The Problem with Making Entrepreneurship Courses More Realistic

There’s a major push in business schools to make entrepreneurship courses more realistic. In school, most outcomes are normally distributed. In a power law distribution, a few cases account for a large portion of the distribution’s total outcome. Because entrepreneurship classes are a stylized setting in which a normal distribution of outcomes is artificially imposed, many students are left thinking that their efforts are better than they actually are.

Key Takeaways:

“The failure of academics to approach entrepreneurship with the realism of the market imposes a cost on society.”