rice and eggs) were higher in villages with phones
undergone and their on-the-job experiences. Their
than in control groups without phones. The supply
participation in various district- and state-level
of agricultural inputs such as diesel and fertilizer
events exposed them to business opportunities,
was also smoother and more stable in villages with
helped them make connections, and led to business
phones than in control villages without phones. Ac-
deals. All this has increased their self-conªdence and
cess to accurate pricing and market information in-
communication skills, as well as their professional
creased the sellers’ bargaining power, enabled the
networks and travel opportunities, thus expanding
sellers to identify the most proªtable markets, cur-
the spectrum of opportunities available to them.
tailed the power of e-middlemen, and thus reduced
They are able to support their families ªnancially,
the exorbitant marketing margins the e-middlemen
help with the education of siblings and home loans,
once pocketed.
and facilitate banking and other ªnancial transac-
VPPs also facilitated development in other ways.
tions. This enterprise was facilitated by
Two main uses for the proªts from this venture were
Kudumbashree—Kerala State’s poverty eradication
savings and expenditure on children’s education,
agency and beneªted from the reputation of
clothing, and health care. They also facilitated better
women’s IT enterprises run under its supervision.
access to emergency medical care, dealing with
The unit’s success was also facilitated by the avail-
other emergency situations such as natural disasters,
ability of a steady stream of customers including lo-

54 Information Technologies and International Development

 MAIER, NAIR-REICHERT

cal governments in ªve Northern districts of Kerala and develop a sense of personal self-reliance; and
State, the nearby municipal government, schools, they have enjoyed greater personal freedom, travel,
banks, shops, DTP centers, and individuals (Planet and networking opportunities in addition to greater
Kerala, Research Consultants).14 self-conªdence and self-esteem. This is also another
3. Women Providing Online Services: e-Seva Centres Kudumbashree success story, as the effort was also
in Andhra Pradesh, India facilitated through this agency.16
The e-Seva Centres are staffed and run by women. 5. India Shop
They provide a wide range of services including bill India Shop is a successful online shop that sells in-
payments, issuance of land/birth certiªcates, Internet digenous products such as sarees, leather goods,
browsing, telemedicine and tele-agriculture, access sculptures, and other handicrafts made by rural arti-
to online auctions, the ªling of complaints and sans and women cooperatives in Tamil Nadu. Pro-
grievances, and matrimonial services. The actual moted by FOOD (the Foundation of Occupational
number of computers at each e-Seva Centre varies Development), a 20-year-old nonproªt organization
from place to place based on local needs. In a small based in Chennai that seeks to encourage economic
village an e-Seva Centre will operate with one com- empowerment of the rural and urban poor, India
puter, a scanner, Xerox machine, digital camera, and Shop enables rural artisan women to directly market
printer. In a town there would be more computers their products to local, regional, and global custom-
and provision of Web cams, for example. Each cen- ers, thus cutting out the middleman and ensuring
ter has an Internet connection—in villages they use higher proªts. According to the ªnal report by
dial-up; in towns they use a leased line connection. FOOD, the project, in the past 6 months, drew an
The women who are a part of this project have average of 8,000 visitors per month to its Web site,
beneªted in many ways. They are able to ªnd local and the women cooperatives earned a proªt of
employment and increase their income signiªcantly. about 75,000Rp.
On average, each woman is earning US$45 per This project was so successful that the Council
month. In addition, they also receive substantial for Advancement of People’s Action and Rural Tech-
training and development opportunities, and they nology (CAPART), a division of the Government of
are able to provide valuable services that beneªt India, supported it for an additional 3 years. Addi-
their rural communities. All this has increased their tionally, India Shop also provides other job opportu-
own self-respect and the regard and respect for nities. For instance, it is currently hiring through its
them in their communities.15 Web site 1,000 telecommuters to sell India Shop
4. Delivering IT @ School: Divine Computers of products online from home, full- or part-time.17
Vadakara, India
6. Women Weavers in Morocco
The IT @ School Programme, launched by the gov- Set up by anthropologist, United Nations and World
ernment in Kerala State, India, to deliver computer Bank consultant, and former Peace Corps member
education to school students at subsidized rates, Susan Schaefer Davis, this project enables women
was the motivation behind Divine Computers at weavers from rural Moroccan villages to sell hand-
Azhiyur Secondary School in Vadakara. Divine Com- made rugs without the middleman, thus maximizing
puters is run by a team of six women (all previously their proªts. About 50, mostly Berber, women of all
below the poverty line) who provide computer train- ages participate in the project and determine their
ing to school students as well as short courses to own prices for the rugs, pillows, and wall hangings
the students and local citizens in the summer. The in traditional local designs. Prices range from
beneªts for the women are numerous: they feel val- US$100 to $750 for new and US$500 to $5,000 for
ued, respected, and satisªed in their roles as teach- vintage rugs, not including shipping and handling
ers; their average monthly payment of US$22 each and a small contribution to a village association proj-
has enabled them to better support their families ect in N’kob. More than 100 orders have come in,

14. See http://www.womenictenterprise.org/kasargod.htm

15. See http://www.womenictenterprise.org/eseva.htm
16. See http://www.womenictenterprise.org/vadakara.htm
17. See http://www.xlweb.com/indiashop/ and http://foodindia.org.in/projects.html

Volume 4, Number 2, Winter 2007 55

E-COMMERCE/E-RETAILING PROJECTS

and sales pay for medical expenses, school fees, some obstacles, the women weavers enthusiastically
books, clothes, and visits to relatives. The Web site, participate in the project. The main problems re-
which is run pro bono by Schaefer Davis, features ported were picky American customers who were
pictures of the rugs and short biographical sketches disappointed with the natural irregularities in the
of the women.18 (See also the article on this project fabrics and dyes. Additionally, several hours of daily
by Susan Schaefer Davis in this special issue). household and child-rearing chores still rest almost
7. Tortas Peru exclusively on the shoulders of the women of
Tortas Peru is an innovative women-owned enter- Kangar (Bhatt, 2001).
prise that enables women to earn an income while 9. Rupununi Weaver’s Society in Guyana
working from the home by baking cakes. Founded, The Rupununi Weavers Society, numbering 300
run, and designed by Lima homemaker Maria del members at its peak, was founded in 1991 by two
Carmen Vucetich, Tortas Peru gives the more than indigenous women from the Wapishana and
2 million Peruvian expatriates the opportunity to or- Macushi tribes in Southern Guyana. The women
der cakes (which cost an average US$20) online, joined forces to make a living for themselves and
which are then baked by one of the women in the families from the ancient art of hammock weaving
group of “homebakers” and delivered to their loved from locally grown cotton. With the ªnancial and lo-
ones anywhere within Peru. This project enables gistical support of the Guyana Telephone and Com-
women who might be reluctant or prohibited to munications Society—which supplied the
work outside the home while raising children to technology, hardware, and training—the women
earn their own income and get comfortable with a hired a Web designer to take their wares global, and
new technology. It is a doubly attractive job oppor- in 1999, they sold 17 hammocks for as much as
tunity for women, especially those with few market- US$1,000 per item. However, their phenomenal suc-
able job skills, because by just baking two or three cess and the respect they received threatened the
cakes a day, a woman can already earn twice the position of the traditional-minded regional leaders
minimum wage in Peru of US$125 a month. The en- who took over the Society in a “coup.” The
terprise is expanding and the Web site actively en- Weaver’s Society has struggled to stay aºoat since.20
courages women to become “house 10. TechnoWorld Computer Centre, Malappuram,
entrepreneurs.”19 India
8. Cottage Industry—Global Marketplace (CIGM) TechnoWorld was started with 10 members (now re-
This project was begun in 2000 by the Communica- duced to seven) drawn from various women’s neigh-
tion, Culture and Technology (CCT) program at borhood self-help groups (NHGs) in Malappuram
Georgetown University, with US$90,000 funding under an enterprise scheme of Kudumbashree:
from the World Bank, and involved about ªve dozen Kerala State’s agency for poverty alleviation.21 Since
women in the district of Kangra in Northern India. none of the 10 members had any background in
The project goal was the economic empowerment computers, they received substantial training. With
of local women who used their artistic skills to pro- bank loans and some personal contributions, they
duce hand-woven shawls and sell them online for purchased ªve computers. Most of their work in-
about US$50 to $60, mostly to American and Euro- volves data entry and DTP for various government
pean customers. In India, they would receive about departments, and these contracts are mainly pro-
US$2 per scarf. This project has empowered the vided through Kudumbashree.
women of Kangra in numerous signiªcant ways: The enterprise uses one landline phone, one
they developed more self-esteem and self-respect mobile, 10 PCs that were paid for from the proªts
and acquired valuable and marketable skills because of the enterprise, and one Internet connection.
they had learned how to use computers. Despite Software includes SQL Server, Windows 2000,

18. See http://d2ssd.com/www-source/weaversoverview.html

19. See http://www.tortasperu.com.pe/tortasperu/ingles/indexi.php
20. See www.gol.net.gy/rweavers
21. The three who left did so due to illness, moving away, and being unable to meet the loan repayments. One other
is on leave after her marriage and has moved houses, and another is on maternity leave. It is uncertain if they will re-
turn.

56 Information Technologies and International Development

 MAIER, NAIR-REICHERT

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