This study examines the influence of higher education institutions’ (HEIs’) ecosystem on entrepreneurship education (EE) and attempts to map the complex relationship between both. It also captures the actual practice of EE in HEIs. A two-stage empirical approach was used in the research design. Drawing upon literature, a conceptual framework was developed to relate HEIs’ ecosystem and EE in the first stage. This framework was tested with the data obtained from 264 academicians. The findings yielded eight factors of HEIs’ ecosystem and six factors of EE. In the second stage, opinion of 15 experts in the area of EE was sought to develop cause–effect relationships between the two constructs. The decision-making trial and evaluation laboratory (DEMATEL) approach was used to examine the cause–effect relationship. Findings indicate that entrepreneurship promotion activity and institutions’ attitude towards entrepreneurship is important causal factors leading to effective EE. The research contributes to literature by fusing two theoretical paradigms. The outcomes of the study have a strong implication for HEIs to build a conducive educational ecosystem for entrepreneurship development.
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