No (Startup) Experience Required: Entrepreneurship Education Effectiveness for Early Career Graduates

Abstract

Entrepreneurship as a discipline in higher education has enjoyed significant growth in student enrollment and attention. Venture formation drives employment and innovation, and founding a startup remains the ultimate incarnation of entrepreneurship. Yet, evidence shows that most entrepreneurship students will not start a new venture upon graduation. This research looks beyond venture formation to explore early career outcomes of entrepreneurship education (EE) graduates as compared to alumni with no EE. Alumni were surveyed one to five years following graduation from three universities in the United States, resulting in the examination of responses of 353 participants, 107 of whom completed a major, minor, or concentration in entrepreneurship. Human capital theory was employed to investigate the impact of EE on early career success. Findings of the study confirm a positive relationship between EE and venture formation, but also indicate EE increases generalizable competencies and indicators of professional advancement. Further, entrepreneurial behaviors mediate the relationship between EE and professional competencies, and professional competencies mediate the relationship between EE and advancement. This suggests that no startup is required for students of entrepreneurship to achieve early success and advancement, as the active, experiential, and goal-oriented nature of EE accentuates generalizable workplace attributes desired by employers.