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Paradoxes of accelerator programs and new venture performance: Do varieties of experiences make a difference?

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  • Farzana Chowdhury

    (Durham University Business School)

  • David B. Audretsch

    (Indiana University)

Abstract

Incubators and accelerators have proliferated, but their impact on new ventures’ performance remains unclear. This article explores whether all ventures benefit equally from participating in accelerator programs. We propose that the entrepreneurs’ human capital resources influence the benefits extracted from accelerator program participation. Using application data from the accelerator programs across developed and developing countries, we find participation in accelerator programs positively impacts the ventures’ innovation performance but has a mixed impact on social performance. Founders with high education benefit from participating in accelerator programs for innovation and social performance. However, entrepreneurial experience and vast industry experience do not significantly influence ventures’ social and innovation-related performance from accelerator participation. The result is consistent for both solo and team founders.

Suggested Citation

  • Farzana Chowdhury & David B. Audretsch, 2024. "Paradoxes of accelerator programs and new venture performance: Do varieties of experiences make a difference?," Small Business Economics, Springer, vol. 62(1), pages 381-409, January.
    • Handle: RePEc:kap:sbusec:v:62:y:2024:i:1:d:10.1007_s11187-023-00778-y
    DOI: 10.1007/s11187-023-00778-y
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    More about this item

    Keywords

    Accelerator; Innovation; New Ventures; Human Capital; Industry Experience; Entrepreneurial Experience;
    All these keywords.

    JEL classification:

    • M13 - Business Administration and Business Economics; Marketing; Accounting; Personnel Economics - - Business Administration - - - New Firms; Startups
    • L2 - Industrial Organization - - Firm Objectives, Organization, and Behavior
    • L25 - Industrial Organization - - Firm Objectives, Organization, and Behavior - - - Firm Performance

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