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Purpose

To critically assess how higher education institutions (HEIs) in the United Arab Emirates (UAE) implement entrepreneurship education (EE) amid strong national policy support, and to theorise why available resources are not fully mobilised. We theorise a mechanism of resource activation constraints and extend the resource-based framework by incorporating contextual challenges as a moderating dimension that shapes resource deployment in policy-driven contexts.

Design/methodology/approach

A qualitative multiple-case study using semi-structured interviews with 32 enterprise educators and 12 senior administrators across five UAE HEIs (April–May 2023), complemented by secondary analysis of UAE entrepreneurship and SME policy documents (January 2022–April 2023). Data were analysed using template analysis.

Findings

We identify policy–practice variation and theorise resource activation constraints, in which VRIO-consistent resources (e.g. incubators, labs, partnerships and faculty expertise) remain underutilised due to accreditation structures, faculty turnover in a transient labour market, inconsistent depth of industry linkages and a fast-scaling entrepreneurial ecosystem. Public HEIs benefit from state-backed infrastructure, whereas private HEIs face greater complexity in resource coordination. Experiential pedagogy and industry engagement are unevenly enacted.

Research limitations/implications

Qualitative evidence from five HEIs limits generalisability but provides analytical insights to refine RBV applications in higher education.

Practical implications

HEIs and policymakers should prioritise faculty development that combines academic and entrepreneurial experience, embed incubators within institutional strategy, strengthen long-term industry linkages and enhance alignment between accreditation frameworks and experiential EE delivery to improve resource activation. Addressing these contextual constraints enables closer alignment between EE provision and national economic priorities.

Social implications

By informing EE policy and institutional practice, the findings support SDG 4 (quality education) and SDG 8 (decent work and economic growth) by strengthening capacity for youth enterprise development in the UAE and the Gulf region.

Originality/value

The study extends the resource-based framework by incorporating contextual challenges as a moderating dimension that explains how institutional and environmental factors shape the organisation and utilisation of resources, thereby offering a transferable lens for policy-led and institutionally constrained higher education systems, including those in rapidly reforming Gulf and emerging-economy contexts.

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