Purpose: Contrasting two countries with different gender regimes and welfare states, Sweden and Tanzania, this paper aims to analyse how the institutional context affects the ways in which a neo-liberal reform agenda is translated into institutional changes and propose how such changes impact the preconditions for women's entrepreneurship.
Design/methodology/approach: This study uses document analysis and previous studies to describe and analyse the institutions and the institutional changes. This paper uses Scandinavian institutional theory as the interpretative framework.
Findings: This study proposes that: in well-developed welfare states with a high level of gender equality, consequences of neo-liberal agenda for the preconditions for women entrepreneurs are more likely to be negative than positive. In less developed states with a low level of gender equality, the gendered consequences of neo-liberal reforms may be mixed and the preconditions for women's entrepreneurship more positive than negative. How neo-liberalism impacts preconditions for women entrepreneurs depend on the institutional framework in terms of a trustworthy women-friendly state and level of gender equality.
Research limitations/implications: The study calls for bringing the effects on the gender of the neo-liberal primacy of market solutions out of the black box. Studying how women entrepreneurs perceive these effects necessitates qualitative ethnographic data.
Originality/value: This paper demonstrates why any discussion of the impact of political or economic reforms on women's entrepreneurship must take a country's specific institutional context into account. Further, previous studies on neo-liberalism have rarely taken an interest in Africa.