This argument is also commonly made in the context of the pool from which companies search for candidates to hire.<p>The problem with both situations (VC&#x2F;entrepreneurs and employers&#x2F;employees) is that there&#x27;s a cost associated with evaluating a candidate.<p>I don&#x27;t think anyone doubts that good opportunities (and candidates) exist at all at lower tier schools, but it seems very likely that there are fewer of them.<p>If your resources are already constrained by something other than the number of opportunities you can afford to fund&#x2F;hire (e.g. time to evaluate&#x2F;interview), then it doesn&#x27;t make sense to expand your search if it means lowering your success rate.