Incubators and Accelerators as Illusionary Leaders for Equality in Entrepreneurial Ecosystems

A small but growing body of research investigates issues pertaining equity, diversity and inclusion (EDI) in entrepreneurial ecosystems (EEs). While studies in the broader entrepreneurship literature suggest that barriers for women and underrepresented groups exist profoundly at the early stages of new venture creation, there is limited understanding as to how ecosystem actors and interactions contribute to these. We present findings from a critical discourse analysis of the websites of 176 Canadian business incubators and accelerators (BIAs) that show the effects of a power struggle of these organizations to cater to multiple stakeholders on EDI in the EE. Specifically, we find that BIAs create discursive practices that position them as what we label illusionary ecosystem leaders. While using language to show leadership in addressing entrepreneurs and external stakeholders, they largely follow institutional pressures present in the EE, making their leadership illusionary. We develop a theoretical model of the impact on systemic inequalities of the discursive practices, contribute to the literature on EDI and leadership in EEs, and discuss implications for management.