This paper tests whether providing more information on business practices can lead firms to seek out advice and improve their practices. The authors collaborated with a business advice provider in Brazil to implement a randomized experiment with 866 small firms. The treatment groups received different versions of an information sheet that benchmarked business practices to other firms and listed five practices to improve.
IGL Trials Database
IGL curates a database with randomised controlled trials in the field of innovation, entrepreneurship and growth. Browse our list of topics, see it as a map, or use the search function below.
The study investigates the role of information constraints and behavioral biases in the under-adoption of key business practices by micro-enterprises in Brazil. We combine a randomized control trial with online surveys to study these questions.
We study the allocation and productivity consequences of managerial training via a randomized controlled trial among supervisors in a large ready-made garment firm. We designed a program using practices identified as productive in Adhvaryu et al. (2022c), and asked factory and floor managers (FFMs) – who are directly above supervisors in the hierarchy – to recommend which of the supervisors they manage should be prioritized for training. We then randomized access to the program within these recommendation rankings.
What is preventing entrepreneurs and managers from forming peer connections themselves? This paper argues that entrepreneurs may be under-networked because they lack the necessary social skills that allow them to match efficiently with knowledgeable peers.
. A randomized experiment is conducted a in Nigeria to test the relative effectiveness of these different approaches in improving business practices.
We study direct productivity changes and spillovers after a randomized training program for the frontline workers in a Colombian government agency. While trained workers improved their individual production, we also find substantial spillovers that affected managers' productivity. We use email data and a survey to explore the mechanisms behind these spillovers and find that managers' increased output arises from reductions in the need to help lower level employees.
We analyze, benchmark, and run randomized controlled trials on a panel of 7,463 U.S. entrepreneurs making incentivized sales forecasts. We assess accuracy using a novel administrative dataset obtained in collaboration with a leading US payment processing firm. At baseline, only 13% of entrepreneurs can forecast their firm’s sales in the next three months within 10% of the realized value, with 7.3% of the mean squared error attributable to bias and the remaining 92.7% attributable to noise.
This project is a collaboration with Corner to Corner to study the impact of their entrepreneurship training course on financial stability. Corner to Corner, a Nashville-based nonprofit, is focused on their mission of helping their neighbors to flourish and addressing the racial wealth gap. One of their primary programs is The Academy, a 10-week entrepreneurship training course that teaches students the fundamentals of starting and operating their own business.
This experiment tests the impact of a program with the main goal of helping firms to attract new customers, expand markets, adapt their business model, and bounce back from the COVID-19 pandemic by boosting demand for their products.
Do capital grants improve microenterprise productivity? We use the lens of a production function to re-examine two previous randomised controlled trials that allocated capital to microenterprises. We find that productivity is higher for treated firms, and accounts for about 20-30 percent of the revenue effects of capital grants. Although long-run estimates are noisy, point estimates indicate that these productivity effects are sustained six years after the grants.
This paper studies the medium-term impacts of the Skills for Effective Entrepreneurship Development (SEED) program, an innovative in-residence 3-week mini-MBA program for high school students modeled after western business school curricula and adapted to the Ugandan context.
Prior research suggests that firms in entrepreneurial settings benefit from a scientific approach to decision making that combines cognitive and evidence-based components. But to what extent and under what conditions is the scientific approach to decision-making associated with superior performance?
The model shows that managers and entrepreneurs make better decisions under uncertainty if they adopt a scientific approach in which they formulate and test theories.
This trial measures the impact of an edutainment program specifically designed to promote entrepreneurship among young adult viewers in Egypt.
This study investigates the extent to which training can be remotely taught to small groups via Zoom sessions, with a sample of female microenterprise owners recruited from throughout Mexico and Guatemala.
This trial proposes to evaluate a model for scaling up affordable access to effective STEM education through national online education platforms.
This trial investigates the best way to help agents perform better, as firms providing products and services to low income Base of the Pyramid (BOP) customers are increasingly utilizing independent contractor agents rather than employees in their distribution models.
Identifying the most promising business ideas is key to the introduction of novel firms, but predicting their success can be difficult. It is argued that if entrepreneurs adopt a scientific approach by formulating problems clearly, developing theories about the implications of their actions, and testing these theories, they make better decisions.
This paper investigates the impact of management training programs on garment clusters in Vietnam and Tanzania.
The study is an impact evaluation of a training program that induced SMEs to adopt broadband connections, establish presence on online retail and potentially export their goods or services.
This paper asks to what extent firms are aware of readily available information on key competitor decisions, and how this information impacts firms’ strategic choices.
Expansion of e-commerce presents new opportunities for small and medium enterprises (SMEs) to enter broader market at lower costs, but the SMEs face barriers to growth after entry. To facilitate new entrants to overcome these barriers, this paper explores implementing a training program as a randomized controlled experiment with over two million new sellers on a large e-commerce platform.
We assess whether imperfect knowledge of labor regulation hinders job creation at small and medium-sized firms. We partner with a labor law expert in South Africa that provides information to local firms about major topics regarding labor regulation via newsletters and access to a specialized website. We randomly assign 1800 firms to receive free access to this information service for a 21-week period. Three-quarters of the firms offered the service took it up.
This study is a randomized controlled trial (RCT) on the effects of mentoring on SMEs in Norway. We aim to get a better understanding of firm development and dynamics in the presence of public interventions. Does mentoring affect firm performance and firm-survival? Does it matter what type of state aid a firm is granted; mentoring versus the financial equivalent of the service?
Does growth training help entrepreneurs to scale-up new ventures? This field experiment answers this question using a sample of 181 startup founders from the population of Singapore based entrepreneurs in 2017.
A classical approach to collecting and elaborating information to make entrepreneurial decisions combines search heuristics such as trial and error, effectuation, and confirmatory search. This paper develops a framework for exploring the implications of a more scientific approach to entrepreneurial decision making. The panel sample of our randomized control trial includes 116 Italian startups and 16 data points over a period of about one year.
This paper analyses the impact of a large scale randomized experiment that targets firm labor demand by supporting its recruitment practices.
This paper explores whether skills training in business performance and customer practices was a promising way to increase business outcomes among self-employed workers who operate small businesses in developing countries.
Unlike many other studies, this trial is an impact assessment of training programs that covered quality control and production management as the training topics in addition to entrepreneurship, marketing, and record keeping.
This study conducted two randomized controlled trials to evaluate the effect of mindset-oriented business trainings on the performance of women-owned micro and small enterprises in Ethiopia.