Impacts of Microfinance Strategic Management and Social Capital on Women Entrepreneurship in Rural Mexico

Abstract

This chapter analyzes two types of women entrepreneurship in rural México. The first type seeks to determine the successes and failures undertaken by women at a rural business financed by a state program and the second type seeks to reflect the importance of social capital in the establishment and growth of cooperatives in Mexico, specifically the cooperative Las Chiquihuitecas, producer of cochineal insect (Dactylopius coccus Costa). The research method used in both cases was totally qualitative applying the documentary analysis and the interview in depth as an instrument for the collection of the information. It is obtained that social capital has been the key element in the formation and development of women businesses. The study concludes that the practical knowledge of the entrepreneurs and the lack of social capital in these cases are not sufficient to direct the businesses to success, and that the lack of structured knowledge and adequate scientific support for this project strongly directed towards the non-permanence on the market.