Business advisory services and female employment in an extreme institutional context

Abstract

Publicly funded business advisory services face pressure to demonstrate value-added effects among their assisted firms. Our research aims to measure the effectiveness of a business advisory programme developed in a developed country and applied in an emerging economy with a male-dominated labour market. We also seek to determine the effects of increased professionalization resulting from advisory services. Comparing the business advisory services of a publicly funded organization with those of a matched sample, we observe an overall positive effect on job creation; however, this employment growth benefits males at the expense of females. We also find a reduction in unpaid family work and an increase in formal, full-time employment but again, this professionalization and substitution effect mainly benefits male workers.