Drawing on the theoretical analysis of the internal mechanism of e-commerce affecting the entry of new enterprises,this paper uses the quasi-natural experiment of national e-commerce demonstration city construction to explore the impact of urban e-commerce policies on entrepreneurship by using a multi-period difference-in-differences(DID)model.The results of the study indicate that the construction of e-commerce demonstration cities can significantly stimulate entrepreneurship,and the effect of this policy has a certain degree of sustainability.The mechanism test reveals that the construction of e-commerce demonstration cities mainly stimulates entrepreneurship among entrepreneurs and increases urban entrepreneurial activities through convenient financing mechanisms,market access expansion mechanisms and diversified supporting service mechanisms.The heterogeneity analysis indicates that the entrepreneurial effect of e-commerce demonstration cities is generally more significant in the sample of cities in the southern region,with strong market integration and a good business environment,and it exhibits different degrees of policy influence in different industries.The construction of e-commerce demonstration cities is also mainly based on the creative effect rather than the transfer effect of neighbouring cities to promote an increase in urban entrepreneurial activities.The paper's conclusion has clear policy implications and provides important practical insights for promoting government-related e-commerce policies and developing e-commerce that empowers industries.