Lord Sugar also had strong words for parents.
He suggested they were over generous to their offspring, something that dampened down the desire to succeed.
"In this day and age the kids have got nike blazers low sale trainers, an iPod, PlayStations, all handed on a plate to them.
"The parents have got themselves to blame."
Lord Sugar, who founded the Amstrad computing business and is now best known for his Apprentice reality TV programme, is guest editing the Radio Times.
He said some young people had unrealistically high expectations and expected nike blazers to be like the co-founder of Facebook, Mark Zuckerberg.
Lord Sugar said: "Too many young people think you have to be another Zuckerberg, or whatever his name is... it's either billions or nothing.
"That's not the case. He's a one-in-a-trillion example, and while it's worth aspiring to be him, the reality is that you are not going be able to do that.
"Forget it. Youngsters need to focus on more practical things... starting a business from scratch."