Toward Effective Education of Innovative Entrepreneurs in Small Business: Initial Results from a Survey of College Students and Graduates

Within entrepreneurship education, there are two opposing streams of thought: one that advocates focusing on small business management and another that concentrates on entrepreneurship itself.

As a field, “entrepreneurship education” is defined as the process of providing individuals with the knowledge, skills, and self‐esteem to recognize opportunities overlooked by others and act where others have hesitated.33 In general, this includes instruction in opportunity recognition, marshaling resources in the face of risk, and initiating a business venture. It also includes instruction in business management processes, such as business planning, capital development, marketing, and cash flow analysis.

The relevant differences in educational approach stem from the ultimate goal of the course at issue. Small business management courses aim to provide students with solid foundations in managing and operating existing companies, while entrepreneurship courses cover the activities involved in originating and developing new growth ventures. The former approach focuses on how to manage a business successfully in order to achieve normal sales, profits, and growth, with emphasis on planning and organization, selection of employees, marketing of goods and services, and financial planning and control. In contrast, the latter approach emphasizes the principal objectives of an entrepreneur: growth and the resulting profitability.

by
Summit Consulting, LLC
for the Small Business Administration

Full Report: http://www.sba.gov/advo/research/rs353tot.pdf