Market Validation as a Pedagogical Strategy for Developing Entrepreneurial Competences in Higher Education

Abstract

Entrepreneurship education in higher education is increasingly expected to demonstrate not only student engagement but also credible evidence of competence development through pedagogical approaches that connect theory, action and reflection. However, empirical research remains limited regarding how specific experiential practices – particularly market validation – contribute to competence development and how such learning can be meaningfully assessed. This paper examines the educational value of a market validation activity implemented within a course unit in Entrepreneurship and Digital Innovation at a Portuguese higher education institution. The course is structured as an integrated learning pathway through which students progress from opportunity identification and idea presentation to prototype development, market validation and business model design. The study aims to analyse how market validation contributes to the development of entrepreneurial competences and to explore its potential as an authentic assessment mechanism. A mixed-methods case study design was adopted, combining quantitative, qualitative and performance-based evidence. The study was conducted within an Entrepreneurship and Digital Innovation course involving 72 undergraduate students. Data sources included a questionnaire completed by 37 students, two focus groups involving 14 students, and the analysis of market validation reports, prototypes and business model proposals as performance-based evidence of entrepreneurial competence development. The findings show that market validation supports entrepreneurial attitudes, knowledge and skills, particularly responsibility, collaboration, feedback use and evidence-based decision-making. Direct interaction with potential users, exposure to uncertainty and reflection on customer feedback emerged as key learning mechanisms. The study shows that market validation can function both as an experiential learning strategy and as an authentic assessment tool, providing observable evidence of entrepreneurial competence development.