ISSN: 2306-9007 Misango & Ongiti (2013) 87 Do Women Entrepreneurs Play a Role in Reducing Poverty? A Case in Kenya SEDINA B. MISANGO Business Development Consultant P.O Box 3572-00506 Nairobi, Kenya Email: sedbura@yahoo.com ORPHA K. ONGITI Director, Senior Lecturer; Africa Nazarene University P.O BOX 51255-00200 Nairobi, Kenya Email: ongorpha@yahoo.com , oongiti@anu.ac.ke Abstract This paper has examined the economic role of women entrepreneurs in poverty reduction in Kenya. A case study was carried out among women entrepreneurs at the Maasai market within Nairobi City’s Central Business District. From the target population of 664, 15% were sampled for this study, through stratified and purposive sampling techniques. Quantitative and qualitative data were collected by use of questionnaires and interviews, hence analyzed concurrently. The study showed that the economic activities carried out by the respondents were similar in nature and included selling of African artifacts, clothing and ornaments. Most respondents (95%) used readily available raw materials to make their products for sale. Majority of the respondents (83%) agreed that the businesses had made them improve their economic status. The businesses contributed to the promotion of tourism, employment and export trade. The study concludes that women entrepreneurs play a major role in poverty reduction in Kenya. Key Words: Women, Entrepreneurs, Poverty Reduction 1. Introduction Poverty has been described in different ways by different scholars. Previous studies carried out by the World Bank (2001, p.4) indicate that poverty is categorized as both absolute and relative. Walkins (1995, p.41) explains that relative poverty can be categorized in relation to particular groups or areas in relation to the economic status of other members of the society. When poverty is said to be absolute, it describes a lack of basic security, the absence of one or more factors that enable individuals and families to assume basic responsibilities and to enjoy fundamental rights. Poverty results from and even consists of a lack of basic securities, which not only include financial resources, but also education, employment, housing, health care and other related aspects leading to deprivation (Gina, et al. 2006, p.5). The World Bank (2001, p.6) has shown that lack of access to land and credit facilities is also a major cause of poverty in Kenya which leads to economic stagnation. Low growth rates of the economy have therefore encouraged the escalation of poverty, especially in the last 20 years. The World Bank also believes that political instability, lack of improvement in infrastructure, inadequacy of national policy and structural adjustment, lack of investment are among the main causes of poverty. The report observes that even though Kenyan women have better saving habits and operate a number of small enterprises, the poverty rates among them are still higher than their male counterparts at 50 percent and 46 percent in the rural and urban areas, respectively. This is in spite of the many policy interventions meant to improve people’s standards of living. Thus, poverty is still higher amongst women in Kenya according to Institute of Economic Affairs (2008) report survey carried out in Kenya. I    nternational eview of anagement and usiness esearch ol. 2 ssue.1    