Educational heterogeneity of the founding team of innovative start-ups: confirmations and denials

This paper focuses on the value drivers of innovative start-ups (ISUs). Few companies can overcome the start-up stage; often, the early performance is insufficient, and the potential contribution of innovation to economic development is very poor. Studies based on a firm-level perspective show mixed results on the factors affecting the growth of ISUs. Most studies emphasize the role of "external" drivers of ISUs growth, while more knowledge is required of "internal" drivers. Consequently, this research focuses on the relationship between the features of the founding teams and the early performance of ISUs. Specifically, it concentrates on education heterogeneity and analyzes whether the heterogeneity of the founding team in terms of educational level (vertical heterogeneity) and field of studies (horizontal heterogeneity) affects the Italian ISUs performance. Growth regression and unconditional quantile regression models confirm the prior literature: the educational level affects the performance and the vertical heterogeneity in the composition of the founding team is relevant for ISUs performance. However, the results also suggest interesting denials: horizontal heterogeneity does not play any role, and no moderating effect of heterogeneity is shown. These findings are strongly attractive for new ventures and policymakers.