This paper attempts to investigate whether young graduates possess the leadership style that is pre-requisite to become entrepreneur. The paper further examines the role of higher education towards the desire of new venture creation among young graduates in developing economies specially. This study analyzed the response of 225 final-semester students at different universities in Islamabad, Rawalpindi and Lahore. A questionnaire based survey instrument was used. Result of the present study shows that education and new venture creation are positively and significantly correlated. The results further indicate that all variables used in this study are significantly correlated with intention to create a new venture. The limitation of this study is that it includes business and economics discipline students only. Further studies may investigate and examine the possibilities of similar outcomes among students of other disciplines including science, engineering, medicine, agriculture and law etc. The present study will, however, provide insight to future policy makers and planners to consider strategies for optimally utilizing the expertise and potentials of the young graduates. The academicians, educators, and university authorities have rethink what to teach? How to teach? In order to effectively prepare-young generation for the forthcoming challenges.