The main objective of this paper is to assess the determinants and challenges of economic achievement for women entrepreneurs in Ethiopia. The study used 698 sample women entrepreneurs selected randomly from a total of 2450 respondents. The data were analyzed using descriptive statistics and multiple linear regression models. The results revealed that there is a high rate of challenges for divorced (30%) and widowed (41%) women entrepreneurs in the selected area. The results of multiple linear regression show that the educational level, family size, region (SNNP, Gambella, Harari, Dire Dawa, and Addis Ababa), parents’ educational level, number of financially dependent people, business experiences, and access to raw materials were positive predictors of the income of women entrepreneurs. It is also found that entrepreneurial area (Afar, Amhara, and Oromiya), marital status (divorced and widowed), entrepreneurship training, enterprise’s license, and lack of supporting institutions were negatively related with the income of women entrepreneurs. Therefore, improving entrepreneurs’ and parents’ education, providing entrepreneurship training, sharing business experiences, supporting entrepreneurs is the main instrumental in minimizing the factors affecting the income of women entrepreneurs. Moreover, it is advisable if the business participation status of women be assessed periodically to monitor the situation and to take appropriate measures for combating and preventing the challenges facing women entrepreneurs in economic growth.
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