Originally published on Rowad Magazine
Many people, including academics, think that entrepreneurship training programs are absurd. Entrepreneurship can’t be taught! You either have it in you or you don’t. You got to have the “entrepreneurship gene” to be an entrepreneur. So if you have it, you don’t need training and if you don’t have, then it doesn’t matter how many workshops you attend, because it will not change who are.
How are entrepreneurs made? Is it nature or nurture? Can you make an entrepreneur out of anyone or not? You won’t find an issue debated in the world of entrepreneurship more than this. Google it, you’ll finds tons of articles arguing on each side. So obviously, I’m not here to put an end to the debate, but I want to highlight a few arguments and get to my main point at the end. Should you enrol in entrepreneurship training programs or will it be a waste of your time!?
First off, let’s start by examining what entrepreneurs have to say. Ernst & Young published a report in 2011, titled Nature or Nurture? Decoding the DNA of the entrepreneur where they conducted a surveyed 685 entrepreneurs from around the world. The first matter they examined was whether entrepreneurs typically start their entrepreneurial careers directly post education or do they work in corporate environments for some time before transitioning into entrepreneurship. Turns out, majority of entrepreneurs (58%) worked in other organizations before starting their own. They even tribute their corporate experience and education as key enablers for their entrepreneurial success. In fact, when entrepreneurs were asked about the most important factors contributing to their success, here are the 4 most common factors (ranked according to popularity):
- Experience as employee (33%)
- Higher education (30%)
- Mentorship (26%)
- Family Support (21%)
The top two factors highlighted by the entrepreneurs relate to training. It’s the knowledge and skills these entrepreneurs gained, which contributed the most to their success. Babson College conducted another study where they looked at their alumni from 1985 to 2009, comparing individuals who took entrepreneurship courses during university to those who didn’t. A positive relation was found between students who took entrepreneurship classes and the likelihood of starting a business. This indicates that the training program might be push individuals to start their own businesses.
Now you might say, sure! Training can be beneficial, but there are innate factors which come before training, making them receptive to the benefits of training, which is the entrepreneurial personality. That is correct. Without a doubt, there are key characteristics which make an entrepreneur. Most common characteristics include:
- High Internal locus of control
- High adversity quotient
- Knack for observing opportunities during disruptions
- Acceptance of taking calculated risks
Entrepreneurship is not a skill or piece of information. It’s a way of life. It’s achieved through having an entrepreneurial personality, and personalities are typically not taught, they’re inherited. If that’s the case, then why go through training at all. James Koch, professor of economics at Old Dominion University in an interview by Entrepreneur magazine states “I think Jim Fisher (James’ colleague) and I would argue that a lot of entrepreneurship programs are superfluous and can’t deliver what they say. Education can make people better accountants, economists and better at tax law, but it can’t effectively change risk preferences, and it can’t change genetics”
But heredity is not the only the player. The surrounding environment, experiences and knowledge all contribute towards building personalities. We now know through the study of epigenetics that a human’s genes can change dramatically over time through external triggers. A study published in Leadership Quarterly (September 2012) shows that inherited attributes does increases the likelihood of someone taking a leadership position, but only by 24%. There is huge space for nurture when it comes to developing entrepreneurship.
So why should you enrol in entrepreneurship training programs? For those who already have an entrepreneurial personality, the training won’t make you an entrepreneur, but it can make you a better one. If you’re not sure, you might discover your passion for entrepreneurship while training. Finally, entrepreneurial knowledge is not only for entrepreneurs. Adopting an entrepreneurial mind set can help grow within the fold of your organization. In fact, entrepreneurial strategies have become vital even for existing businesses in order to cope with the rapidly changing markets and customer behaviours.