Intervention (Hidden)
As a project designed to generate systematic and rigorous evidence of the model while it is being developed and implemented, to inform subsequent scale-up, the research will combine quantitative (both experimental and non-experimental) and qualitative methods.
Quantitative study design (RCT and non-experimental) : BRAC will identify 200 potential new entrepreneurs who can offer home-based daycare services. For each of these potential entrepreneurs, 16 target clients will be identified in their neighborhoods. From them, 150 entrepreneurs will be selected as the treatment group. They will receive training on play-based childcare services and materials (similar to the support that existing entrepreneurs receive to improve the quality of services) as well as entrepreneurship training. The control group will be offered entrepreneurship training, which is not specific to childcare, and their “potential clients” will serve as “pure control”.
Within the treatment group, there will be a second layer of randomization of the 16 potential clients into three groups –
T1: receive information about childcare services (8 mothers),
T2: information with a cash transfer (4 mothers), and
T3: information with childcare fees payment/subsidy to avail the service (4 mothers).
The cash transfer and subsidy will be provided in the form of fees paid to the entrepreneur for 6-12 months after they are ready to serve these clients and the mothers of the subsidy arm will be informed that the fees have been paid for. Initially we will communicate about the cash transers (in T2 and T3) for 6 months, which can be increased upto 12 months depending on childcare service uptake. This layer of study will test the customers’ willingness to pay for childcare services. The size of the subsidy will be determined by using the data from the current service users, which can be customized by the age of the child. The amount of cash transfer will be the same as the amount of subsidy. Although the model was initiated to meet the need for care services by the mothers who predominantly work in garment factories, descriptive studies reveal that the need is also prevalent for women who work in other sectors such as domestic help or informal businesses. Therefore, the participants will be selected based on their proximity to the potential care provider entrepreneurs, and both working women (irrespective of the sector) and women who left work due to childcare responsibility will be eligible. The only binding criterion for the potential client selection will be having a child. Although we will prioritize mothers of children aged between 0 and 8 years, the age cut-offs may need to be adjusted based on the numbers observed per potential entrepreneur.
The 150 entrepreneurs in the treatment group would receive specialized training on setting up their home-based childcare as a business. The 50 entrepreneurs in the control group will receive the usual entrepreneurship training (not particularly focusing on childcare centers) that BRAC IED will provide.
Within the treatment group, there will be a second layer of randomization, which will divide 16 potential clients (mothers) into three groups – a) receive only the information about childcare services available at their respective entrepreneurs, b) information with a cash transfer, and c) a scholarship/subsidy to avail the service. The subsidy will be provided in the form of fees paid to the entrepreneur for 6-12 months after they are ready to serve these clients and the mothers of the subsidy arm will be informed that the fees have been paid for. Besides being the arm with adequate service uptake to measure the impact of childcare on the mothers, the subsidy arm will also ensure the entrepreneurs have a secured clientele/revenue for months. The participants will be informed that the cash/fees payments are going to be for six months, which will be revisited for extending based on the observed uptake among different arms at that time. The size of the subsidy will be determined by using the data from the current service users, which can be customized by the age of the child. The amount of cash transfer will be the same as the amount of subsidy. The impact indicators for the mothers in these three arms will be compared against the mothers who will be identified as potential clients had the entrepreneurs of the control group been supported to set up their daycare service. Therefore, in total 3,200 mothers of beneficiary children will be surveyed, with 2400 from the treatment group and 800 from the control group.
Besides this sample for the experimental evaluation, the research will also include two other sample categories – a) existing care providers and their clients (mothers) and b) communities without any care provider and included in the community mobilization workshops. The objective of including these observational samples is to conduct comparisons with the experimental groups. For instance, if a good number of the control group entrepreneurs end up starting childcare enterprises (which is unlikely a priori, but cannot be ruled out), the second observational group can be used to understand the role of “community mobilization” and spillover effects of the RCT itself. The community mobilization, which is part of the entrepreneur and client identification, may act as a tool for addressing coordination failure by discussing the need for quality childcare service that can encourage control entrepreneurs to acquire the skills independently. Similarly, a comparison of treated entrepreneurs with existing care providers can reveal the importance of experience in their quality of care. For the spillover sample, we will collect data from 900 mothers who are outside but neighboring the RCT clusters.
We will do a baseline survey to gather data on characteristics such as age, educational levels, history of labor force participation, household dependency and income, marital status, etc. for both the potential entrepreneurs and potential clients. For potential clients, additional information will be collected on their opinion of paid childcare services and willingness to pay. This data will be used to analyze determinants of taking up the services by the entrepreneurs (once offered). Moreover, the project will measure any changes in mothers’ employment, mental health status (including cognitive loads), and the level of their trust in service providers after the existing entrepreneurs receive the training and material support from the project. For employment outcomes, the study will measure the impact on both extensive (labor force participation status) and intensive (hours of work) margins. There will also be a comparison between the previously trained childcare providers and newly trained ones to understand the impact of the training on the quality of services and mothers’ satisfaction with the services. A midline survey will be conducted towards the end of the cash transfer and fees payment period, and the endline will be conducted 6-months after the last of the transfers are completed.
An intermediary output of the project will be a description of the enterprise economics of home-based care that will largely be based on the baseline survey and operational/monitoring data combined with process documentation and operational research findings. This output is intended to inform the intervention development for BRAC to scale up the approach by working with more entrepreneurs, children, and mothers. Comparing information collected at baseline on willingness to pay with actual uptake of the services by the mothers of the three treatment groups and correlations of uptake with various socio-economic characteristics will be used for generating a description of a viable business model.