Empowering the next generation of entrepreneurs: Intersections of education, policy, and business model innovation

This study investigates how university entrepreneurship education (EE) and government policies (GP) influence entrepreneurial performance (EP) among young entrepreneurs, with business model innovation (BMI) serving as a key mediating variable. Grounded in human capital theory and institutional theory, the research theorizes BMI as an intermediary linking institutional support and human capital development to entrepreneurial outcomes. Using a quantitative design, we surveyed 541 university student-entrepreneurs via stratified random sampling in emerging economies, employing structural equation modeling (SEM) to test the hypothesized model. The analysis confirms a strong model fit (χ2=979.252, df = 884, χ2/df = 1.108; RMSEA = 0.014; CFI = 0.994; GFI = 0.926; AGFI = 0.918; SRMR = 0.038). Research shows that EE and GP are the core elements driving BMI. The former imparts knowledge and skills, while the latter provides resources and policy support, jointly enabling college student entrepreneurs to break through traditional models. BMI can not only activate the value creation mechanism but is also a key variable determining entrepreneurial performance in emerging markets. Further analysis reveals that BMI serves as a bridge connecting government policies and entrepreneurship education, and the combined effect of the three significantly influences the ultimate success of college student entrepreneurship.