This is a helpful blog summary from a extensive Harvard Business School working paper, Performance Persistence in Entrepreneurship. Here’s a sample of some of the burning questions and answers:
Excerpted | HBR & Business Insider War Room:
Q: Is entrepreneurial success a skill, or is it luck?
A: Starting a company at the right time in the right industry is a skill.
…It appears that market timing ability is an attribute of entrepreneurs.”
According to the Harvard paper, “The industry-year success rate in the first venture is the best predictor of success in the subsequent venture. Entrepreneurs who succeeded by investing in a good industry and year (e.g., computers in 1983) are far more likely to succeed in their subsequent ventures than those who succeeded by doing better than other firms founded in the same industry and year (e.g., succeeding in computers in 1985).
“More importantly, entrepreneurs who invest in a good industry-year are more likely to invest in a good industry-year in their next ventures, even after controlling for differences in overall success rates across industries.
Nothing indicated it has anything to do with wealth.
Read the full post here: