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Honoring the life and legacy of Michael J. Driver, 1936-2004
Edited by Suzanne C. de Janasz
This investigation compares factors influencing entrepreneurial intention in the US and Ireland. Most of our current understanding of the entrepreneur derives from research done in the US, and it is unclear how applicable these findings are to other cultures. Even though Ireland has become economically vital in the last decade, much of its financial upsurge has come from foreign (particularly US) businesses taking root there, not from indigenous entrepreneurial activity. Ireland's culture and history are intertwined with, yet distinct from, those of the US. Exploring how each culture defines and values entrepreneurship can illuminate our understanding of how and why individuals become entrepreneurs.
Background
Definition of entrepreneurship
Following Low and MacMillan's definition of entrepreneurship as "creation of new enterprise" ([22] Low and MacMillan, 1988), we define entrepreneurial intention as the intention to start a new business.
Predictors of entrepreneurship: personality traits
Personality traits have proven to be intriguing but imperfect predictors of many aspects of entrepreneurship including intending to start a business, starting a business, succeeding in running a business, and corporate intrapreneurship ([31] Shaver and Scott, 1991). In this study we test the predictive value of three characteristics frequently associated with entrepreneurs and entrepreneurship: achievement motivation, tolerance for ambiguity, and personal efficacy.
Achievement motivation
According to David McClelland's influential The Achieving Society , achievement motivation is critical to economic development and progress ([23] McClelland, 1961). Achievement motivation has been singled out as the most prevalent predictor of entrepreneurship ([3] Babb and Babb, 1992). Some studies have found a positive relationship between achievement motivation and entrepreneurial behavior ([31] Shaver and Scott, 1991). Others have found no connection ([4] Bonnett and Furnham, 1991).
Risk and ambiguity tolerance
In founding a new venture, the entrepreneur risks financial failure and possible embarrassment. If the venture succeeds, the entrepreneur stands to gain wealth, independence, and a sense of accomplishment. Given the extent of risk involved, it is reasonable to assume that tolerance for risk is more common among people choosing to become entrepreneurs. The literature, however, does not support risk taking as characteristic of entrepreneurs ([22] Low and MacMillan, 1988). The lack of consistency in the research on risk taking among entrepreneurs may...