Positive mindset and entrepreneurial outcomes: the magical contributions of psychological resources and autonomy

Abstract

This paper applies self-determination theory (SDT) and psychological capital literature to examine the impact of psychological capital and autonomy on a number of entrepreneurial outcomes including entrepreneurs’ income, satisfaction, meaning in life, and commitment to the entrepreneurial career path. The results from two studies reported in this paper support the proposition that a positive mindset (consisting of psychological resources) and a feeling of autonomy are essential for entrepreneurial success. We also found that entrepreneurs’ satisfaction mediates the effects of psychological capital, autonomy, as well as their interaction effects on commitment. In addition, the effects of psychological capital and autonomy on satisfaction were also moderated by level of income. The results have implications for entrepreneurship training and support interventions. The implications for research are also discussed