FROM SHORTLISTING TO REJECTION: THE ROLE OF AI IN PITCHING OUTCOMES OF NIGERIAN YOUTH ENTREPRENEURS

Abstract

Background: Despite the increasing availability of grants and early-stage financing opportunities for youth entrepreneurs in Nigeria, a lot of them never make it past the pitching stage. So far research has concentrated predominantly on finance access and entrepreneur characteristics, and less so on pitching procedures and investor confidence with the latter being increasingly influenced by artificial intelligence (AI) in the context of pitching outcomes.

Aim: In this study, we explored the effects of quality of pitch preparation and entrepreneur pitch competence on pitching success for young Nigerian entrepreneurs, with the investigation that investor confidence as mediator, and artificial intelligence capability as moderator.

Setting: Based on the principles of pitching theory and an entrepreneurial signaling lens, the study concentrated on Nigerian youth entrepreneurs who have been involved in grant competitions, accelerator programmes, or investor pitch sessions.

Methods: The study employed a quantitative research design. Data were collected by a structured questionnaire survey of young entrepreneurs, of which 637 valid questionnaires were obtained after data screening. Partial Least Squares Structural Equation Modelling (PLS-SEM) was applied to examine the proposed relations of pitch preparation quality, pitching competence, artificial intelligence capability, investor confidence, and pitching outcomes.

Results: Results show that the quality of pitch preparation and pitching ability significantly increase investor confidence, which in turn has a strong positive impact on pitching success. Artificial intelligence capability also positively moderates the effects of the quality of preparation of a pitch on investor confidence and of the pitching competence on investor confidence.

Conclusion: The research shows that rejection at the pitch level is in many cases a consequence of poor preparation, poor delivery, or poor credibility signaling rather than a dearth of novel concepts. Preparation augmented by AI may increase investor trust and funding opportunities.

Contribution: This study contributes to the literature on entrepreneurship and technology by identifying investor confidence as a key mechanism through which pitching capabilities influence funding outcomes and by showing that AI enables entrepreneurial pitching.