Abstract This article examines women entrepreneurs in the nonprofit sector. Entrepreneurial activity attracts certain kinds of individuals.Such self‐selection is not a random event but is influenced by personal characteristics as well as socioeconomic and cultural factors. This article examines women entrepreneurs in a particular segment of the nonprofit sector in India to determine which factors influence such self‐selection. Our research confirms findings by other scholars that nonprofit entrepreneurs receive a high payoff from promoting social causes. Furthermore, we find that previous experience in the sector, beliefs, culture, social class, education, and family background also play an important role. We explore some policy implications of our findings.
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