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CESIS - Centre of Excellence for Science and Innovation Studies, Royal Institute of Technology KTH/CESIS Working Paper Series in Economics and Institutions of Innovation

No 321:
Higher education experiences and new venture performance

Anders Broström () and Apostolos Baltzopoulos ()

Abstract: Human capital theory suggests that higher education, as a means of capability creation and of ability screening, is positively associated with individuals’ success as entrepreneurs. This paper argues that social capital perspectives, in particular the theory of local embeddedness and team formation theory, complement human capital theory in explaining the relationship between higher education attainment and entrepreneurial success. However, human and social capital perspectives apply to different domains. While the former is appropriate for knowledge-based entrepreneurship, the latter is primarily valid in contexts where specialized analytical knowledge plays a less accentuated role. These propositions are supported by an investigation of survival and growth of entrepreneurial ventures in Sweden.

Keywords: Higher education; entrepreneurship; universities; entrepreneurial performance; (follow links to similar papers)

JEL-Codes: I23; L26; O18; R30; (follow links to similar papers)

24 pages, June 20, 2013

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