Demand Pull versus Resource Push Approaches to Entrepreneurship: A Field Experiment

Abstract

Despite the proliferation of entrepreneurship training programs, the question remains if and how such programs can add value to nascent entrepreneurs. To answer it, we compare two broad approaches that have inspired various entrepreneurship methodologies: resource push and demand pull. Although there are some commonalities, each approach focuses on different starting points and sources of competitive advantage for entrepreneurial ventures. We argue that entrepreneurs can benefit more from one approach than the other depending on their idea stage and educational background. To test our ideas, we conduct a randomized field experiment within a 6-month startup accelerator program in Singapore. Our findings reveal that demand pull training is more effective for early-stage and STEM entrepreneurs than resource push training as it helps them overcome their weaknesses and prioritize the activities that create the most value in the initial steps of startup launch.