Lessons from entrepreneurial failure through vicarious learning

Abstract

Abstract Despite its widespread occurrence, the topic of failure is barely addressed in entrepreneurship education. Consequently, students are given an incomplete and unrealistic picture of the complexity of being entrepreneurs. This study explores the pedagogical potential of introducing vicarious learning about failure in educational programs rather than focusing solely on starting, growing and success. Taking a qualitative approach, this study examined students’ reflective reports written after an interview with an entrepreneur on their experience of failure. Using concepts emerging from these reports and theoretical constructs, it was established whether and how students drew lessons and reflections from the failure stories. The findings show that interviewing and reflecting about the experiences of entrepreneurs allow for vicarious learning from failure, yet without students having to experience it themselves. The lessons learned and the reflections feed each other in a continuous loop. Students recognized that entrepreneurship involves trial and error instead of one straight road. Important lessons include the importance of adaptable behavior, access to key resources, insights in business development and the benefits of networking. Hence, this article contributes to the pedagogy of entrepreneurial education and provides initial suggestions for educators to introduce vicarious learning about failure as a topic in their programs.