Perceptions of Efficacy, Control, and Risk: A Theory of Mixed Control

Erik Monsen and Diemo Urbig

Chapter Chapter 12 in Understanding the Entrepreneurial Mind, 2009, pp 259-281 from Springer

Abstract: Entrepreneurship involves the establishment of new organizations and the development of new economic activities. Its consequences have not been experienced before and thus are rife with risk and uncertainty. Those who engage in such activities have consequently been considered as being willing to take on more risk and uncertainty than others. Empirical work, however, has demonstrated that entrepreneurs are not willing to take more risks than non-entrepreneurs (Busenitz and Barney 1997; Miner and Raju 2004; Palich and Bagby 1995; Wu and Knott 2006). Therefore, a corresponding difference in general risk propensity hypothesis is not supported by research findings. Alternatively, a difference in risk perception hypothesis has been suggested. In other words, even if entrepreneurs and non-entrepreneurs have similar risk preferences, entrepreneurs may perceive less risk by overestimating their chances for success (Baron 1998).

Keywords: Risk Perception; Collective Efficacy; Entrepreneurial Intention; Control Belief; Internal Locus (search for similar items in EconPapers)
Date: 2009
References: Add references at CitEc
Citations: View citations in EconPapers (8)

There are no downloads for this item, see the EconPapers FAQ for hints about obtaining it.

Related works:
Working Paper: Perceptions of Efficacy, Control, and Risk: A Theory of Mixed Control (2009)
This item may be available elsewhere in EconPapers: Search for items with the same title.

Export reference: BibTeX RIS (EndNote, ProCite, RefMan) HTML/Text

Persistent link: https://EconPapers.repec.org/RePEc:spr:inschp:978-1-4419-0443-0_12

Ordering information: This item can be ordered from
http://www.springer.com/9781441904430

DOI: 10.1007/978-1-4419-0443-0_12

Access Statistics for this chapter

More chapters in International Studies in Entrepreneurship from Springer
Bibliographic data for series maintained by Sonal Shukla () and Springer Nature Abstracting and Indexing ().