Effectuation Theory in Youth Entrepreneurship Education and Training Programs
The USAID/Africa Bureau commissioned this study to better understand both the theoretical underpinnings and practical training application of effectuation theory for youth in lower and middle-income countries to inform future programming efforts. It draws on both effectuation theory literature as well as data collected from practitioners employing effectuation theory for their training activities. One of the primary issues that the paper will highlight is the disconnect between the original theory, which attempted to explain the behavior of high-growth entrepreneurs in developed country settings, and its subsequent application to training youth in low and middle-income countries, which has evolved largely independent of the original theory.
During July-November of 2019, YouthPower Learning conducted a literature review on effectuation theory and its applications in entrepreneurship education and training (EE&T) programs and interviews and case studies with organizations implementing effectuation-based EE&T programs to address the following questions described below:
- How is effectuation theory currently being used in preparing young entrepreneurs globally?
- Is effectuation-based youth programming being used in Africa? If so, what are key program models?
- What are the benefits and challenges of using effectuation theory in programming? Are there benefits to using this model versus others?
- How is effectuation theory being used in training, and what are the results of integrating this model into youth entrepreneur training programs?
- Does effectuation theory in entrepreneurship training help to promote access of youth to start-up resources? What are the key strategies that the theory promotes to link youth to start-up resources?