Entrepreneurship is more celebrated, studied, and desirable than ever. Business school students flock to courses on entrepreneurship. Managers, fearful of losing their step on the corporate ladder, yearn to step off on their own. Policymakers pin their hopes for job creation and economic growth on start-ups rather than on the once-preeminent corporate giants.

A version of this article appeared in the November–December 1992 issue of Harvard Business Review.