A lack of motivation is the main reason why more promising entrepreneurs don’t succeed.
These are the findings from Professor Christian Linder from ESCP Business School and Professor Michael Nippa at Free University of Bozen-Bolzano.
It is the main reason why budding entrepreneurs fail to turn a good idea into a successful business venture, with the researchers noting that “even if budding entrepreneurs passionately believe that their new business ventures have potential, many of them seem to give up while only a few act on their intentions and implement their ideas.”
There are a number of factors as to why people don’t persist with potentially successful initiatives; these can be as wide and varied as the impact of social relationships, your ability and willingness to take risks, as well as past experiences. All of these affect how long people stay motivated in the early stages of business and potentially hinder success, rather than the skills and capabilities of the individual.
The findings, which come from a conceptual model that was tested using data from the Panel Study of Entrepreneurial Dynamics (PSED II) found that motivation is a complex idea; the forces behind it can be difficult to determine.
The research continues to say that the continuous ambition of an individual to succeed could be based on biological, social, emotional or psychological influences, all of which are vital when starting out a new business.
Of the way past experience shapes the ability to succeed, the researchers said: “In comparison to personal capabilities, past experience will play an important role in an individuals’ perception of how suitable their environment may be when starting a new business and will therefore modify an entrepreneur’s hope for success.”
Results from the study have been published in the International Entrepreneurship and Management Journal, providing key insights into the challenges.