Small Business Owner-Managers and Corporate Managers: a Comparative Study of Achievement Motivation, Risk Taking Propensity and Preference for Innovation

Despite the economic significance of entrepreneurship, relatively little is known about the entrepreneur, particularly how the entrepreneur differs from the corporate manager. This problem is both cause and symptom of the discord regarding definitions of the entrepreneur, rendering sampling, research replication and generalizations about entrepreneurs problematic. As a result, inquiry has failed to adequately establish how entrepreneurs differ from managers, a problem partially stemming from a dearth of methodologically rigorous comparisons of entrepreneurs with managers. The primary purpose of this study was to investigate the potential of psychological constructs to predict a proclivity for entrepreneurship. Moreover, differences in types of small business owner-managers were also investigated. Included in the research model were three common themes in the entrepreneurship literature: achievement motivation, risk taking propensity and preference for innovation. Also incorporated were the interactions of the psychological constructs, as well as individual and firm demographic variables