Need for achievement, business goals, and entrepreneurial persistence

Abstract

Purpose The purpose of the study is to employ the need theory to investigate whether a need for achievement has an effect on persistence behavior among entrepreneurs, and whether a need for achievement and business goals interact to influence such persistence. Design/methodology/approach A longitudinal study of nascent entrepreneurs was conducted by a field survey in a metropolitan area of a mid‐western state in the USA. Logistic regression was used to test the hypotheses. Findings Need for achievement is found to be positively related to entrepreneurial persistence. Business goals are found to moderate the relationship between need for achievement and persistence. Research limitations/implications The time span between the two waves of data collection in the longitudinal study might have been too short. Practical implications This study highlights the importance of matching need for achievement and business goals. For complex tasks, a strong need for achievement should be accompanied with moderate business goals if persistence is to occur. Venture capitalists and government agencies can improve entrepreneurial success by keeping a close eye on the match. Originality/value Few studies have explored the issue of entrepreneurial persistence. The present study contributes to a better understanding of motivation and other variables that influence entrepreneurial persistence.