Why business schools are investing in student startups
The following contribution is from the QS Quacquarelli Symonds portal which defines itself as: it has been leading the evolution of higher education for over 30 years.From our beginnings as an MBA project, we have grown to become the global market leader in student information and guidance (Google Trends 2023).We have built a reputation for data and analytics, leveraging billions of data points to revolutionize the way we understand international student journeys, experiences and career paths.
But data is just the beginning. We use it to build and empower our international community of students, academics and employers. And together, we are driving our mission: to enable ambitious people like you to reach their full potential.
The author is Francesca Di Francesca Di Meglio has been writing about higher education for two decades. She covered business schools and all aspects of management education for what became Bloomberg Businessweek from May 2004 to December 2013. Di Meglio was the consulting editor for the book Admitted: An Interactive Workbook for Getting into a Top MBA Program (85 Broads Publishing, 2011), which was written by admissions consultant Betsy Massar. Additionally, she is a family travel and parenting blogger on the website Italian Mamma.
Not sure who to choose as a partner for your startup idea? We can help
One of the most interesting trends of recent years is the push to commercialize technology.
And business schools are investing in their students’ startup ideas like never before.
In particular, top MBA programs in the United States have provided funding or support in the form of incubators, faculty advisors, and access to funding to those who want to advance in technology.
“We have a lot of people who want to change things, revolutionize industries,” says Jodi Gernon, director of the Arthur Rock Center for Entrepreneurship at Harvard Business School.
In fact, business schools have good reasons to invest in student startups:
To make the world a better place
While HBS encourages students with great ideas to wait until after graduation to launch a business, it does provide a number of resources for the planning stages.
The New Venture Competition allows students with a business plan to win a prize and receive feedback on their idea.
In addition, HBS has an accelerator program for those who are further along in the startup process.
These students are either raising funds, or have already raised a couple million dollars. HBS students working on commercializing science and technology are starting companies that include a wearable device to analyze hydration levels and another to better predict the weather.
Sometimes, school culture contributes to startup enthusiasm
The Massachusetts Institute of Technology has long been known for its engineers and the dynamic technology they develop (it’s in the school’s name, after all).
MIT’s president has said the university should be an “innovation garden,” says Trish Cotter, associate managing director of the Martin Trust Center for Entrepreneurship.
At the center, students from different parts of campus gather. Cotter describes student teams as needing a hacker (who develops the innovation or technology), a hipster (who specializes in user experience and branding), and an entrepreneur (who has an MBA with business skills).
To enhance the school’s brand
Jon Bloom has a medical degree and worked as an anesthesiologist and in medical devices before entering the Sloan School of Management.
While in school, he met five other people with entrepreneurial aspirations. Podimetrics, the team’s company, sells a device that provides early detection of diabetes-related foot ulcers.
During Bloom’s year in business school, 2011-2012, the team entered a series of business plan competitions as a means of fundraising.
They had some success. A year ago, Podimetrics went on the market. The device can detect 97 percent of foot ulcers five weeks before they appear, Bloom says.
However, one of the drawbacks for business schools investing in student entrepreneurs is the risk of losing them before graduation.
Bloom only completed one year of the program and remains on leave from Sloan. He left because the business showed so much potential.
Still, he credits Sloan for making this new venture possible. “Sloan is an amazing place,” Bloom says. “It’s the student next to you who inspires you.”
Sloan isn’t the only school whose students are dropping out in favor of pursuing a startup dream.
Ryan McQuaid left the MBA program at the University of California, Berkeley’s Haas School of Business to pursue PlushCare.
The company has doctors from 50 medical institutions prescribing drugs and making diagnoses via smartphone or video call. While McQuaid says completing the degree would be nice, he’s not so sure it’s necessary.
“The degree is important. I learned a lot from business school,” he adds. “The diploma is just a piece of paper.”
To tap into the startup breeding ground
Once upon a time, business schools operated in a silo when it came to entrepreneurship programs.
But now U.S. business schools have joined forces with other schools on their campuses.
For example, at New York University, business students have access to incubators, makerspaces, prototyping labs, and funding from the NYU Innovation Fund, says Cynthia Franklin, director of Entrepreneurship at NYU’s Stern W.R. Berkley Innovation Labs.
Part of the reason higher education institutions are providing such investments in students and recent graduates is because it’s easier than ever to start a business.
“The process of entrepreneurship has been demystified. Never before has there been such broad and easy access to the critical resources needed to start a company, whether it be technology, capital (both cash and human), support networks, know-how, etc.,” says Franklin.
“While it remains risky, the amount of time and resources required to start a high-value company has dropped precipitously.”
To provide value to students and alumni
Even when the business school doesn’t end up making a financial contribution to a company, it does make other investments that help the student entrepreneur save money.
It basically gives the student an advantage over those who start a company without the help of a business school.
Allie Esslinger, a Stern MBA student with an expected graduation date of May 2018, is co-founder of LGBTQueue, a platform and hub for the LGBTQ+ community that spreads pop culture-related information across the digital landscape.
This business was the result of Esslinger spending her first year founding a previous company that was supposed to be like Netflix for lesbians.
“LGBTQueue is a more interactive company that allows creators to talk to fans, and fans to talk to each other, about culture and content,” Esslinger says.
“While we are in some ways at square one with LGBTQueue, the founding team is excited to have the benefit of having come together under a different umbrella, to use those metrics to guide our early decisions about products and brands, and to work together more collaboratively to build something from the ground up.”
What schools can provide entrepreneurs is access to potential partners and investors
One of the startup’s founders along with Esslinger is a Stern alumnus he met through the school.
While attending UCLA’s Anderson School of Business, Leo Petrossian met another MBA student and a PhD engineering student at an event meant to bring aspiring entrepreneurs together from different parts of campus.
The three launched Neural Analytics in 2013. The company, which supports a medical technology designed to help monitor brain conditions, relied heavily on the Price Center for Entrepreneurship and Innovation at Anderson.
Petrossian says he saw the school as a partner in the business
The Price Center staff helped connect the team with people who could give them a hand. The school also helped fund business plan competitions around the country.
The school and faculty invested in the business, Petrossian says. They also put them in touch with people who could help the university at large, such as a law student who reviewed contracts, medical students who could weigh in on the technology and engineering students who worked on small projects.
Northwestern University’s Kellogg School of Management offers $5,000 to $10,000 to student companies through offerings such as the Zell Fellows Program.
“We’re trying to do more around commercializing existing technology on campus,” says Linda Darragh, Larry Levy executive director and clinical professor of the Kellogg Innovation and Entrepreneurship Initiative at Kellogg.
“We have an experiential course where students conduct market assessments of existing technology on campus.”
Schools also offer grants to companies with potential
At the University of Michigan’s Ross School of Business, the Zell Lurie Institute provides resources for those planning new ventures.
It also offers grants ranging from $500 to $10,000, depending on the stage and potential of the business plan. Graduates can also apply to have the school invest in their ideas. Like many schools, Ross also offers a stipend to students who plan to work on their own company rather than do a traditional internship over the summer.
To spur innovation
Business schools want to bring the future to the world. They want to help shape future leaders and give them the tools they need to change things for the better.
“At their core, the most successful entrepreneurs are naturally curious and innovative thinkers,” Franklin says. “They challenge the status quo. They don’t adhere to established mental models. They’re not limited by what is.” However, driving that innovation requires an understanding of how to create meaningful new value – for customers, society, investors, employees, etc. These are skills taught in business school.”
Not sure who to choose as a partner for your startup idea? We can help
This article was originally published in December 2017. It was last updated in December 2017
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The following contribution is a presentation of a paper prepared by THE ASSOCIATION OF BUSINESS SCHOOLS entitled “The role of UK business schools in driving innovation and growth in the national economy”.
FOREWORD by Prof. Angus Laing, Dean of Business and Economics at Loughborough University and President of the Association of Business Schools
Reviving growth in the aftermath of the global financial crisis remains the underlying priority of the government. Against a backdrop of significant macroeconomic challenges, microeconomic levers to promote growth and innovation have become increasingly important in policy debates.
Successive reports by Lord Heseltine and Lord Young have focused attention on providing the economic infrastructure to support the small and medium-sized business community and generating the local conditions conducive to rebalancing the economy away from over-reliance on the City.
Integral to that agenda is the recognition of the need to exploit the capabilities of existing institutions rather than engage, once again, in the creation of new agencies. In this context, business schools have the potential to play a very important role, to act (in Tim Wilson’s words) as local economic “anchor institutions”.
Not all potential has been realised
Despite the unquestionable success of the UK business school community, it is clear that the full potential of business schools to support innovation and stimulate growth has not been realised.
It is indisputable that there are examples of outstanding practice. What is equally clear is that the commitment of individual business schools to this agenda, both locally and nationally, has been variable.
Given the prevailing performance indicators and the competing demands on, or opportunities for, business schools, such variability is not surprising.
However, it must be recognised that this variable commitment also reflects a significant debate within the business school community about the role and direction of business schools.
That debate, however, is now unfolding in a radically different context from that which business schools have faced over the past decade. The collateral impact of the financial crisis in terms of changes to the undergraduate fee regime, declining corporate spending on management development, and changes to research funding, including both the impact agenda and the prioritisation of science, technology, engineering and mathematics research, are necessitating a reconsideration of the role and functioning of business schools.
This ongoing debate, in which the Association of Business Schools (ABS) is playing a central role, has resulted in engagement with policy makers both highlighting the potential contribution of business schools to economic recovery and generating new opportunities for business schools within the post-crisis economic and political environment.
To lead that debate, the ABS commissioned the Innovation and Growth Task Force, under the leadership of Richard Rawlinson and Richard Thorpe, to identify best practice in supporting innovation and economic growth within the business school community and to identify other ways in which business schools could meaningfully support economic recovery.
This independent report, which is the Task Force’s main output, provides a strong evidence base to inform both policy on supporting economic growth and practice within the business school community.
The ABS’s launch of the Innovation and Growth Task Force reflects our member schools’ shared belief in the role of business schools within the wider community as key economic actors.
Our members make significant contributions to their regional economies and the broader national economy beyond the direct generation of export earnings. From producing the type and caliber of graduates required by an innovative, knowledge-based economy, to supporting the management development needed for British businesses to be competitive on the global stage, to research that ranges from supporting new business models to improving operational systems and processes, the business school community provides important support for the British economy.
However, the report highlights that there is more, much more, that business schools can do to provide support to the business community that will transform the country’s economic fortunes. The ABS welcomes this report and thanks its authors and the Task Force members for their significant commitment and contribution to this important project. The ABS is committed to working with the business school community and key stakeholders to develop an appropriate response to the report’s recommendations. With business schools willing to adopt these proposals and politicians supporting them in providing appropriate policy frameworks, British business schools can not only consolidate their leading international position but also make a transformative contribution to British economic performance.
What are the advantages of going to business schools to start and succeed in a business?
The following two contributions are from the Quora portal. The first one has been prepared by who defines himself as follows: I am working on my first startup, Whinot.com, and I am learning a lot from it. 14 years old
Original Answer: How will going to business school help me start my own company?
If you have already started your own business in the past, going to business school will not make you a better entrepreneur.
But for aspiring entrepreneurs, it is valuable to attend a business school that stands out for its entrepreneurial thinking.
I say thinking because that is what you will get at the right business school: an entrepreneurial mindset. This is different from a specific set of skills, which you will have to learn the hard way.
In short, if you attend the right school, you will get:
– An entrepreneurial mindset.
– 2 years to test your first company with very little or no risk.
– Over 300 classmates who can act as advisors, partners, clients, or suppliers.
– Dozens of professors with years of experience in different domains.
– This is complemented by free consulting.
The ability to play the “student card,” which can give you easier access to your clients, suppliers, partners, or investors
But these benefits come at a cost. Yes. Absolutely. Debt will make you more risk-averse. At the end of the two years, you will have to put on your big boy/girl pants and make a tough decision: stick with your company that brings with it extreme uncertainty or take a $100,000+ job with a biweekly paycheck.
Good luck with your decision.
The second of the contributions has been prepared by Axel Schultze who is an entrepreneur, investor, mentor, author, and wiforum.org board member
Original Answer: How will going to business school help me start my own company?
Education won’t help you at all in starting a business
WHAT WILL HELP YOU:
Work for three years at a large, highly successful company of your choice
Try to understand sales, marketing, product development, logistics, management, etc. Find out how it all works together, how customers interact with the company, etc.
This education is invaluable for many reasons.
1) You learn how real companies work
2) You learn how professionals work
3) You learn operational workflows
4) You learn what customers want and what companies offer
5) You learn a lot about yourself
– You learn if you get what you want
– You learn what it means to go above and beyond
– You learn to see opportunities and take advantage of them
– You learn to manage others, even if they are your bosses
– You learn to convince others to invite you to the next department
– You learn to deal with any obstacle and overcome it
– You learn to reach the top without experience or education
You may learn that you need the education, the experience, the backing of others; then you know that entrepreneurship would be a big failure for you. In this case, you also know what to study that is best for you, not what is available to you.
All the best for the best journey of your life 🙂
Key Benefits and Why to Choose the Best Business Schools for Startups
The following contribution is from the Midas and CS Institute of Management portal which defines itself as follows: We understand the entrepreneurial journey and that every entrepreneur’s path is unique. That’s why we offer programs tailored to meet your needs. Our goal is to guide you towards a global journey with your company starting from the best global destination in the world, Dubai.
In today’s dynamic and competitive business environment, launching a startup requires more than just a great idea.
Whether you are a seasoned business professional looking to broaden your horizons or a young entrepreneur, knowing the various facets of aspiring entrepreneurship courses, startup education, and the best accelerators can make a huge difference in your path to success.
This comprehensive guide explores how to choose the best business schools for startups, highlights the key benefits of business schools in Dubai, and explains why it is crucial to opt for the best accelerator programs.
How to Choose the Best Business Schools for Startups
Choosing the best business schools for startups can be a critical decision for aspiring entrepreneurs.
The right institution can provide the skills, knowledge, and networks needed to help launch and grow a successful startup.
Here are some factors to consider when choosing the best business school for startups:
- Curriculum and Specialization
Look for business schools that offer specialized programs in entrepreneurship and innovation. These programs should include courses for aspiring entrepreneurs on business planning, finance, marketing, and management.
A solid curriculum will provide a comprehensive understanding of the business landscape and equip you with the skills needed to meet the challenges of starting and scaling a business.
- Access to Mentors and Industry Experts
Mentoring is a crucial component of business success. Choose a business school that provides access to experienced faculty and industry professionals who can offer guidance and support.
Mentoring can help refine your business ideas, develop effective strategies, and navigate potential challenges.
- Networking Opportunities
Networking is vital for entrepreneurs. A business school with a strong network of alumni, industry partners, and investors can provide valuable connections that can lead to partnerships, funding, and other opportunities.
Attend a school that actively encourages networking through events, workshops, and conferences.
- Hands-on Experience and Experiential Learning
Hands-on experience is essential to understanding the real-world challenges of entrepreneurship. Look for business schools that offer experiential learning opportunities, such as internships, business simulations, and startup incubators.
These experiences will allow you to apply theoretical knowledge in real-world scenarios and gain practical insights.
- Access to Resources and Support
Consider business schools that provide access to resources such as funding, incubators, and accelerators.
These resources can be crucial to the growth and success of your startup. Schools that offer gateway courses for aspiring entrepreneurs, such as venture capital, grants, and other funding opportunities, can provide a significant advantage.
- Reputation and Rankings
A business school’s reputation and ranking can be indicative of the quality of education and resources it offers. Research the school’s rankings, reputation, and alumni success stories.
A highly regarded business school can enhance your credentials and provide access to a strong network of successful entrepreneurs and investors.
- Global Perspective and Diversity
In today’s globalized business environment, having a global perspective is essential.
Choose a business school with a diverse student body and faculty, and programs that offer international exposure.
A global perspective can help you understand different markets, cultures, and business practices, which is valuable for launching a startup with global reach.
Top Benefits of Business Schools for Startups in Dubai
Dubai has become a global hub for innovation and entrepreneurship, attracting aspiring entrepreneurs from around the world.
Business schools in Dubai offer unique advantages that can significantly benefit startups.
Below are some of the top benefits of attending business schools for startups in Dubai:
- Strategic Location
Dubai’s strategic location at the crossroads of Europe, Asia, and Africa makes it an ideal place to launch and scale a startup.
The city’s proximity to major markets provides access to a diverse customer base and numerous business opportunities.
- Business-Friendly Environment
Dubai is known for its business-friendly policies and supportive government initiatives.
The city offers numerous incentives for startups, including tax benefits, easy procedures for setting up a business, and access to funding.
Business schools in Dubai are well-positioned to help entrepreneurs navigate this favorable environment and take advantage of these opportunities.
- Access to a Diverse Market
Dubai’s diverse population and multicultural environment provide a unique opportunity to test and refine business ideas in a global marketplace.
Business schools in Dubai offer exposure to a wide range of industries and markets, helping entrepreneurs develop products and services that meet diverse customer needs.
- Strong network of industry experts and investors
Dubai is home to a thriving ecosystem of industry experts, investors and successful entrepreneurs.
Dubai business schools and courses for aspiring entrepreneurs often have strong connections to this ecosystem, offering students valuable networking opportunities.
Access to these networks can lead to partnerships, funding and mentoring – all crucial elements for startup success.
- State-of-the-art infrastructure
Dubai boasts world-class infrastructure, including modern facilities, advanced technology, and a robust transportation network.
Dubai business schools offer access to state-of-the-art resources and facilities, enhancing the learning experience and providing an enabling environment for innovation and entrepreneurship.
- Cultural exposure and global perspective
Dubai’s diverse and cosmopolitan environment offers exposure to different cultures and business practices.
Dubai business schools offer a global perspective, helping entrepreneurs understand international markets and develop strategies for global expansion.
- Supportive ecosystem for startups
Dubai’s startup ecosystem is growing rapidly, with numerous incubators, accelerators, and innovation hubs.
Dubai business schools often collaborate with these entities, offering students access to resources, mentorship, and funding opportunities. This supportive ecosystem fosters innovation and helps startups thrive.
Why opt for the best acceleration programs?
Acceleration programs play a crucial role in the growth and success of startups.
These programs offer intensive support, mentorship, and resources to help startups scale their operations and achieve their business goals.
Here’s why opting for the best acceleration programs is essential for aspiring entrepreneurs:
- Access to mentorship and expertise
The best acceleration programs provide access to experienced mentors and industry experts who offer valuable guidance and support.
Mentors can help refine business strategies, identify potential challenges, and provide insights based on their experience. This mentorship is invaluable for startups looking to navigate the complexities of scaling their business.
- Funding opportunities
A startup acceleration program often provides seed funding and access to a network of investors.
This funding can be crucial for startups in the early stages, helping them develop their products, hire talent, and expand their operations.
Additionally, connections made through accelerator programs can lead to more investment opportunities.
- Networking and Partnerships
Startup accelerator programs offer ample networking opportunities, connecting startups with potential partners, customers, and industry leaders.
These connections can lead to strategic partnerships, collaborations, and business opportunities that can accelerate the startup’s growth.
- Access to Resources and Infrastructure
The best startup accelerator program provides access to essential resources, including office space, technology, and tools needed to develop and scale the startup.
These resources can significantly reduce operating costs and provide an enabling environment for innovation and growth.
- Intensive Learning and Development
Accelerator programs offer intensive learning experiences, including workshops, seminars, and boot camps.
These programs cover various aspects of business development, such as product development, marketing, sales, and fundraising.
The structured learning environment helps startups gain the skills and knowledge needed to succeed.
- Validation and Credibility
Being accepted into a top acceleration program provides validation and credibility to the startup. It signals to investors, partners, and customers that the startup has potential and deserves their attention.
This credibility can open doors to new opportunities and accelerate business growth.
- Focus on Growth and Scalability
Accelerator programs are designed to help startups scale their operations and achieve rapid growth.
The structured program, combined with mentoring and resources, focuses on refining the business model, identifying growth opportunities, and developing strategies to scale the business.
Conclusion
Choosing the right business school and accelerator program is a critical decision for aspiring entrepreneurs.
The best business schools for startups provide a comprehensive education, mentorship, networking opportunities, and access to resources that can significantly improve the startup’s chances of success.
Business schools in Dubai offer unique advantages, including a strategic location, a business-friendly environment, and access to a diverse market.
At Dubai-based Midas & CS Institute of Management, we understand that every entrepreneur’s journey is unique. We offer customized courses that are tailored to specific global business needs.
By carefully considering these factors and leveraging the opportunities provided by business schools and accelerator programs, aspiring entrepreneurs can transform their ideas into successful ventures and achieve their business goals.
How business schools could lead the charge to revive faith in higher education
The following contribution is from the Times Higher Education portal which defines itself as follows: About Campus. Top tips on teaching and research in higher education. Selected tips | Global community | Peer learning
Career tips for higher education faculty and staff: Campus is a space to learn, share and connect with colleagues from universities and colleges around the world, brought to you by Times Higher Education and Inside Higher Ed.
The authors are Ahmad Al Asady and Siri Terjesen from North Dakota State University and Florida Atlantic University respectively.
As American higher education faces a drop in student numbers, business schools could help transform universities into the interdisciplinary experiential learning hubs needed today
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Four tips for developing students’ business skills
Research and business must go hand-in-hand in an uncertain future
How can we help academia produce more…
The college enrollment crisis in the U.S., exacerbated by the pandemic, has led to a significant decline in the number of students attending higher education institutions.
Limited resources, rising tuition rates, drops in public funding, and skepticism about the value of a college education are challenges.
Business schools have a potential catalyst to help universities navigate this landscape by transforming them into hubs of practical, interdisciplinary experiential education.
Consider the scenario of an engineering student armed with a revolutionary idea. If this student is also equipped with business acumen, he or she can evolve from an innovator in the lab to an entrepreneur with a market-ready product.
This transformation illustrates the compelling power of interdisciplinary learning – a fusion of creative thinking and business pragmatism.
This environment of interdisciplinary collaboration and culture of knowledge sharing unlocks potential transformations for students across disciplines.
For example, art and music students can invest their talents in developing entrepreneurial careers, and public policy students could explore market-based solutions to global challenges.
Equipped with a comprehensive set of skills, these students will be prepared to make informed, strategic decisions that lead to personal and economic success.
Below are three strategic actions to spearhead this interdisciplinary experiential learning:
- Specialized training in commercialization
Unlike conventional entrepreneurship courses, commercialization courses focus on translating innovative ideas into market-ready products or services and should be open to all students, with an emphasis on engineering, science, and arts majors.
Although typically taught in a business school, commercialization can be taught in conjunction with (or as a guest lecturer) non-business faculty who have successfully commercialized ideas. University leaders in technology transfer could lead a unit of the course, sharing their expertise.
These courses could be offered within existing schedules, for example, with a semester-long project in which students develop a comprehensive business plan for an innovative invention or service.
However, the high degree requirements for some majors such as engineering mean that a shorter block week or weeks during a semester break, such as the mid-winter session, might be a better option for students with busy semester schedules.
Another possibility is on-campus affinity housing, open to all students interested in commercialization, with special lectures and activities offered as a component of student life.
Real-World Education: Embracing Project-Based Learning
The Secrets to Supporting Successful Start-Up Students
Tips for Debunking the Employability Myth in the Arts and Humanities
- High-Impact Experiential Opportunities
Experiential learning opportunities provide hands-on experiences in interdisciplinary settings.
These initiatives often emerge organically, such as the Davenport “Dav” Lounge coffee shop, a student-run nonprofit at American University, located in the lobby of the School of International Service.
More recently, Saxbys Coffee, a certified B Corp, has established 15 student-run coffee shops on or near campus,
partnering with universities to offer paid leadership internships, experiential learning microcredentials, and a structured program of corporate mentoring and support.
This activity involves students from business, hospitality, culinary arts, and other disciplines gaining a wealth of practical knowledge about running a company.
Other examples of inter-university experiential learning include:
– Study competitions open to students from all fields, often bringing together interdisciplinary teams to tackle real business challenges
– Student-led consultancies offering pro bono services to local small businesses, giving students the opportunity to apply theoretical knowledge to real-world challenges
– Student-managed investment funds that manage real-world portfolios spanning real estate, equity, and venture capital, and through which students from various majors gain useful knowledge in finance, entrepreneurship, and innovation, which they can draw on throughout their careers.
These consulting and investment activities can also help stimulate local community growth
by channeling expertise and funds to local companies and startups.
Business schools play a crucial role as coordinators in such interdisciplinary initiatives.
Business school faculty and staff can draw on their expertise to oversee and guide such competitions, consultancies, and investment funds.
- Strategic partnerships for real-world learning experiences
By collaborating with local companies, business schools can lead university efforts to offer real-world project opportunities to students from different disciplines.
This could include internships and work placements where students from different fields gain practical experience. Alternatively, companies could present real-life challenges, such as a tech startup introducing a new product, requiring an interdisciplinary student team to develop an innovative marketing strategy.
A business school can act as a facilitator by fostering relationships with local companies,
understanding their needs and aligning them with the skill sets of students across the university.
In this way, the business school becomes the common thread that links theoretical learning and practical application.
One example is medical device company Arthrex, which partners with Clemson University, Florida Gulf Coast University, and the University of Florida to offer certificate programs and three credit courses in medical product sales and marketing.
These three interdisciplinary experiential learning strategies enable business schools to drive a transformative learning experience that will equip students with the practical skills needed to excel in future careers.
How an MBA Can Help You Start a Startup
The following contribution is from John A. Byrne, former editor of Fast Company and BusinessWeek.
The conventional wisdom about MBAs and entrepreneurship is that why bother? The two years you need to invest in a top-tier MBA program, not to mention the $150,000 to $200,000 in tuition, fees, and other expenses, could easily be spent on your startup idea. Not only would you have a head start on your company, but you’d also have the money to get it off the ground.
At least that’s what most critics say. They believe true entrepreneurs have no reason to get an MBA degree.
They are wrong, dead wrong.
Entrepreneurship at most business schools is booming, and there are very good reasons for that.
A solid MBA program can help a potential entrepreneur develop their idea, intelligently do what they love, acquire crucial skills to shift the odds of success in their favor, develop new ideas, and know how to measure success.
Entrepreneurs with an MBA receive crucial guidance and support from highly motivated and intelligent people.
They also find like-minded partners and co-founders in their classmates who bring significant value to a startup, not to mention direct access to serial entrepreneurs who, as permanent faculty or executives-in-residence, are eager to guide young entrepreneurs through the process.
And finally, most schools today have formal programs that often provide seed capital to launch a company before utilizing the school’s alumni network to raise more capital or clients.
Surveys of MBA graduates show that the vast majority believe their education was vital to the success of their startups.
Nine out of ten believe an MBA helped them run their companies, grow their businesses, and develop their ideas.
About 86% of entrepreneurs with an MBA feel their education helped them develop financial projections for their businesses, and 81% thought an MBA helped them write a more compelling business plan.
After launching a startup that exploded during the dot-com crash, Healey decided to earn an MBA from the University of Virginia’s Darden School specifically to help him launch another company.
After earning his MBA, he spent a year in management consulting before leaving to start a global hotel search engine in 2006.
One of the first things he did was return to Darden as an alumnus to leverage the business school’s resources and alumni network to incubate his business.
“Elite business schools like Darden provide the ultimate safety net to cover the risk of starting a business,” adds Healey, who has since sold his business and started another venture with his wife, Christin, Borrowed & Blue, a destination wedding website.
“You have a year or two of leeway with expenses covered. To date, attending UVA and taking advantage of its resources to create and grow companies is one of the smartest decisions I’ve ever made.”
Or ask Daniel Wolchonok, who will graduate from the Yale School of Management this spring.
After stints at Microsoft and Pricewaterhouse Coopers, he went to Yale determined to start his own company. “I struggled to achieve the level of impact I wanted in my work and wanted to have strategic influence rather than just take orders from my superiors,” he says. “Entrepreneurship was the perfect vehicle for me to experience all of the above.”
But how did an MBA help him develop and launch his idea?
He got seed money for his company, Prepwork.com, from the Yale Entrepreneurship Initiative, along with a personal grant for his own living expenses.
“The funding I got from Yale was enough to get my company off the ground in its early stages,” Dan adds.
“Another thing about the Yale Entrepreneurship Institute is that they don’t keep any of your company’s equity for themselves, unlike most well-known incubation programs out there. I also got free office space and was matched with several mentors from the Yale network.
“One of my mentors is a Yale alumnus who founded a company that went public in its first year. Another is the CEO of a company that landed a seven-figure venture capital award. The YEI curriculum is largely based on the Lean Startup methodology. There I learned how to talk to clients early on, validate my idea, and speak freely about the solution I was looking to develop.”
There’s more. “Another huge benefit was the free legal services from Yale attorneys,” Dan continues.
“One of the services I appreciated most was the training and consulting I received on partnership agreements. Everything from how to structure the deal to splitting equity to exit and succession planning to formulating a vesting schedule for equity was part of that training—all for free.”
Not a bad way to start a company, if you ask me.
For more on MBA entrepreneurs, check out our new MBA Startups series written by Lawrence Cole on Poets&Quants:
How Business School Can Help You Find Purpose
The following contribution is from the AACSB portal, the Association to Advance Collegiate Schools of Business, the global body that sets standards for business education and strengthens the world’s business schools through accreditation, thought leadership, and transformative learning. And the article is authored by the team
Business schools are no longer just a path to a financially successful career; today, they help students discover their purpose and leverage it for meaningful work.
A business education provides students with fundamental leadership skills, which are essential to driving meaningful change in organizations.
By attending business school, students are exposed to diverse perspectives and a wide range of career possibilities, discover purpose-driven paths, and connect with like-minded people.
Business schools help students build a strong professional network, facilitating connections with peers, educators, and alumni who share similar motivations and attitudes toward purposeful work.
Historically, students have attended business school for a few primary reasons:
– to begin or advance their career
– to gain deeper knowledge of a particular business field
– to build connections and a professional network.
But today business plays a major role in making the world better, creating a new set of motivations and values for prospective business students, and new opportunities for business schools to meet those needs.
Attending business school is no longer viewed solely as a vehicle for making more money or increasing business skills
Many students now seek a business education to learn more about how their career goals, skills, and business acumen can be used to give them and their work a sense of purpose.
The pace of technological innovation is leading many workers to think about how technology, such as generative AI, could help or harm our society, environment, and relationships. Going to business school increasingly means grappling with complex questions like these. Here are some of the other ways business school can help you find purpose.
Learn leadership skills that are essential to creating change
Whether you want to work at a small startup, join a large, established company, or start your own business, learning and developing leadership skills is critical.
As a business leader, finding purpose isn’t just a matter of creating positive business outcomes; it means using communication and problem-solving skills to drive those outcomes, getting your team fully engaged in the organization’s goals, and delegating resources as efficiently as possible.
AACSB-accredited business schools have courses and expert faculty dedicated to all aspects of leadership, including collaboration, analytical thinking, ethical considerations, strategic planning, empathy, self-awareness, and developing your team’s skills and communication, among many others.
You’ll also learn how to effectively speak about the impacts and merits of your work with your peers, allowing others to learn from and be inspired by your purpose-driven work.
Finally, business school will give you the ability to confidently assess whether any aspect of your work is not in line with your values and purpose and empower you to make a change.
Gain a Broad Range of Perspectives and Possibilities
Although an increasing number of people think it’s important to have a purpose at work, most don’t feel that their work provides them with significant meaning.
The growing public awareness and wealth of information about environmental impacts, sustainability, and work-life balance means that many people are measuring their work in ways that go beyond financial compensation, seeking to make a positive social impact as well.
During your studies, you will be exposed to a multitude of job and career possibilities, giving you invaluable context and insight for choosing a line of work, industry, or career that is meaningful to you.
While it is not the only way to start a career with purpose, business school offers you some important advantages.
In addition to teaching you new skills and helping you build connections, a business education also allows you to meet a body of students and faculty from diverse backgrounds with equally diverse perspectives and goals.
During your studies, you will be exposed to a multitude of job and career possibilities,
giving you invaluable context and insight for choosing a line of work, industry, or career that is meaningful to you.
Knowing the variety of options available to you will provide you with a number of career choices that most are unaware of, allowing you to find meaningful work more easily.
Discover opportunities to pursue a meaningful career
Having a strong professional network is essential for any type of work, and this extends to purposeful work.
The personal and professional connections you build with your business school peers and educators will be critical throughout your career, opening doors to other opportunities and allowing you to seek out the advice and help of others.
Your network isn’t just about finding the most lucrative position; it’s about broadening your perspective of what’s possible at work and what careers align with your values and purpose.
During your studies, you’ll meet other people with similar motivations and attitudes toward work. Some of these connections could end up working with or for you, or helping you find a new job.
Your instructors can also introduce you to and provide you with resources to learn more about your chosen field or your passions.
This network only becomes stronger after graduation, as you can network with other alumni you didn’t study with, through alumni associations and events.
Your network isn’t just about finding the most lucrative position; it’s about broadening your perspective of what’s possible at work and what careers align with your values and purpose.
Understand how to evaluate change and impact
Understanding the complexities of “purpose” and how to achieve it is crucial. It is no longer enough to simply state your mission or values; purpose now requires detailed measurement and continuous improvement.
Business school gives you the ability to make data-driven decisions
and develop a comprehensive understanding of the short- and long-term impacts of your work and your team. This allows you to set realistic goals, allocate resources effectively, challenge the status quo, and ground your decisions with measurable results.
Learn the value of looking beyond business
Even if your chosen field doesn’t directly fit what you’re looking for, there are other ways to infuse purpose into your work. Business school provides insight into how to form strategic partnerships with other companies, NGOs, nonprofits, and government initiatives.
These collaborations enable your business to have an impact not just on profits, but on people, purpose, and the planet.
Forging these connections is particularly valuable for smaller companies and startups,
which often aspire to tackle significant challenges but lack the necessary resources.
By forging partnerships, you not only expand your capabilities, but you also engage your team in meaningful work.
In-house programs focused on sustainability, environmental impact, or other relevant topics can also actively engage your team.
Find the ideal business school
In today’s changing work environment, people are looking for more than just financial reward—they want to understand the broader impact of their work.
The increased emphasis on making a positive social impact has redefined the educational approach and research focus of business schools.
A business education offers a unique perspective that can help you seek out an industry, company, and job that align with your purpose.
AACSB accredits the highest-quality business schools in the world, which can guide you in your search for the ideal fit.
Business schools are increasingly becoming breeding grounds for start-ups
The following contribution is from the QS Quacquarelli Symonds portal which defines itself as: it has led the evolution of higher education for over 30 years.
From our beginnings as an MBA project, we have grown to become the global market leader in student information and guidance (Google Trends 2023).
We have built a reputation for data and analytics, leveraging billions of data points to revolutionize the way we understand international students’ journeys, experiences and career paths.
But data is just the beginning. We use it to build and empower our international community of students, academics and employers. And together, we are driving our mission: to enable ambitious people like you to reach their full potential.
The author is Francesca Di Francesca Di Meglio has been writing about higher education for two decades. She covered business schools and all aspects of management education for what became Bloomberg Businessweek from May 2004 to December 2013. Di Meglio was the consulting editor of the book Admitted: An Interactive Workbook for Getting into a Top MBA Program (85 Broads Publishing, 2011), which was written by admissions consultant Betsy Massar. Additionally, she is a family travel and parenting blogger on the website Italian Mamma.
More and more universities are providing resources and setting up structures to help MBA students and others on campus interested in embarking on a journey with a startup.
It’s one of the reasons we’ve taken entrepreneurship into account in the 2018 QS Global MBA Rankings.
More and more students are arriving on campus with dreams of stardom with a startup. Many experts attribute this to the achievements of Silicon Valley giants such as Facebook and Google. These types of ventures have long been media darlings. But at least two educators attributed the growing interest in entrepreneurship programs to the popularity of the reality show Shark Tank.
Some of the top business schools in the United States, however, are trying to give students a more realistic perspective
The Stanford Graduate School of Business encourages its students to brainstorm business ideas in business school but to launch them after graduation.
Different philosophies on teaching entrepreneurship
While students can make their own decisions, Stanford educators believe you can’t get the most out of a program if you’re launching a new venture, says Deborah Whitman, director of Stanford University’s Center for Entrepreneurial Studies (CES).
About 15% of a class in recent years has been in the process of starting a business while in school, Whitman adds. And the school offers 60 courses related to entrepreneurship and innovation.
Columbia Business School (CBS) embeds students in a New York accelerator to give them a taste of the early days of a startup.
The school also asks entrepreneurs who have not been successful to talk to the students. The goal is to expose them to the realities they will face and make an informed decision, says Vincent Ponzo, managing director of the Eugene Lang Entrepreneurship Center at CBS.
«We make sure that students know how difficult entrepreneurship is,» Ponzo says. “We give them programs where they get their hands dirty. Many come out and say, ‘It’s not for me.’”
A long-term perspective
At Harvard Business School (HBS), educators refrain from obsessing over deadlines. In other words, they’re less concerned with helping students start businesses while they’re in school.
About 50% of HBS alumni launch a startup within 15 years of graduation, says Jodi Gernon, director of the Arthur Rock Center for Entrepreneurship at HBS.
“Business schools are great for aspiring entrepreneurs,” Gernon says. “They teach you how to scale. It’s easy to start a new business today. But it’s not easy to grow it.”
In fact, business schools maintain that the best service they offer those interested in being their own boss is to teach them how to be bosses in the first place.
Alumni who are immersed in startup life agree.
Starting a Business in Business School
Kelsey Doorey went to UCLA’s Anderson School of Business with no intention of starting a business. But she was tired of buying bridesmaid dresses for her friends’ weddings.
Another student encouraged her, so she wrote a business plan for what is now Vow to Be Chic, an idea to rent dresses to bridesmaids the way suits and tuxedos are rented to groomsmen.
She then continued to work on the startup throughout the MBA program
She used it for her sophomore thesis project and took the idea to a business plan competition. Venture capitalists offered her funding on the spot. But she had already landed a full-time graduate job in New York, where she had interned.
When Doorey called the CEO of her future employer, he told her to take the money and pursue her dream. He has become a mentor.
Doorey raised $9 million in funding, owns 13,000 dresses to rent to bridal parties across the United States, and employs a team of stylists who can help clients online or in the San Diego office and in pop-up shops on various tours. Doorey estimates her business has saved women $5 million.
“I think business school is amazing, especially when you take the idea and work on it in school,” Doorey says. “You can apply the principles from almost every class to your business.”
In addition, Doorey has a professor who acts as an advisor to the company, and the school introduced her to Susan Feldman of One Kings Lane.
Classmates helped work on the business as part of teams on projects for different classes. They also served as focus groups because they happened to be the target market for dress rentals.
A Built-In Network
Indeed, classmates are one of the biggest assets acquired in business school, entrepreneurs say.
Theo Lee and his friend Michael Kim planned their Korean food business while at UCLA Anderson.
“We want to bring Korean flavors to America,” Lee says. They invited their classmates to a launch party when the company, KPOP Foods, launched on Kickstarter. Originally, Kickstarter advised the five-person team to look elsewhere for funding because food products rarely did well on the site.
But they went ahead with the plan anyway
Their friends took to social media and kept sharing their video. KPOP reached its $10,000 goal in the first eight hours of the campaign.
Plus, they used their business for projects in classes throughout business school to get feedback from professors and fellow students, which was “amazing,” Lee says. The company already has a Korean hot sauce on the market.
Sometimes, professors or the school itself make a financial investment in the business. Many schools also have accelerators or incubators on campus.
The Kellogg School of Management at Northwestern University offers some students in the earliest phase of entrepreneurship $1,000 to test ideas.
Then, they offer those who succeed, $5,000 to work on the business.
Finally, in the competitive Zell Fellows program, Kellogg offers 10 student startups $10,000, travel experiences, networking opportunities, alumni mentors, and more to keep the business going.
In the five years since its launch, the Zell Fellows program has 44 companies in the healthcare and startup sectors still active. In addition, the startups have raised $33 million in funding and awards.
Everyone is an entrepreneur
What’s interesting about Kellogg and most business schools is a shift toward incorporating entrepreneurship.
Once a niche within MBA programs, entrepreneurship is now embedded into much of the curriculum.
Schools are trying to teach the mindset and frameworks to all their students, even those who don’t plan to start their own business.
In fact, Linda Darragh, executive director of Kellogg’s Larry Levy Innovation and Entrepreneurship Initiative, says the school also has mini corporate labs, where large companies, such as Tyson or P&G, talk about innovation with students. Executives then describe the problems they face, and student teams come up with solutions in about an hour and a half.
The idea is that students recognize the needs of these companies and that companies see firsthand the entrepreneurial mindset of prospective employees.
One trend evident at several business schools is the desire to commercialize technology that already exists on campus.
More than ever, universities are trying to match business students with those from engineering, medical and other schools on campus.
Kellogg has an experiential course just for students to conduct market assessments of existing technology created by those elsewhere in the university.
When raw technology meets innovative business
This idea is practically a religion at MIT Sloan. “Our president wants an innovation garden,” says Trish Cotter, associate managing director of MIT’s Martin Trust Center for Entrepreneurship.
Sharing the abundance of resources and making connections among the school’s different treasures is a faculty goal, Cotter says.
“We can go out the door to venture capital, big companies, startups and Nobel Prize winners,” she adds.
While some used to argue that business schools couldn’t teach entrepreneurship, few can deny the resources available on campus or the usefulness of core courses. But that’s not the only driving force behind this startup frenzy on campuses across the United States.
Millennials are also demanding similar changes at business schools
“This generation of students wants to have more control over their life,” says Al Osborne, senior associate dean at UCLA Anderson. “One way to do that is to be autonomous. They also want to have an impact.”
Business Development for Startups and Tech Companies
The following contribution is from the BD School website and is written by Lucia Piseddu, who defines herself as: I have been working in business development for the past 15 years. In the coming weeks, I will share my experience with you. Together, we will embark on an incredible journey that will provide you with a solid foundation for success in business development.
1 – What is startup business development?
2 – Creating an effective startup business development strategy
- Startup business development training
- Business development representative
5 – Business development process
5.2 Business development plan
- How to do startup business development
7 – Overcoming startup challenges and pitfalls
8 – Measuring business development
Conclusion
As a startup founder, you are your company’s first business developer. You are responsible for virtually everything that will make your company succeed or fail.
Someone once said, «It’s lonely at the top,» and that’s especially true if you’re a first-time entrepreneur. Starting your startup from scratch can feel quite overwhelming. You want to do everything right and see your idea take off.
But there you are, stressed because you’re not sure how to actually develop it.
We know that feeling—we’re a startup too—and that’s precisely why we created this guide to business development for startups.
So you can start building the foundation for your new ventures with complete confidence.
In this guide, you’ll learn everything about:
– What is business development for startups?
– How to create an effective business development strategy for startups
– Business development training for startups
– Business development representative
– Business development process
– How to do business development
– How to overcome startup challenges and obstacles
– How to measure business development
1 – What is business development for startups?
Before diving into practical tips, let’s first understand what business development is.
Simply put, business development is all the tasks and processes aimed at developing growth opportunities for your company.
The mission of business development is to create long-term value for your organization.
Therefore, business development isn’t just about generating revenue or a one-size-fits-all concept. It’s about understanding your startup’s unique structure and designing a strategy that aligns with its goals.
Think of it as a puzzle: each piece represents an opportunity to unlock growth. It goes beyond sales and encompasses the art of identifying strategic partnerships, exploring new markets, and cultivating valuable relationships.
1.1 – Importance of Business Development for Startups
The role of business development in startups is crucial in shaping their success trajectory. It serves as a compass to validate the crucial aspect of product-market fit.
Business development helps you identify gaps, customer pain points, and emerging trends
By aligning your startup’s offerings with these insights, business development ensures that the product or service resonates with your target audience.
Furthermore, business development is the catalyst for scaling operations. As your startup gains traction and demand, expansion becomes essential.
You can use business development to forge strategic alliances that facilitate resource acquisition, access to new markets, and optimized distribution channels.
These collaborations can enable your startup to scale efficiently, leveraging the expertise, resources, and networks of established industry players.
Beyond operational expansion, business development opens the door to new opportunities
By proactively seeking out potential customers, partners, and investors, business development professionals create a spectrum of avenues for growth.
This proactive outreach not only expands your startup’s reach, but also fosters innovation through exposure to diverse perspectives and insights.
In essence, business development serves as a navigation tool, steering your startup towards validation, expansion, and exploration.
2 – Creating an Effective Business Development Strategy for a Startup
Developing an effective business development strategy is critical to the success of any startup.
However, before we dive into the strategy creation process, it is critical to understand that different stages of a startup’s journey require tailored approaches.
This distinction is vital because challenges, goals, and priorities vary significantly between early-stage startups and growth-stage startups.
Here is a brief overview of the differences in business development depending on the stage your startup is in:
2.1 – Early-stage startups (pre-seed, seed, Series A)
In early-stage startups, business development plays a critical role in laying the groundwork for growth, establishing market presence, and securing strategic partnerships.
At this stage, business development involves a dynamic combination of strategic planning, networking, and relationship building to create opportunities for the startup to expand its reach and achieve sustainable success.
Business development professionals in early-stage startups typically focus on identifying potential customers, partners, investors, and collaborators. They initiate conversations, negotiate deals, and forge alliances that can boost the startup’s growth trajectory.
Additionally, business development in early-stage startups involves refining product-market fit, gathering market feedback, and iterating on the business model based on real-world insights.
This proactive approach helps startups effectively position themselves within their target markets and capitalize on opportunities for rapid growth and market penetration.
2.2 – Growth Stage Startups (Series B or Later)
In the growth stage of startups, typically characterized by Series B or later funding rounds, business development takes on a more strategic and expansive role.
At this point, your startup has likely achieved product-market fit and your focus is on scaling your operations, entering new markets, and consolidating your position within the industry.
Business development efforts involve identifying high-value partnerships, strategic alliances, and potential acquisitions that can accelerate growth and enhance your startup’s competitive advantage.
Professionals in this phase leverage their network to build connections with key players, negotiate complex deals, and forge collaborations that drive market expansion.
Business development also involves optimizing distribution channels, exploring international opportunities, and diversifying revenue streams.
In growth-stage startups, business development becomes a key driver of revenue generation, market dominance, and long-term sustainability as the startup positions itself to become a major player in its industry.
The Business Development School: Differentiating Business Development Activities in Startups