In a world grappling with multiple crises, achieving gender equality has never been more essential.
The tech industry thrives on innovation, yet a stubborn bias persists: women continue to face systemic prejudice and discrimination that hinder their advancement. This disparity, despite progress towards inclusivity, creates a frustrating loop that reinforces stereotypes.
Breaking these stigmas is imperative for creating a more inclusive and diverse workforce where women are empowered to thrive and contribute to innovation on equal footing with their male counterparts.
This International Women’s Day is a poignant reminder of the ongoing struggle for women’s rights and dignity, which is not just a matter of social justice but also a cornerstone for fostering a more inclusive, prosperous and equitable future for all.
“Gender bias in the tech industry has been pervasive. While progress has been made, there is still more to be done. This mission begins with early education, where educational institutions should nurture and encourage women to enter the STEM (Science, Technology, Engineering, and Math) field and provide mentorship, which helps to increase tech talent. Workplaces also play a vital role by offering flexible work policies that foster a supportive culture while ensuring fair salaries and opportunities. Government efforts such as Women In Tech provide a platform for women to seek support and resources in their careers. Ultimately, achieving gender inclusivity is a shared responsibility that falls on every stakeholder in society,” says Penny Chai, Vice President of Business Development APAC at Sumsub.
Navigating gender inequality: Challenges and catalysts for change
The world faces a multitude of complex challenges, from pandemics and global conflicts to the ever-present threat of climate change. In the midst of these uncertainties, achieving gender equality emerges not just as a moral imperative but as a cornerstone for building a more prosperous, just, and sustainable future.
Yet, despite significant strides made in recent years, the path towards true equality remains riddled with obstacles. Women continue to face systemic barriers and underrepresentation across various facets of life.
According to a JP Morgan Private Banking study, only 5.7 per cent of the total high-growth private businesses were founded or led by women across APAC. Lennise Ng, CEO and Co-Founder of Borong, points out that even today, there are investors in the market who maintain biases against female founders, contributing to the underrepresentation of women in the investment space. This imbalance directly affects the fundraising efforts of women-led businesses, which is crucial for sustaining high-growth enterprises requiring substantial capital.
This stark reality is reflected in the staggering US$360 billion annual deficit in global spending on gender equality measures. The ramifications of this gap are undeniable, with an estimated 75 million people falling into poverty since 2020. This economic burden is projected to disproportionately affect women, with projections suggesting that over 342 million women and girls will be living below the poverty line by 2030.
Also Read: The climate change and gender equality connection: How to support underfunded women-owned business
Jiwon Park, the Founder of SAIB, a sexual wellness startup in Korea, highlighted the entrenched gender bias in her country. She said, “In the specific context of Korea, where societal conservatism and patriarchal values persist, the challenges of gender bias are compounded by double standards. Despite a growing openness among the younger generation about matters of sexuality, there remains a significant conservative undertone, particularly when it comes to female sexuality. The societal expectation for Korean women to present themselves as sexually reserved, feigning inexperience and naivety, contributes to perpetuating harmful stereotypes.
Public discussions about women’s sex lives are met with severe consequences, including slut-shaming and, in extreme cases, misogynistic hate crimes. These deeply ingrained biases and societal expectations not only hinder open conversations about sexual wellness but also contribute to an environment where women are discouraged from embracing and expressing their sexual agency.”
In the male-dominated sexual wellness industry, Park faced constant underestimation, often being dismissed when trying to make safer and female-friendlier condoms. This pervasive gender bias became the catalyst for change, driving her to found SAIB. This intimate cosmetics brand, its name a clever reversal of the word ‘bias’, includes Korea’s first-ever line of condoms explicitly marketed toward women. Through SAIB, Park empowers women to discuss and explore their sexual health openly, challenging societal norms and dismantling long-standing restrictions on conversations surrounding female sexual well-being.
Unfortunately, the situation in Southeast Asia has also not improved significantly. “Up till today, there are still investors in the market that maintain biases against female founders, like when they hold certain stereotypes about women’s interests, capabilities, and career trajectories. Across SEA, there’s this thing called the ‘bro culture’. This ‘bro culture’ is typically practised during various business meetings and networking sessions that happen after working hours – and it takes extra effort for women to break through that,” Ng added.
Funding disparity: Obstacles and champions
The venture capital landscape paints a disheartening picture of gender disparity. Despite their immense potential and contributions, female entrepreneurs receive a meagre two per cent of all VC funding. This persistent gender gap in investment remains a major hurdle, hindering female-led businesses from accessing the resources needed for growth and innovation.
Pocket Sun, Co-Founder and Managing Partner at SoGal Ventures sheds light on this discrepancy: “As a student studying entrepreneurship at USC, I noticed an inequity in the speakers who were coming to speak. Few to none were women and diverse, and I wanted to create a community to combat this. I created the SoGal community in LA, which is now one of the largest global networks for women entrepreneurs and investors, with over 256,000 members across 50 chapters on six continents. When we were raising our first fund, we were told by many LPs that investing in women wasn’t a thesis. Three unicorns and a top-decile fund later, I’m proud to say we have proved them wrong.”
Women entrepreneurs often lack the same capital confidence as their male counterparts. Funds are predominantly directed towards businesses led by men, creating a cycle where women struggle to access sufficient capital. This results in prolonged fundraising periods of Six to 36 months, diverting attention from scaling their businesses and hindering decision-making.
Jennifer Cheng Lo, Founder and Director of NewChic Capital, initially opted to bootstrap her early entrepreneurial endeavours, a risky but empowering decision that ultimately led to successful exits and IPOs, solidifying her roles as both an entrepreneur and an investor.
“Specific instances of gender bias I’ve experienced early in my career was feeling like I was being held to higher expectations and performance standards to fulfil the same managerial role as a male counterpart. This led to me realising metaphorically that the only way to have a seat at the table was to create my own table, not try to sit at other tables, and invite my own friends to sit at my table.
As I’ve always been entrepreneurial, I was motivated to start my own ventures, and I also took the initiative of starting my own Family Office (after an exit, which is also entrepreneurial), and even now collaborate with some of the best female entrepreneurs and female-led funds as an LP, co-investor, partner, and more because I wanted to minimise the chances I would continue to experience gender bias,” she shared.
Pocket Sun and Jennifer Cheng Lo are more than just investors; they’re advocates for women entrepreneurs. Pocket, known as the “gold medal coach for women founders,” takes pride in her role as a cheerleader, advocate, and connector for her fellow entrepreneurs. Jennifer, on the other hand, sees herself as a disruptor, challenging systemic biases and levelling the playing field for diverse entrepreneurs. She invests not only capital but also her time and expertise, supporting, advising, and collaborating with female entrepreneurs and funders. By investing in diverse entrepreneurs and fund managers, Pocket and Jennifer are not only supporting individual founders but also driving innovation and economic growth.
Advancing towards equity
Despite ongoing challenges, women are making significant strides in dismantling the status quo. Positive developments are increasingly visible, with women actively driving change across various sectors.
Also Read: From behind a women’s lens: Establishing a footing in the male-dominated VC industry
“While the road is not without obstacles, I remain optimistic about the landscape and the increasing recognition of the valuable contributions of women entrepreneurs in the tech sector. In our portfolio, three out of 10 companies have at least one female founder, reflecting positive progress. While acknowledging persistent challenges, we approach them as opportunities for positive change. We always strive to embrace the strengths that women bring to entrepreneurship, such as their collaborative nature, sensitivity, and prudence,” said Erika Dianasari Go, Partner, Value Creation at Alpha JWC Ventures.
In a positive step towards gender parity, governments are allocating a portion of investments in certain VC funds specifically to support female founders. We’re also seeing a growing number of women entering the ranks of venture capital firms and securing leadership positions, contributing to a more diverse and inclusive decision-making landscape.
“As the Head of Growth Marketing at Choco Up, I was excited to join a company that solves a problem many female founders face: lack of access to capital. Choco Up is providing an innovative financing solution called revenue-based financing (RBF) that is filling an important gap in Singapore’s funding landscape. Positioned between traditional funding sources such as venture capital and banks, RBF can be especially useful for businesses that may not be a perfect fit for these more conventional options.” Niki Torres, Head of Growth Marketing, Choco Up.
This ongoing progress towards a more inclusive fundraising landscape for female-led startups brings increased opportunities and support. Investing in female founders creates a ripple effect, empowering not only individuals but also entire ecosystems.
Investing in women: Driving economic and social progress
Investing in women is not simply a matter of doing the right thing; it is an economic and social imperative. Studies consistently demonstrate that companies with diverse leadership teams outperform their less diverse counterparts. By fostering gender equality, we unlock economic growth and a more just and equitable society, paving the way for a future where everyone, regardless of gender, has the opportunity to thrive.
On this International Women’s Day, let us echo the call to invest in women in order to accelerate progress. We can all play a part in challenging the status quo and building a brighter future. This includes supporting women-owned businesses, amplifying their voices, advocating for change through policy and action, and investing in our growth and potential.
By taking these steps together, we can break down the barriers that hold women back and unlock the immense potential that lies in the spirit of inclusiveness. Let us commit to creating a world where the stories of successful women entrepreneurs are not the exception but the norm. As Bell Beh, who co-founded BuzzAR, a metaverse startup, said it best, “It’s time for the Yin energy to shine together with Yang.”
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