Business and Management INK

Why Entrepreneurs Are Less, Not More, Stressed Out

July 25, 2013 704

Entrepreneurs aren’t the stressed-out workaholics we imagine them to be. In fact, a new study published in the Journal of Management finds that they experience less stress than the average worker. Why? Because they are psychologically better equipped to handle stressful situations:

While creating and running new ventures, entrepreneurs are exposed to conditions known to generate high levels of stress (e.g., rapid change, unpredictable environments, work overload, personal responsibility for others). Thus, it has been assumed that they often experience intense stress. A markedly different possibility, Untitledhowever, is suggested by Attraction-Selection- Attrition (ASA) theory. This perspective suggests that persons who are attracted by, selected into, and persist in entrepreneurship may be relatively high in the capacity to tolerate or effectively manage stress. In contrast, persons who are relatively low in this capacity tend to exit from entrepreneurship either voluntarily or involuntarily. As a result, founding entrepreneurs as a group are predicted to experience low rather than high levels of stress while running new ventures. Results supported this reasoning: Founding entrepreneurs reported lower levels of stress when compared to participants in a large national survey of perceived stress. Additional findings indicate that entrepreneJOM_v38_72ppiRGB_150pixWurs’ relatively low levels of stress derive, at least in part, from high levels of psychological capital (a combination of self-efficacy, optimism, hope, and resilience). Psychological capital was negatively related to stress, and stress, in turn, was negatively related to entrepreneurs’ subjective well-being. Furthermore, and also consistent with ASA theory, the stress-reducing effects of psychological capital were stronger for older than younger entrepreneurs.

Continue reading “Why Entrepreneurs Often Experience Low , Not High, Levels of Stress: The Joint Effects of Selection and Psychological Capital” by Robert A. Baron and Rebecca J. Franklin of Oklahoma State University and Keith M. Hmieleski of Texas Christian University, forthcoming in the Journal of Management and now available in the JOM OnlineFirst section. Read related research in the JOM Editor’s Choice Collections on entrepreneurship and work stress and health.

Business and Management INK puts the spotlight on research published in our more than 100 management and business journals. We feature an inside view of the research that’s being published in top-tier SAGE journals by the authors themselves.

View all posts by Business & Management INK

Related Articles

Challenging, But Worth It: Overcoming Paradoxical Tensions of Identity to Embrace Transformative Technologies in Teaching and Learning
Business and Management INK
March 27, 2024

Challenging, But Worth It: Overcoming Paradoxical Tensions of Identity to Embrace Transformative Technologies in Teaching and Learning

Read Now
Data Analytics and Artificial Intelligence in the Complex Environment of Megaprojects: Implications for Practitioners and Project Organizing Theory
Business and Management INK
March 21, 2024

Data Analytics and Artificial Intelligence in the Complex Environment of Megaprojects: Implications for Practitioners and Project Organizing Theory

Read Now
Putting People at the Heart of the Research Process
Business and Management INK
March 20, 2024

Putting People at the Heart of the Research Process

Read Now
Coping with Institutional Complexity and Voids: An Organization Design Perspective for Transnational Interorganizational Projects
Research
March 19, 2024

Coping with Institutional Complexity and Voids: An Organization Design Perspective for Transnational Interorganizational Projects

Read Now
Empowering David: How Smaller Firms Reconfigure National Dependency on Foreign Multinationals in the Era of Disruptive Technological Change

Empowering David: How Smaller Firms Reconfigure National Dependency on Foreign Multinationals in the Era of Disruptive Technological Change

In this article, Sonja Avlijaš, Pavle Medić, and Kori Udovički reflect on foreign direct investment (FDI) and the way it impacts the development of political economies.

Read Now
The Complexities of Making Key Career Decisions

The Complexities of Making Key Career Decisions

practice. Career decision-making is a process that is difficult to analyze because it is much more complex than selecting the best option in a one-off choice.

Read Now
Revolutionizing Management Research with Immersive Research Methods

Revolutionizing Management Research with Immersive Research Methods

In this article, Anand van Zelderen, Nicky Dries, and Elise Marescaux reflect on their decision to explore nontraditional research.

Read Now
0 0 votes
Article Rating
Subscribe
Notify of
guest

This site uses Akismet to reduce spam. Learn how your comment data is processed.

0 Comments
Inline Feedbacks
View all comments