IIT Kharagpur Finds Digital Divide among UP Women Entrepreneurs

By: Women Entrepreneurs Review Team | Tuesday, 8 September 2026

A new study conducted by experts from Indian Institute of Technology (IIT) Kharagpur reveals the crucial challenge that lies ahead for women entrepreneurs as many of them lack access to digital platforms and technologies required for their operations.

As per the study carried out by Ruchi Singh and Binita Tiwari, the digital adoption process by women entrepreneurs in Uttar Pradesh goes beyond mere access to a smart phone. Use of digital technologies like e-commerce sites and social media marketing is hampered by a chain of interlinked barriers.

The lack of digital literacy skills may lead to anxiety about the use of digital tools, and insufficient support from the family, leaving many women entrepreneurs unable to fully participate in the growing digital economy.

Key Highlights:

• IIT Kharagpur research highlights digital exclusion among women entrepreneurs
• Digital literacy gaps and limited support fuel women's digital exclusion
• Local-language, skills-based training can build digital confidence and independence

According to the findings of IIT Kharagpur, it is essential to ensure not only to increase the number of female entrepreneurs, but equipping them with appropriate skills and resources for them to participate in the digital economy.

The authors interviewed 48 women entrepreneurs who owned MSMEs in Tier 2 and Tier 3 cities in Uttar Pradesh operating in industries such as apparel manufacturing and retail, dairy farming, and other local businesses. Despite being aware of the advantages associated with the use of technology and its ability to help them grow, these women felt locked out of the digital world.

As technology has becoming central to every enterprise, many women entrepreneurs adopt technology for major aspects of their businesses. However, all entrepreneurs do not have equal access to these technologies. There are many challenges faced by women entrepreneurs to access technology, including lack of digital skills and insufficient infrastructure among others. The consequence of all of this is digital exclusion.

Referred to as ‘digital exclusion trap’, it involves fear and apprehension due to lack of digital literacy and often results in women shunning technologies including e-commerce, electronic payments, and social media. By avoiding these technologies, women deprive themselves of learning opportunities, thus widening their disadvantage relative to the rapidly developing digital market environment.

The study reveals how digital divide is created and reinforces itself, giving an important direction to policymakers and organizations seeking to support women entrepreneurs. It is important to target the skills and lack of confidence that hamper women's ability to effectively utilize technology.

As a solution, digital training must begin with fundamental skills and must be conducted in the local language as well. Training in real-life business requirements, like digital payments, online banking, social media, and e-commerce should be conducted. It is equally crucial that the programs empower women to learn without fearing failure and thus break the cycle of fear and uncertainty.

However on the brighter side, the emergence of women entrepreneurs is redefining the business environment in India, with the number of businesses owned by women increasing by 70 percent over the past year. Home-based enterprises, local enterprises, and even those driven by digitalization are increasingly being created by women as a means of earning independent incomes through entrepreneurship.