personality continued Flashcards
Despite research efforts, the evidence is less conclusive
Herron and Robinson (1993)
personality of individuals explains their …..
actions
’ a drive to excel’
a desire to do well for the sake of an inner feeling of personal accomplishment
Takes into account the…..
percieved risk of the situation and the percieved level of competence
Prospect of achievment satisfaction, not money
which drives the entrepneuer
Individuals who are high achievers will choose a situatuion charachterised by
individual responsibilty
Moderate risk taking
Knowledge of results of decisions (seek feedback)
n.Ach uses unsound methadology
Thematic apperception test
Studies persaonlity traits on ventures growth amongt 168 Chinese entrpereneurs in SMEs in Singapore, partial least squared model. Find experience, networking activities positively effect venture growth. Also find locus of control and n.ach but less of an effect
Lee and Tsang (2001)
Begley and Bond (1987)
found that there was little relationship between psychological attributes and financial alternatives
Traits are janus-faced, have complementary facets that are less positive
Energy, passion, optimism–> overconfidence
Self efficay, self-confidence–> hubris and narcissimsm
N.ach and power–> ruthlessness and agressivness
Independence and autonomy–> Social difference
Need for control, dominance–> obessive behaviour, mistrust, suspicion
percieved context
Knowledge and situational factors, found to be mroe important determinants of risk-taking than personality traits
Schere (1982)
Entrpeneuers keep an open mind
Respond quickly to change
Individuals with high TFA
Desirable and challenging –> complex situations
Evidence on locus of control
internal locus of control and n.Ach are postively associated
Low to moderate correlation between internal control and entrepeneurs
Few detected differences beteween etnrpeneurs and managers
Locus of control concept has been abandoned in pshycology
Socialisation process in childhood determines personal attributes
Entrpenurial behaviour is result of negative charachteristic and drives
Financial beneifts do not always lead to personal satisfaction and personal hapiness
Entrepeneurs are ‘special people’
Schumpeter (1934)
Critque of the deviant perspective
– Lack of empirical evidence to support this view
– Only covers some motivations for starting a business
– Other social pressures to start a business not considered
– ‘Deviants’ are found throughout society: no reason to believe that proportionally more are found in business ownership
– Entrepreneurs can come from emotionally and financially stable families
– Parents can act as role models (i.e., family firms)
• Entrepreneurs are propelled by feelings of:
– Poor self-esteem, insecurity, lack of self-confidence and an inability to fit into an organization
Studies show that personality is not the main reason people become entrepreneurs.
More to do with
social context/family background/education/work experience/issues of financial/social capital are more influential.
• Socio-economic factors considered
- social class
- family composition and background
- parental background
- Heuristics - short-cuts that entrepreneurs use to make strategic decisions.
- Knowledge structures (prior knowledge leveraged)
- Intrinsic motivation (interest and enjoyment and not to get an external reward)
- Self-efficacy (beliefs about one’s capabilities to achieve a goal)
• Cognitive models have been presented to explain the behaviour of entrepreneurs (Delmar, 2000):
• Practitioners can address attitudinal barriers
– females, ethnic minorities, young people, people in depressed communities
– Training for enterprise programmes throughout the world provide ‘Motivation Modules’ to develop the entrepreneurial aspirations and motivations of trainees
