Graduates from Harvard Business School (HBS) and Stanford Graduate School of Business, both part of the M7 group of business schools, established a collective 87 startups in 2023. These startups span various industries, indicating a diverse range of interests among the graduates.
A Detailed Look at the Numbers
According to data collected by the software design and development firm Symphony, Stanford graduates established 23 startups, whereas Harvard graduates accounted for 64. These numbers were in addition to traditional MBA career paths that graduates usually pursue, such as consulting, finance, and technology.
Institutional Support for Entrepreneurship
David White, an admissions consultant and founding partner at Menlo Coaching, observed that many top US MBA programs, including those outside of Stanford and Harvard, have invested in promoting entrepreneurship. These investments can be seen in the form of dedicated facilities and centers designed to support entrepreneurial ventures. White noted the potential benefits MBAs offer to entrepreneurs, such as pitch competitions, networking opportunities, and access to resources.
Sector-Specific Trends: Healthcare, AI, and More
A deeper dive into the types of startups reveals a trend towards certain industries. For Stanford graduates, the healthcare sector was a standout. Startups in this industry doubled in number between 2022 and 2023.
On the other hand, Harvard MBA entrepreneurs leaned towards artificial intelligence (AI), a sector that has seen significant attention this year. Earlier, predictions from Goldman Sachs indicated the potential of generative AI to displace up to 300 million jobs, making it a focal study topic for MBA students. Interest in AI and analytics skills was also apparent among business master’s students.
Environmental concerns were also evident, with Symphony’s data highlighting the establishment of climate tech startups by graduates of both institutions.
However, the previously popular Web3 technologies, which include decentralized systems such as blockchain, saw a decline in interest, with Symphony’s data indicating only four Web3 startups from the combined graduating groups.
