The Role of Cognitive Style in Influencing Entrepreneurial Self-Efficacy and Subsequent Entrepreneurial Intention

Abstract

Cognitive style has been largely acknowledged to highly contribute to explaining variances in individuals’ behavior. However, very few researchers studied the role of cognitive style in influencing entrepreneurial self-efficacy along the entrepreneurial intention process. Therefore, the purpose of this research is to study how differences in preferences towards linear, non-linear and balanced thinking style would affect individuals’ self-perceptions towards entrepreneurial self-efficacy and subsequent intentions to create a new business. This study’s findings reported that non-linear thinking style is negatively correlated to entrepreneurial self-efficacy which subsequently affects entrepreneurial intentions negatively. While linear thinking style was positively correlated to entrepreneurial self-efficacy which in return affects entrepreneurial intentions positively. Moreover, thinking style balance was found to be positively correlated to entrepreneurial self-efficacy that exceeds the magnitude of the Linear-Entrepreneurial Self-Efficacy relationship which subsequently affects intentions positively. Furthermore, the relationship between entrepreneurial self-efficacy and entrepreneurial intentions had higher significance and was stronger in effect for individuals with balanced thinking style than for those with linear and non-linear thinking style.