Breaking Boundaries: Women's Empowerment And Progress In Cannabis

In the dynamic landscape of the cannabis industry, a significant shift is occurring that has the potential to reshape its trajectory—the increasing role of women.

Through a data-driven lens, it's evident that women are not only breaking barriers but also contributing to substantial growth and innovation in the sector.

Data Validates Impact

Recent research by New Frontier Data has shown a clear increase in the presence of women in executive positions within the cannabis industry. Over the past three years, the representation of women in such roles has risen by nearly 9%, signaling a positive trend toward gender parity in leadership.

See Also: Diversity Driving Profits: How Inclusion Is Reshaping The Cannabis Industry

This isn't just a matter of fairness; studies conducted by McKinsey & Company reveal that companies with diverse leadership teams are 21% more likely to outperform their industry peers in terms of profitability.

Challenges Along The Road

While the upward trajectory is promising, the road to gender equality in the cannabis industry is not without its bumps.

An MJBizDaily report highlights that only 19% of cannabis businesses across Colorado, Massachusetts, Nevada and Ohio are owned by women. Massachusetts, in particular, lags behind with a meager 5% ownership.

The barriers to entry are steep, often due to a lack of access to capital—a hurdle that can impede aspiring women entrepreneurs regardless of market conditions.

Accessing the substantial funds required to launch a cannabis business can be particularly daunting for women who struggle to tap into investor networks that can provide the necessary financial backing.

Furthermore, the report reveals a decline in the number of women in executive positions across the industry, a trend that is counter to the strides made in 2019 when the figure reached an encouraging 38.6%.

Nevertheless, there was a downward shift to 22.1%, which raises concerns especially within the investment subsector where fewer than 5% of executive positions at cannabis-focused investment firms are held by women. This imbalance potentially perpetuates the access-to-capital challenges faced by female entrepreneurs.

Kahshanna Evans, director of public relations at Kissing Lions Public Relations, in partnership with the Women in Cannabis Study, highlights that women often face significant obstacles in entering and working in the industry.

Despite these challenges, 86% of women who participated in the Women in Cannabis Study consider themselves successful, redefining success to include aspects like helping others, supporting their families and communities, personal growth, stability and happiness.

A Business Imperative

The significance of gender diversity in the cannabis industry goes beyond inclusivity, it's a strategic business imperative.

A BDSA study revealed that companies with women in executive roles experience, on average, have a 50% higher return on equity.

Furthermore, research from the Peterson Institute for International Economics demonstrates a strong correlation between gender diversity in leadership and improved business performance.

Inclusive Innovation

The evolving nature of the cannabis industry demands innovation and diverse leadership is a catalyst for it.

See Also: Women In Weed? Not Quite There Yet, Benzinga Will Keep Pushing The Envelope

A study published in the Harvard Business Review found that teams with equal gender representation are more likely to introduce radical new innovations. In an industry driven by evolving regulations and changing consumer preferences, the ability to innovate is a prized asset.

To delve deeper into this narrative of empowerment, join us at the Benzinga Cannabis Capital Conference & Awards, taking place in Chicago on September 27-28.

Celebrate the industry's new, creative, innovative, and outstanding companies while exploring the realms of diversity and inclusion.

Don't miss the enlightening panel discussion on inclusion being presented by Women Grow, featuring Roz McCarthy of Minorities for Medical Marijuana. It's an opportunity to glean insights, amplify voices and witness the journey of women driving change in the cannabis landscape.

Benzinga Cannabis Capital Conference

The most successful cannabis business event in the world, the Benzinga Cannabis Capital Conference is happening on Sept. 27-28 at the Magnificent Mile Marriot Hotel in Chicago.

SEPT. 27-28TH, 2023. This is the place where DEALS GET DONE, where money is raised, M&A start and companies meet investors and key partners. Don’t miss out.

Secure your tickets now before prices go up.