Role of MBA in Entrepreneurship
Nowadays, the term “start-up” has become a cause célèbre, with Indian government and some state governments launching start-up hubs and incubators. In response, many start-ups are cropping in a never-seen-like- this scenario, with veteran business men like Ratan Tata, Nandan Nilekani, and other notables funding them. This article presents a brief yet to the point of the role and scope of an MBA in entrepreneurship.
Researchers Michalacci and Shivardi say that the success of entrepreneurship is proportional to education with an exception given to the college dropouts like Steve Jobs and Mark Zuckerberg.
Small Business and Entrepreneurship
To the increasing proportionate, many MBAs show interest in starting up their own business. With the advance of knowledge and technology in recent years, the trend to set up an own business is a certainly paradigm shift.
To understand the terms first, let us begin with small business. Small business is usually focused on a few services or products with few employees or none and an owner. In entrepreneurship it may begin with an idea in a small business setting.
But it never means to be a small business setting, but by innovation tends to into a huge business corporation. A score year ago Google started as a small business in a garage. With continuous innovation, it has grown into a Multi National Company. Therefore, entrepreneurships may be small businesses but not vice-versa.
How does an MBA make a difference?
Though many do start-up businesses, those who do it with an MBA have an edge over others due to the nuances of business administration. For instance, in a recent development most of the students at ISB expressed their interest in starting their own business.
In fact, the number of MBA entrepreneurs is steadily increasing from Harvard, Stanford, and Wharton, according Poets &Quants’ 2016 top 100 startups.
The some notable names in Indian context are Pranay Chulet, an MBA grad from IIM and the CEO of Quiker, Sharathbabu the founder and the CEO of Food King, etc.
To conclude, an MBA makes the job of an entrepreneur easier than those who are from the background, due to the vast exposure of business concept and/or experience one gets. An MBA is like a hands-on experience in business before the big dream ventures of many MBAs.