Entrepreneurs and Evolutionary Biology: The Relationship between Testosterone and New Venture Creation

Abstract

Attempts to discover individual differences related to entrepreneurial behavior have had limited success and even less acceptance amongst management scholars. Taking a different approach this study explores the relationship between a heritable biological characteristic of the individual, testosterone level, and prior entrepreneurial experience. Such a relationship is consistent with evolutionary psychological theory. The evidence from this study supports the theory. As hypothesized, higher testosterone levels are associated with prior new venture start-up experience, both directly and mediated by psychological disposition towards risk.

Keywords: Entrepreneurship

JEL Classification: M13