Entrepreneurial Education for the 21st Century Entrepreneur: The Impact of Technology and Experiential Learning

Regina CollinsDr. César BanderaDr. Katia Passerini

October 18 2014

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Technology and Experiential Learning Imperatives

Tech SupportedDISTRIBUTED

COLLABORATION

SOFTWARE-as-a-SERVICE = SaaS

MOBILE APPs for MOBILE

LEARNING

Tech Supported HANDS-ON

• Doing, then Learning

• Reflective Learning

• Practice under uncertainty

• simulation

• Google docs• Dropbox,

SugarSync• Skype

• Access to cheap, self-maintaining systems

• Consistency across the enterprise

• Webex• E-Readers• Useful on-

the-go• Push-based

Mobile Messaging

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Integrating Process + Method worlds into learning experiences

Framework Characteristics

Sample Activities Technologies Supporting

Sample Activities

Context: World of value creation and prediction

Validation of value propositions

Google Docs, Moodle Forums

Focus: exposing students to a portfolio of techniques

Data collection, guided data analysis

Google Maps, mobile devices, Remote Desktop

Level of analysis: the entrepreneur, her team and firm

Interview and work with founders of EDC start-ups

Skype, GoToMeeting, Moodle Forums

Primary Pedagogy: business planning, observation, practice, reflection, design

Financial models and forecasts

Google Finance, Google Docs (financial models)

Language: Do-learn-reflect Elaborate start-up, defend and adjust

Market data aggregators, Skype, Remote Desktop

Pedagogical Implication: Iterative loops of prediction and action

Definition of minimum viable product, business pivoting

All of the above

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Examples: Moodle Forums

Asynchronous, Thematic

Secure

Analytics

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Examples: Remote Desktop

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Examples: Synchronous Multi-User Collaboration

The application Autodesk 3DS runs on one computer, shared live among participants via Skype desktop sharing. Any participant controls it remotely via LogMeIn.

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Examples: Synchronous Multi-User Collaboration

Financial model in

Excel

Financial model in

Google Docs

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Examples: Google Maps for Secondary Data Analysis

Secondary market data (regional markets for a residential makeup service) on Google Maps

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Examples: Google Maps for Primary Data Analysis

batchgeo.com

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The Context: 3 entrepreneurial courses

ENTR 410: New Business Mgt

MGT 680: Entrepreneurial Strategy

MGT 390H: Interdisciplinary Design

Studio

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The Context: 3 entrepreneurial courses

ENTR-410New Business

Venture

Focused on students hoping to launch a new venture within

6 months

Students work independently on their ideas

Interactions with

entrepreneurs limited to guest

speakers

MGT-680Entrepreneuri

al Strategy

Focused on MBA students planning to

work for established companies

Students work in groups

Students become

“interns” for start-ups from

the EDC

MGT-390HInterdisciplinary Design

StudioFinal course of

program requiring

students to design

company

Students work in groups of 3

to 5

Students interact with C-level executives

from local companies

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The Place(s): The Classroom, Online, and the Enterprise Development Center (EDC)

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Experiential Learning

Starting new ventures Serving as

“intrapreneurs” Hearing from other

entrepreneurs

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Model & Hypotheses

Learner Characteristics

Usefulness of Tools

Risk Taking Interactions with EDC

Entrepreneurial Intention

H1

H2H3a

H3b

H4a

H4b

H5a

H5b

H5c

Self-Efficacy,Subjective Norm,

Resilience,Creative Problem Solving,Opportunity Recognition

Google Docs, Google MapsOnline forums, Skype, Cell phone/tablet,

Seeing files on someone else’s computer,Controlling files on someone else’s

computer

EDC and effective interactions,

EDC and Learning,EDC and Entrepreneurship

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Background Literature

ENTREPRENEURIAL INTENTION

Theory of Planned Behavior (Azjen 1991)

Measuring EI within given period of time (von Graevenitz, Harhoff, and Weber 2010)

Mixed results of entrepreneurship education on EI (see for example Gibb 2002; Kuratko 2005; Oosterbeek, van Praag and Ijsselstein 2010; Souitaris, Zerbinati, and Al-Laham 2007)

Differences in types of courses and EI (Higgins 1997; Piperopoulos and Dimov 2014)

RISK TAKING

Risk propensity and willingness to take risks (see for example Busenitz 1999; Palich and Bagby 1995)

Positive risk attitudes and entrepreneurship (Caliendo, Fossen and Kritikos 2010; Shepherd and Douglas 1997)

Desire for self-employment positively related to risk taking which increased after entrepreneurship program (Sanchez 2011)

Hypotheses

H1. Learner entrepreneurial characteristics will positively impact their attitudes toward entrepreneurial intention.

H2. Learner entrepreneurial characteristics will positively impact their attitudes toward risk taking.

H3a. Learner entrepreneurial characteristics will positively impact the perceived usefulness of information and communication technologies in entrepreneurship courses.

H3b. Positive perceptions of technology usefulness will positively impact the relationship between learners’ entrepreneurial characteristics and risk taking.

H1 = LC EI

H2 = LC RT

H3a = LC PU_ICT

H3b = LC PU_ICT RT

Hypotheses (cont’d)

H4a. Learner entrepreneurial characteristics will positively impact their perceptions regarding experiential interactions (with the EDC) in an entrepreneurship course.

H4b. The perceived usefulness of practical experiences gained through exposure to the EDC will positively impact the relationship between learner entrepreneurial characteristics and risk taking.

H5a. Learners’ perceptions of technology usefulness will impact their entrepreneurial intention.

H5b. Learner’s risk taking perceptions will impact entrepreneurial intention.

H5c. Learners’ perceptions of experiential interactions (with the EDC) will impact their entrepreneurial intention.

H4a = LC PU_EDC

H4b = LC PU_EDC RT

H5a = PU_ICT EI

H5b = RT EI

H5c = PU_EDC EI

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Methodology• Longitudinal study polling students’ perceptions at

beginning and end of course• Data from beginning of course used to explore student

differences between courses (N=69) (Self-selection bias)

• Data from end of course used to analyze student perceptions of experiential, technology-supported learning Small sample size (N=47) Used non-parametric tests (Kruskal-Wallis, Mann

Whitney) for between course differences Used SmartPLS to evaluate theoretical model

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Participants

ENTR-410 MGT-680 MGT-390H

Beginning of course survey 14 (56%) 22 (65%) 33 (77%)

End of course survey 11 (44%) 17 (50%) 19 (44%)

Total enrollment 25 34 43

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Enrollment self-selection based on Entrepreneurial Intention

ENTR-410• MR =

47.79

MGT-680• MR =

40.70

MGT-390H• MR =

25.77

Based on first survey at beginning of courseN = 69, K = 15.710, p = 0.000

New Business

Venture

Entrepreneuri

al StrategyInterdisciplina

ry Design

Studio

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Expectations of value of interactions with entrepreneurs

ENTR-410• MR =

47.25

MGT-680• MR =

35.80

MGT-390H• MR =

29.27

Based on first survey at beginning of courseN = 69, K = 8.402, p = 0.015

New Business

Venture

Entrepreneuri

al StrategyInterdisciplina

ry Design

Studio

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Actual perceptions of interactions with entrepreneurs

ENTR-410• MR =

47.25

MGT-680• MR =

35.80

MGT-390H• MR =

29.27

Based on survey at end of courseN = 47, K = 8.068, p = 0.018

New Business

Venture Entrepreneuri

al Strategy

Interdisciplina

ry Design

Studio

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Perceptions of Entrepreneurial Intentions

ENTR-410

MGT-680 MGT-390H

Based on survey at end of courseN = 47, no significant difference

New Business

Venture

Entrepreneuri

al Strategy Interdisciplina

ry Design

Studio

Retrospectives

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Example:My family and friends will support me if I chose to be an entrepreneur: Now Six Months Ago

• Technology Use• Subjective Norm• Risk Taking

Retrospectives

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• Tested with Wilcoxon two-sample paired signed rank test

• Only Risk Taking showed statistically significant change• (W = 103.5, z = 2.538, p = 0.011)

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SmartPLS Results (1st survey)

Initial Model with Entrepreneurial Intention as Outcome based on survey data from beginning of course

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SmartPLS Results (2nd survey)

Final Model with Taking Risks as Outcome based on survey data from end of course

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Theoretical Model Results

Model R2 = 0.538 Average Variance Explained (AVE),

Composite Reliability (CR), and Cronbach’s alpha values all above minimum recommended values.

All paths in 2nd model significant except path from Interactions with EDC to Taking Risks

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Hypotheses Summary

Hypothesis OutcomeH1 = LC EI Not supportedH2 = LC RT SupportedH3a = LC PU_ICT SupportedH3b = LC PU_ICT RT Supported

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Hypotheses Summary

Hypothesis OutcomeH4a = LC PU_EDC SupportedH4b = LC PU_EDC RT Not

SupportedH5a = PU_ICT EI Not

SupportedH5b = RT EI Not

SupportedH5c = PU_EDC EI Not

Supported

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Discussion Supports and contextualizes previous inconsistent

results of Entrepreneurial Intention as outcome variable

Identifies risk taking as more salient measure of successful entrepreneurship education

Learner’s entrepreneurial characteristics positively impact perceptions of experiential learning opportunities

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Theoretical Implications

Offers risk taking as a more meaningful evaluative measure assessing efficacy of entrepreneurship course.

Offers deeper understanding of inconsistencies of entrepreneurial intention as evaluative measure.

Highlights the importance of an integrated approach to entrepreneurship education.

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Pedagogical Implications

Increase students’ risk propensity.

Incorporate topics such as risk aversion and managing risk.

Draw on industry resources to provide relevant and meaningful experiences

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Limitations Internal validity limitations

• Sample bias

• Experimental mortality

• Construct validity/instrumentation

• History/Maturation/Testing

External validity limitations

• Limited sample size

• Reactive effects of experimental arrangements:

• Instructor

• Technology/experiential learning

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Future Research From pilot to full study

Consider different experimental design models (e.g. pre-post with control group)

Looking at additional variables (e.g. Creativity and Control)

Replicate at additional institutions

Looking for partners

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Questions? Suggestions?

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Some pedagogical approaches are more aligned with the online transition

From: Neck & Greene (2011)

Entrepreneur world Process world Cognition world Method world

World of…Heroes, myths, and personality profiling

Planning and prediction

Thinking and doing Value creation

FocusTraits, nature versus

nurtureNew venture

creation

Decision-making to engage in

entrepreneurial activity

Portfolio of techniques to

practice entrepreneurship

Level of Analysis Entrepreneur FirmEntrepreneur and

teamEntrepreneur, team

and firm

Primary Pedagogy

Business basics, lecturers, exams,

assessment

Cases, business plans, business

modeling

Cases, simulations, scripting

Serious games, observation,

practice, reflection, co-curricular, design

Language

Locus of control, risk taking propensity,

tolerance for ambiguity

Hockey stick projections, capital markets, growth,

resource allocation, performance

Expert scripts, heuristics and

decision makings, schema, mental

models, knowledge structures

Practice, self-knowledge, fit,

action, do-learn, cocreation, create

opportunities, expect and embrace failure

Pedagogical Implication

Description Prediction Decision Action

Process + Method

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Assessment Literature

Shorter-term(Fayolle, Gailly et al. 2006)

Longer-term(Pittaway 2009)

Skills and knowledge—how well students have understood concepts

Student interest Student awareness (inventor,

entrepreneur, and/or intrapreneur?)

Entrepreneurial intention (i.e. attitudes towards self-employment)

Attendance rates (physical, virtual)

Participation

Entrepreneurial behaviors, skills, and attitudes

Empathy with the entrepreneurial life

Entrepreneurial values such as independence and ownership

Motivation toward an entrepreneurial career based on comparative benefits

Understanding the venture creation process

Developing generic entrepreneurship competencies how-to’s

Developing key business how-to’s Networking and managing

relationships with key stakeholders

Source: adapted from Duval-Couetil (Duval-Couetil 2013)

Online and Hybrid Course

Personality Traits &

Subjective Norm

Entrepreneurial Intention

Knowledge & Skills: Learning outcomes

assessment

Attitudes: Initiative, risk propensity, self-efficacy,

need for achievement

Experiences: Value of exposure to

entrepreneurial environments

Assessment Model

• Morris et al, “A competency-based perspective on entrepreneurship education.” JSBM v51 i3

• Fretschner, Weber, “Measuring and understanding the effects of entrepreneurial awareness education.” JSBM v51 i3 39

PRE POSTTREATMENT

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The Necessity of the “Process” + “Method” Worlds

Action-orientation (method world) Non-linear, complex systems Portfolio of tools

Planning and prediction (process world) Progression Breaking-down complexity

▪ “Plans are worthless, but planning is everything” Dwight D. Eisenhower, From A speech to the National Defense Executive Reserve Conference in

Washington, DC on Nov. 14, 1957