Unlocking Potential: Entrepreneurial Competencies and Contextual Challenges of Women-Owned SMEs in Pakistan

Women’s entrepreneurship is increasingly recognised as a driver of inclusive development in emerging economies, yet limited understanding exists of how women sustain entrepreneurial activity under socio-cultural and institutional constraints. This study explores how women entrepreneurs in Pakistan develop and mobilise human capital, entrepreneurial competencies, and strategic behaviours to sustain their ventures. Drawing on semi-structured interviews with 15 women SME owners across diverse sectors, thematic analysis was employed to examine the role of education, training, learning processes, and entrepreneurial competencies in entrepreneurial practice.
The findings indicate that education and training enhance confidence, legitimacy, and opportunity recognition, while key competencies are developed primarily through experiential learning, family support, customer interactions, and business networks. These competencies facilitate adaptive and proactive responses to uncertainty and resource constraints. Rather than prioritising growth, participants emphasised continuity, stability, and social legitimacy as indicators of success. The study extends individual-level applications of the Resource-Based View and Entrepreneurial Orientation and provides insights for supporting women’s entrepreneurship in emerging economies.