Relating education to entrepreneurial success

Abstract

A common stereotyped belief about entrepreneurs is that they are relatively less educated than the general population. To be sure, many of the outstanding entrepreneurs of this century have had little formal schooling. Many of the better known books on entrepreneurship and small business management refer to the low educational level of the entrepreneur. Occasionally, however, a study comes along which goes against the common assumptions. In 1971 Hornaday and Aboud, comparing black and white entrepreneurs, reported that 32% of the blacks and 82% of the whites had graduated from collegeJ This is considerably higher than the percentage of college graduates in the general population. Studies of entrepreneurs founding high-technology firms have also indicated a different educational picture. Technical entrepreneurs seem to have at least a B.S. degree, often in engineering, and frequently hold M.S. degrees. 2 Clearly, at least one type of entrepreneur doesn't fit the stereotype.