PERSONALIT

Y TRAITS
Presented by Group 3
Research in the mid-20th century tried to
integrate research frameworks for
entrepreneurial studies in the areas of
economics, psychology, sociology, and
business management. The aims include
defining an entrepreneur, their motivations,
and personality traits. Subsequent work,
however, encountered conceptual difficulties
and inappropriate measuring tools
The Big Five
Personality
Traits
Historically, the Big Five
personality traits or the Five
Factors Model (FFM) have
their early beginning from
the Hippocratic
temperament -
sanguine, phlegmatic,
choleric, and
melancholic
Sanguine type closely relates to emotional
stability and extraversion, the phlegmatic
type is stable but introverted, the choleric
type is unstable and extraverted, the
melancholic type is unstable and
introverted (Musek, 2017).
Francis Galton (1884) first
investigated the Hippocratic
temperament with the hope
that a complete taxonomy will
define personality traits.
 Gordon Allport in 1936 hypothesized that
personality traits were observable and relatively
permanent traits. Subsequently, systematic research
of the Big 5 conducted from the 1940s ended
temporarily in the 1960s to 1970s. The Big-5 regained
acceptance in the early 1980s upon the works of
Lewis Goldberg, Naomi Takemoto-Chock, Andrew
Comfrey, and John Digman and by personality
researchers in the 1980s.
In the 1980s, researchers used the Big-
5 to compare the traits of
entrepreneurs to either employed
workers or the general population and
identify the traits that define
entrepreneurship as a group.
Researchers measured openness,
consciousness, agreeableness,
extraversion, and neuroticism (Kerr, S;
Kerr, W; and Xu, T, 2017)
Openness to experience describes the
breadth, depth, originality, and
complexity of an individual's mental and
experimental.

Conscientiousness describes socially

prescribed impulse control that
facilitates task- and goal-oriented
behavior..
Extraversion defines an energetic approach toward
the social and material world and includes traits such
as sociability, activity, assertiveness, and positive
emotionality.

Agreeableness contrasts a pro-social and communal

orientation toward others.

Neuroticism - contrasts emotional stability and

even-temperedness with negative emotionalities,
such as feeling anxious, nervous, sad, and tense.
 DIFFERENCES
BETWEEN
ENTREPRENEURS
AND MANAGERS
Entrepreneurs and managers are
comparable since both groups direct
workers and manage multiple tasks. In a
meta-analysis of 23 studies from 1970 to
2002 in a variety of countries, Zhao and
Seibert (2006) find entrepreneurs to be
more open to experience, more
conscientious, similar for extraversion, less
agreeable, and less neurotic.
Attraction-selection-
attrition model (Schneider,
1987)-workers wanted jobs
whose demands and
opportunities match their
talents, motives, and
personality traits.
 Differences across
Entrepreneurial Population
IT IS WORTH NOTING THAT THE VARIATION ACROSS
INDIVIDUAL STUDIES WAS DUE TO THE SMALL SAMPLE SIZES
(ENVICK AND LANGFORD, 2000; ANTONCIC ET AL., 2015),
THEREFORE DOES NOT REFLECT THE NORMAL VARIATION.
BUT SMALL SAMPLE SIZES ARE NOT THE ONLY ISSUE AS THE
PATTERNS IN META-ANALYSES LIKE (ZHAO AND SEIBERT, 2006;
ZHAO ET AL., 2010) OVERLAP AND ALSO NOT FULLY
CONGRUOUS.
 Relationship between
Big-5 and Self-Efficacy
Barrick and Mount (1991) stressed that
individuals with high openness to experience
may have positive attitudes toward learning
experiences. Zhao, Seibert, and Lumpkin
(2010) argued that "successful entrepreneurial
performance has a disposition towards new or
unusual ideas, values, and actions
Hence, less open individuals
would tend to be conservative,
preferring routines and status
quo. Hence, unfavorable to
entrepreneurial activities.
Individuals with self-efficacy (SE) are
creative, ingenious, and have the
capacity to discover innovative
things, therefore, openness to
experience may positively associate
with SE (Ames and Runco, 2005).
Express symbolically as OFSE
Agreeableness is the trait of being cooperative,
considerate, tender, trusting, accommodating,
and empathetic, whereas a disagreeable
individual is uncooperative, suspicious,
egocentric, self-centered, skeptical towards
others' intentions, and manipulative (Costa,
McCrae, 1992)
Conscientiousness is a multidimensional
personality trait that integrates achievement
orientation, dependability, and orderliness.
Conscientious persons characterize organization
and efficiency (McCrae and Costa, 1997
Innovativeness refers to how
individuals respond to new things
(Goldsmith and Foxall, 2003). It is
either a global or domain-specific
personality trait or a behavioral
concept such as the adoption of
new products by consumers
Extraverted people are enthusiastic,
cheerful, assertive, energetic, sociable,
and seek opportunities for enthusiasm
(Barrick et al., 2003; Costa and McCrae,
1992)

Introverts prefer to be unaccompanied,

are discreet, smooth, and characterized
by a lack of societal interest.
Neuroticism depicts people who suffer
from anxiety, depression, impulsiveness,
hostility, vulnerability, and self-
consciousness (Costa and McCrae, 1992).
 Big 5 and Entrepreneurial
Intention
The Big-5 traits may also determine
entrepreneurial intentions.Antoncic et al.
(2015) conducted 62 face-to-face interviews at
firms through 501 questionnaires at
educational institutions, classifying people into
four groups:
1. practicing entrepreneurs who already own a
firm (30.2% of responses);

2. potential entrepreneurs who intend to

establish their own firm in the following three
years (9.9%);
3. maybe-entrepreneurs who might establish
their own firm in the future (46.7%); and

4. non-entrepreneurs who never intend to set

up their own firm (13.2%).
Correlates of Self-
efficacy and other
Traits
Self-efficacy describes a person's "belief to perform
tasks and fulfill roles, and affect expectations, goals and
motivation" (Cassar and Friedman, 2009). High self-
efficacy (SE) correlates with work-related performance
(Stajkovic and Luthans, 1998), career choice (Lent and
Hackett, 1987), and small business growth (Baum and
Locke, 2004). Measured on two levels of specificity, self-
efficacy is either generalized or domain-specific the
latter constitutes entrepreneurial self-efficacy (ESE). It is
also a composite of five skills: innovation, risk-taking,
marketing, management, and financial control
(Chen et al., 1988).
Innovativeness refers to how
individuals respond to new things
(Goldsmith and Foxall, 2003). It is
either a global or domain-specific
personality trait or a behavioral
concept such as the adoption of new
products by consumers
Kickul and Gundry (2002) analyze the
relationship between 107 small-firm owner-
managers' strategic orientation, personality, and
innovation. They adopt the Miles and Snow
strategic orientation typology which divides
business strategies into prospector, defender,
analyzer, and reactor strategies. Kickul and
Gundry (2002) find that the prospector's
strategic orientation mediates proactive
personality and three types of innovations:
innovative targeting processes, innovative
organizational systems, and innovative boundary
supports.
The proposal for the concept of
prospector strategy. The concept
means constantly seeking new
markets and opportunities and
consists of three types:

1) a defender strategy concentrates

on protecting current markets and
maintaining stable growth;
2) an analyzer strategy both try to maintain
market share and seek new market
opportunities; and

3) reactor strategy who cannot anticipate or

influence events in the environment (Bandura,
1997; Forbes, 2005). Scholars were reluctant to
pursue further studies on prospector strategy
possibly for limited publication on this area
Cassar and Friedman (2009) compared
nascent entrepreneurs in the start-up phase of
new ventures with a control group drawn from
the general working-age population. The Panel
Study of Entrepreneurial Dynamics (PSED)
defines a nascent entrepreneur as anyone
who is currently trying to start a new business,
expects to be an owner or part-owner of the
firm, and active in doing so for the past 12
months.
 CORRELATES OF
INTERNAL LOCUS
OF CONTROL
Locus of Control (LOC) is an
important feature of
entrepreneurship literature.
People with internal LOC have
control of their own decisions.
BARRICK AND MOUNT (2005) CLAIM THAT SPECIFIC TRAITS
OF LOC RELY ON THE CONCRETE DESCRIPTION OF
ENTREPRENEURIAL ACTIVITIES THAT MAY VARY IN TIME,
PLACE, AND ROLE. HENCE, SPECIFIC CHARACTERISTICS
SUCH AS RISK TOLERANCE, NEED FOR ACHIEVEMENT, OR
LOCUS OF CONTROL PREDICT ENTREPRENEURIAL
PERFORMANCE BETTER THAN THE BIG FIVE
 MUELLER AND THOMAS (2000) FIND THAT COUNTRIES
WITH MORE INDIVIDUALISTIC CULTURES (AS OPPOSED TO
COLLECTIVIST CULTURES) SHOW GREATER INTERNAL LOC
AND THAT LOC AND INNOVATIVENESS ARE BOTH LEARNED
TRAITS. THE STUDY BY TAJEDDINI AND MUELLER (2009)
CONFIRMS THIS CULTURAL VARIATION SAYING THAT LOC IS
HIGHER IN BRITISH ENTREPRENEURIAL POPULATIONS THAN
SWISS ENTREPRENEURIAL POPULATIONS IN THE HIGH-TECH
INDUSTRY.
 IN CROSS-SECTIONAL STUDY, KORUNKA ET AL. (2003)
FIND THAT AUSTRIAN ENTREPRENEURS DEFINED AS
COUPESSFUL NEW OWNER-MANAGERS" HAVE A STRONG
INTERNAL LOC COMPARED TO "NASCENT
ENTREPRENEURS." GÜROL AND ATSAN (2006) FIND
THAT TURKISH STUDENTS ARE MORE ENTREPRENEURIALLY
INCLINED TO HAVE HIGHER LOC.
CORRELATES OF
NEED FOR
ACHIEVEMENT
 THE NEED FOR ACHIEVEMENT
ALLUDES TO AN INDIVIDUAL'S DESIRE
TO ACCOMPLISH NOTEWORTHY AND
CHALLENGING BUSINESS GOALS
NEED FOR ACHIEVEMENT (NACH) IS A
CONCEPT BASED ON THE "ACQUIRED
NEED THEORY" (NEED GAINED
THROUGH EXPERIENCES IN LIFE) OF
MCCLELLAND (1985) CONSIDERED AS
THE DOMINANT NEEDS THAT
INFLUENCE INDIVIDUAL ACTIONS IN A
WORK SETTING.
 DOES ANYONE
HAVE QUESTIONS?
THANK
YOU