We already know Stanford University is a campus hotbed for entrepreneurial studies. But now, thanks to a PitchBook study that pulled data from international universities, we know Stanford is the top university that has spurred startup growth from 2010 to 2013.
What is the reason for so many startups? There are a number of companies ready to hire students from such top universities but the students who graduate are more keen on starting something new. They are ready to take the risk and spend money on something they are not too sure how it would pan out in the real world.
Here are some reasons as to why students decide to start something on their own rather than join an existing company:
When one grow and observes the world around them, they come up with ideas and alternates as to how some product or service could be made better. In such instances, rather than joining that company and improving the existing product, these students decide to start something new and capture the market.
When one graduates, they have very little responsibility and commitments. This is the stage where one is ready to take risks. When one grows older, the financial and family responsibilities tends to dampen their risk taking abilities, thus stopping them from venturing out on their own.
Some products may be existing and performing fine, but a new angle to the product could be what the market wants. When you are affected by a stomach bug, you tend to take the concerned medicines or visit a doctor, but products like Detoxic enable you to remove the parasites from your body, thereby going a step further and cleansing your system rather than just attack the parasite.
PitchBook searched through the alumni of U.S.-based companies that have received a first round of venture capital funding between 2010 and 2013 and it didn’t take long to notice a trend. After all, Stanford University and the University of Berkeley – the overall top two from this VC study – are both based in the Bay Area.
The Dish Daily was founded on the thesis that the best startup ideas are formed in dorm rooms, and now there is proof.
Top Universities & number of alumni who founded companies receiving VC funding
- Stanford University – 190
- UC Berkeley – 160
- University of Pennsylvania – 131
- Harvard University – 124
- MIT – 115
- Cornell University – 110
- University of Michigan – 93
- University of Texas – 80
- Carnegie Mellon University – 79
- Indian Institutes of Technology – 77
PitchBook has collected this type of venture capitalist data in order to provide certainty in the idea that startup funding has boosted the economy. With Stanford University ranking highest among it’s U.S.-based company competitors, it’s clear now than ever that thisSilicon Valley-based university provides an unprecedented landscape for innovative and entrepreneurial growth.
The PitchBook Venture Capital Database provides investors, service providers and lenders with data on vital information from the VC landscape – everything that can enable additional support to those U.S.-based companies. Stanford University has already embraced this unique platform, particularly on the cusp of it’s new StartX-Stanford Fund that will enlist additional dollars from the Stanford University’s internal pool.