m entrepreneurswho “do well by doing good.

ductive and heroic en-trepreneurs (Baumol, 1990; Davidsson and Wiklund, 2001) have been characterized as leading enterprises that contribute positivelyto the economy or society. Caring about impact of the business on the well-being of others is fundamental to formulating the virtuousentrepreneur. Such thinking calls for specification of the relevant others that need to be considered. Employees within the newbusiness venture are an obvious focus, but also important are how entrepreneurs impact their own families and the communities inwhich they reside.

hese core virtues are then supported by other specific virtues, which include courage, self-confidence,toughness, and self-reliance.

inesswill not be achieved if pursued as an end in its right; rather, happiness is a by-product of other more noble deeds. In the en-trepreneurial context, these more noble deeds presumably include caring about more than one's own self-gratification and profit as the business creator.

Virtue, as elaborated in Aristotle's Ethics, is fundamentally tied to how one functions in the community withinwhich one is embedded, whereas vicious evokes a way of behaving toward others that brings damage and harm. It is

central point in elevating these contrasts is not to moralize, but rather to draw attention to the impact of these types of leaders on theeudaimonia of others (see Ryff, 2018). Stated otherwise, in both the traditional business world and in the entrepreneurial field, it iscritical to address the how the actions, motives, and priorities of those at the top impact the well-being of those who sitting belowthem in pervasive societal hierarchies

Pleasure can also be tied to pathological needs, such as the sadistic gratification gained from inflicting pain on others.

daimonic well-being has been found to buffer against age-related increments in sleep disturbances across time (P

se with higher levels ofpurpose in life have been found to engage in more protective health behaviors (cancer screenings, cholesterol tests, flu shots)

erhaps among some necessity entrepreneurs who lack educational advantage, there are individualswho nonetheless derive notable purpose from what they do. If so, they may show similar health protective benefits as those foundabove

udaimonic well-being is relevant as a buffer or moderator of entrepreneurial stress. S

epreneurialpursuits truly nurture eudaimonia because self-initiated work is a core forum for realization of personal talents and potential, notablebenefits may accrue in the physical health and longevity of the entrepreneu

trepreneurial stress, high workloads and high business risk impact the en-trepreneur's health (e.g., anxiety, doctor visits), and how the health of the entrepreneur impacts subsequent entrepreneurial action

Experiencing high levels of well-being (eudaimonic or hedonic) does not guarantee that one is leading a good life. Sadly, humanhistory offers horrific examples of purposefully engaged individuals whose mission was to annihilate whole groups of other people.

Those with higher profiles of purpose live longer (Boyle et al., 2009; Cohen et al., 2016; Hill and Turiano, 2014), and they havereduced risk of multiple outcomes:

dback loops in which self-realization and growth beget further self-realization and growth vi

ly experiences of core elements of eudaimonia such ashaving sense of purpose and meaning, feelings of mastery, and a perception of continuing self-realization and growth vis-à-vis thestresses of managing a self-initiated business. These daily experiences of eudaimonia may also predict differences in who frames dailystresses as challenges or hindrances.

indrance stressors reduced entrepreneurs daily well-being because of increased rumination, whereas challenge stressors in-creased entrepreneurs' well-being f

istence, commitment, and effectiveproblem solving are undoubtedly key assets, along with how stresses are construed. However, overarching levels of purpose,meaning, mastery, growth, and autonomy also likely nourish, and are nourished by, such qualities. See

Once into the entrepreneurial endeavor, when the realities of long working hours, complex demands, and uncertainties come tothe fore –the demands and stresses of running one's own business become evident –aspects of eudaimonic well-being may emerge asimportant moderators of who persists over time versus terminates the new business venture. W

or those who are better educated and economically secure, the call of entrepreneurship may emerge fromhaving higher eudaimonia well before the new business venture takes shape. That is, those with a pre-existing sense of autonomy,mastery, and purpose, may be more likely to embark on the entrepreneurial path. Al

nthe non-entrepreneurial well-being literature, however, both hedonic and eudaimonic experience are often studied as antecedents,i.e., factors that predict other outcomes (e.g., morbidity, mortality, physiological risk). In

roaden-and-build theory

Controlling for past income and prior health, self-employed individuals, in fact, experienced greater stress than employees. Furtherfindings showing a positive impact of such stress on income of the self-employed, but a negative impact on their health (assessed interms of health behaviors –alcohol use, smoking, physical activity, weight gain). T

entrepreneurs with higher well-being were more likely to persist in their endeavors. Other cross-time relationships between en-trepreneurial stress and psychological outcomes have focused on negative downward spirals. That is, exhausted and dissatisfiedentrepreneurs reported their work to be more demanding, which subsequently led to further exhaustion and dissatisfaction (e.g.,

ntrepreneurs' negative affect directly predictedentrepreneurial effort toward tasks that were required immediately, whereas positive affect predicted venture effort beyond what isimmediately required.

olerate higher levels of stress because they care about other factors, such as autonomy, independence and self-orche-strated working conditions

tal health and well-beingreview elevated the theme of persistence –i.e., who stays with the entrepreneurial enterprise over time. M

living as a muppet likely compromises numerous aspects of eudaimonia (environmental mastery, autonomy, personal growth,purpose in life, self-acceptance, relationships with others),

Hedonic aspects (happiness, life satisfaction) may have greater prominence among independence-oriented entrepreneurs focused onself-direction and self-sufficiency, whereas eudaimonic well-being (especially aspects of personal growth and environmental mastery)may be key outcomes for growth-oriented entrepreneurs. T

elf-employment among educationally and economically disadvantaged individuals, possibly accompanied byaccumulation of debt, captures a variety of entrepreneurship driven primarily by desperation. Al

he extent risk-taking innovators are better educated, and possibly more optimistic, extraverted, and conscientious, it is important to know if theirentrepreneurial activities enhance their eudaimonic well-being, even after adjusting for these other factors. So d

worries behind one's financial situation and job security drive the compromised life satisfaction. A

oth relatedness and autonomy are core motives and core components of eudaimonic well-bein

pportunity entrepreneurs report higher family and health satisfaction than necessityentrepreneurs, but both types report equal dissatisfaction with the lack of leisure time (Bi

elf-employment that allows one to avoid re-quirements imposed by a boss or large organizational requirements may enhance the sense that one is living according to personalvalues and convictions, i.e., marching to one's own drummer (autonomy). Self-expression aspects of autonomy that involves pursuingpersonal goals that are in accord with one's values, likely contributes to a sense of realizing unique talents and capacities (personalgrowth). The opportunity to be in charge of, to lead and direct daily activities likely contributes to the sense effectively managingdemands in self-created contexts (environmental mastery). R

Whether different types of entrepreneurs vary in their mental health and well-being is a key question in

urther partitioned entrepreneurial motivation into three submotives: (a) negative freedom tied to the dislike ofhaving a boss and having to work within stifling organizational rules; (b) self-expression that involves working according to one'svalues, tastes, goals; and (c) opportunity that allows one to be in charge, to lead and direct.

ough providing small loans topoor people to start new businesses was hailed as a way of promoting livelihoods and reducing poverty, findings showed thatbecoming a micro-entrepreneur resulted in higher levels of worry and depression, with no effects on life satisfaction and happiness.

dependence in self-employment contributes to greaterhappiness than traditional employment (ir

mine the hedonic well-being of self-employment borne out of necessity, indicated by lower educational status and higher financial strain. They found lowerlevels of reported life satisfaction compared to traditional wage earners. Si

e is a fundamental differencebetween conceptualizing autonomy as a core psychological need versus conceptualizing autonomy as a key feature of well-being.Both are arguably important –one captures what fuels human activity (the motivational part) and the other examine whether suchcore motives and needs are met (the well-being part). A

nks between entrepreneurial experiences, eudaimonic well-being, and health, bro

ntrepreneur's eudaimonic well-being (thriving and activatedaffect) than from their hedonic well-being (life satisfaction and contentment)

impact of entrepreneurs on the eudaimonic well-being of others (employees, families, communities). The

a) the degree to which entrepreneurs feel purposefully engaged in what they do; (b) whether they seethemselves as growing and making best use of their talents and potential over time; (c) the quality of their ties to others, includingemployees and collaborators; (d) the sense that they are effective in managing their surrounding environments; (e) the degree towhich they show knowledge and acceptance of their own strengths and weaknesses; and, of course, (f) the degree to which they viewthemselves as self-determined and independent. T

eudaimonic well-being of different types of entrepreneurs, focused on the distinction between necessity versus opportunity entrepreneurs. Th

how and where eudaimonia might matter at different points in the entrepreneurial process, from initial pursuits to longer-term endeavors.

he first examines the link between entrepreneurship and autonomy, w

eudaimonic well-being is modifiable can be promoted

eudaimonic well-being and health.

amily roles and experiences to well-being

n interesting and unexplored question is whether entrepreneurial activities inmid- and later-life might help offset these declines –that is, contribute to maintenance of purposeful engagement and continuingpersonal growth in later adulthood.

ull understanding of the well-beingof entrepreneurs demands knowledge of their family lives.

he big five model of traits have been linked to the abovedimensions with numerous findings (openness is linked with personal growth, agreeableness with positive relations with others, andextraversion, conscientiousness, and neuroticism with environmental mastery, purpose in life, and self-acceptance) (Sc

se who are married have a well-beingadvantage compared to the divorced, widowed, or never married, but single women score higher on autonomy and personal growthcompared to married women. Parenting seems to enhance well-being, particularly when children are flourishing

Self-acceptance brings a potentially neglected aspect of entrepreneurial well-being. It encompasses having positive attitudestoward oneself, but drawing on the Jungian idea of the shadow, also includes the capacity to see one's bad qualities. Thi

How eudaimonic well-being changes with age

work life and eudaimonic well-being

capacityto find meaning in the face of adversity,

plied to the entrepreneurial context, self-acceptance may be a critical asset, such that effective problem-solving and negotiating through unfolding challenges would seem todemand honest reckoning with one's self. A

without goals, purposes, and meaning, including during periods ofchallenge and difficulty, it is difficult to fathom an entrepreneur who is experiencing genuine well-being. In

Purpose in life is the existential core of eudaimonic well-being, with its emphasis on viewing one's life has having meaning,direction, and goals. These qualities comprise a kind of intentionality that involves having aims and objectives for living. Life

Positive relations with others is the most universally endorsed aspect of what it means to be well. This dimension encompasseshaving warm, trusting ties to others, being concerned about the welfare of others, understanding the give and take of social re-lationships, and having the capacity for empathy and affection.

Personal growth is concerned with self-realization and achievement of personal potential and thus is closest in content toAristotle's ideas about eudaimonia.

Autonomy, emphasizes thatone is self-determining and independent as well as able to evaluate oneself by personal standards, and if need be, to resist socialpressures to think or act in certain ways. T

What relevance, if any, do these eudaimonic components of well-being have for studies of entrepreneurship? Pr

an fulfillment

Environmental mastery emphasizes the sense that one can manage the surrounding environment, including making effective useof available opportunities, while also creating contexts suitable to one's personal needs and values. Th

igning views of subjective well-being at the time that revolved around assessmentsof happiness, life satisfaction, and positive and negative affect

The answer for him was eudaimonia, which he described as activity of the soul in accord with virtue. The key task in lifeis to know and live in truth with one's daimon, a kind of spirit given to all persons at birth. Eu

two great imperatives of self-truth (knowthyself) and striving toward excellence consistent with one's given potentialities (become what you are). These ideas deepened thephilosophical significance of eudaimonic well-being

of personalexcellence built on striving to realize one's true and best nature. It

The second venue addresses varieties of entrepreneurship, with a focus on the distinction between opportunity and ne-cessity entrepreneurs.

The first section thus examines the conceptual and philo-sophical foundations of a widely-used model of eudaimonic well-being built on the integration of perspectives from clinical, de-velopmental, existential and humanistic psychology, along with distant observations from Aristotle. These differing views convergedin their emphasis on six distinct aspects of what it means to be fully functioning and well.

he fifth topic attends to how entrepreneurs impact theeudaimonic well-being of others (employees, families, communities). T

Eudaimonicformulations, in contrast, emphasize multiple facets of well-being such as purposeful engagement, realization of personal potential,autonomy, mastery, quality ties to others, and self-acceptance.

Hedonic formulations emphasizepositive life evaluations, such as life satisfaction and positive feeling states, such as happiness and positive affect

ive key venues for theentrepreneurial field are then considered: (1) entrepreneurship and autonomy, viewed both as amotive (self-determination theory) and as an aspect of well-being (eudaimonic well-beingtheory); (2) varieties of entrepreneurship (opportunity versus necessity) and eudaimonic well-being; (3) eudaimonia in the entrepreneurial journey (beginning, middle, end); (4) en-trepreneurship, well-being and health; and (5) entrepreneurs and the eudaimonia of others –contrasting virtuous and vicious types.

urposeful striving and personal growth are demanding, if not stressfulapproaches to living that may not always be conducive to feelings of happiness and contentment.

Approaches to well-being tend to be partitioned into hedonic and eudaimonicformulations.

Most entrepreneurial studies have focused on hedonic indicators (life satisfaction,happiness, positive affect).

Researchers in entrepreneurial studies are increasingly interested in the psychological well-beingof entrepreneurs.

e “dark side”of prosocial moti-vation, which may be good for society, but bad for the well-being of the entrepreneur. Im

orking from a holistic conception of human flourishing that includes social aswell as economic benefits, they distilled three overarching virtues of the excellent/virtuous entrepreneur. These include creativity,beneficence, and integrity.

he well-being literature, new findingslinking subjectively reported hedonia and eudaimonia to objectively measured biomarkers (Bo

A first observation is that well-being in extant studies is studied primarily as anoutcome (consequent) of the business venture,

Entrepreneurial activity, by definition, is self-initiated and hence is fundamentally tied to ideas of autonomy and independence.

Fig. 1. Key dimensions of well-being and underlying theo

at it means to be mentally healthy,psychosocially developed, purposefully engaged, self-actualized, fully functioning, and mature. No

e vicious entrepreneur is also considered. B

ey distinction is made between ofautonomy postulated as a core need or motive i

key aspects of eudaimonic well-being (e.g., realization of personal potential, purposeful life en-gagement, effective management of complex environments) have received little attention eventhough they may be particularly relevant to entrepreneurial pursuits.

The third venue focuses the unfolding of the entrepreneurial process in time –how it progresses from early stages to longer-term enterprises, at least for some.

e fourth venue calls for greater research on thehealth, broadly defined, of entrepreneurs via their experiences of well-being.

tuous entrepreneurship. H

The central objective of this essay is to examine the relevance ofeudaimonic well-being for understanding entrepreneurial experience. T

meaning was not just about satisfy-ing human appetites, but about doing virtuous things such that we “achieve thebest that is within us”

Stretching entrepreneurs’skills and abilities through flow experiences enhance their resilience andtenacity

In addition to creat-ing a life in which they are happy and feel successful, it appears that it isimportant for them to find work that is also meaningful and purposeful whichfulfills their inner life.

rincipal axis factors(PAF) analysis

Entrepreneurs need internal psycho-logical resources such as intrinsic definition of success and a spiritual practiceto weather the myriad of external storms

rom this eudaimonicperspective, people are looking for what makes life fulfilling and meaningful.

The fact that the business provides a source of flow experiences isimportant for entrepreneurs’well-being. Flow is a central construct withinpositive psychology that entrepreneurs can borrow and use to their advantage.

ubjective well-being was significantlyand positively linked to intrinsic definitions of success while the more extrin-sic/material-driven definitions of success were significantly but negativelylinked to subjective well-being.

intrinsic and extrinsic definitions of success such as: money,social recognition, financial security, power, buying power, engagement, doingwhat they love to do, meaning in my life, and purpose in my life

entrepreneurs who based their definition ofsuccess on intrinsic factors did experience more well-being than entrepreneurswho based their definition of success on extrinsic-driven factors. In fact, theirwell-being was reduced or declined as their extrinsically driven factorsincreased.

hepopular media can often portray entrepreneurs to be motivated by more extrin-sic factors such as money or power. However, recent research has found thatentrepreneurs who find meaning in their work are often intrinsically motivated

Entrepreneurs who work in productive organizations,who get intrinsic spiritual fulfillment from having a job that gives meaning andpurpose to their life, and those who experience flow have a greater sense ofwell-being. Entrepreneurs who have these same factors but define their measureof success in terms of extrinsic factors such as making money and achievingsocial recognition for their achievements exhibited less well-being

Subjective well-being questions were asked using the Satisfaction with LifeScale

he original nineflow factors: challenge-skill balance, action-awareness merging, clear goals,unambiguous feedback, concentration, sense of control, loss of self-conscious-ness, time transformation, and autotelic experience

“In my business everyone gives his/her best efforts”; “In my business workquality is a high priority for all workers”; “I am able to apply my full capabil-ity in my business”, and “My business is very efficient in getting maximumoutput from the resources we have available (e.g. money, people, equipment,etc.)”

The ability for finding meaning at work has been found to be a dominantfactor in the conceptualization and measure of intrinsic success and spiritualityresearch

ntrepreneurshipmotivation appears to link to the basis of rewards, which are either driven byextrinsic measures of success (money, social recognition, financial security,power, or buying power) or on intrinsic measures (such as personal fulfillment,doing something I love, finding meaning and purpose in their lives).

Entrepreneurs who have an elevated intrinsic definition of success will havegreater subjective well-being than those with elevated extrinsic definition ofsuccess

ersonal causesand callings are examples of intrinsic or meaningful objectives. The respon-dents’definition of success included making a difference, creating lastingimpact, and being engaged in a life of personal fulfillment

“spiritual goals that energize

ntrepreneurs whoare doing work they love and who see their work as giving meaning and pur-pose to their lives, and helping others, were more likely to experience personalgrowth and joy

The job of leadership today is not just to make money, it’s to make meaning

“entrepreneurs who practice religious andspiritual values regularly see a significant influence on their happiness, health,joy, productivity, and coping skills”

r when they have sufficientresources in their work such as support from colleagues and adequate funds ormaterial

employees have been found to experience flow when job demands match theirskills

wealth, fame, and power were notthe goals or accomplishments that respondents felt were important for success.Money and recognition were only byproducts of work; they are incidental“outcomes of passionately working often on an entirely different objective thatis often a personal cause or calling”

An individual’s well-being is considered a potential source of productivity.On the other hand, an individual’s personal life can be a source of reducedfunctioning.

Flow is interesting in a work context because findings indicate that themore individuals experience flow, the more they report control and greatersense of enjoyment in the activity

Since uncertainty is central to the entrepreneurialenvironment, it is unclear if the well-being and flow linkage found in otherwork situations extends to entrepreneurial environments.

orkers experienced moreflow at work than in leisure.

Descriptions of flow commonly include three elements: absorption orimmersion in an activity, enjoyment, and intrinsic motivation

nce flow isachieved, the attributes are (1) intense focus on the activity at hand and (2)time is perceived to move differently, either more slowly or quickly. The per-son experiences (3) a sense of control and (4) a loss of self-consciousness.There is (5) a merging of action and awareness, that is, the next move is evi-dent. Flow is experienced when (6) challenges and skills are balanced and theperceived challenges of the activity are at or very slightly above the person’sskill level. Usually (7) the experience is rewarding

real happiness lay in the prospect of finding work thatprovided close social relationships, meaning and purpose, pursuit of personalgoals, and being involved in flow activities

none of theseare assured in an entrepreneurial environment.

the processof creating art consumed his research subjects and compelled them to losetrack of time, forget to eat, and focus completely on the work. Artistsdescribed being consumed in the process as in the “flow”of it.

These same factors are related to the intrinsic motivators oftenemployed in entrepreneurial perspectives

Since work is a major factor inpeople’s lives –it takes up as much as a half of an adult’s waking life –whatgoes on at work is a major factor in understanding what gives individuals asense of meaning and fulfillment

happiness is associated with behaviors that create success, and thathappiness also precedes successful outcomes.

happiness precedes successful outcomes by creating positive affect, the charac-teristics of which include confidence, optimism, and self-efficacy; likability andpositive construals of others; sociability, activity, and energy; prosocial behavior;immunity, and physical well-being; effective coping with challenge and stress;and originality and flexibility. Positive affect, in turn, encourages activeinvolvement with the environment, and with the pursuit of goals

When focusing on psychological well-being, there are generally two perspec-tives: the hedonic/subjective well-being perspective and the eudaimonic/mean-ing perspective.

Thereare three types of well-being: (1) physical well-being; (2) psychological well-being; and (3) relationship/social well-being

the termeudaimonia, or a state of meaningfulness and fulfillment,

ristotlebelieved that meaning was not about satisfying human appetites, but aboutdoing virtuous things such that we “achieve the best that is within us

Entrepreneurs who suffer a decline inwell-being may burn out and close their businesses.

Extrinsic fac-tors can include financial and social rewards, while intrinsic personal successis often researched using meaning, happiness, and spirituality within the workcontext.

what makes life pleasant and unpleasant (Ryan and Deci2001). Research in this area looks at life satisfaction, positive affect, and nega-tive affect

Productivity, the second factor examined, can lead to well-being from anextrinsic perspective, since greater productivity would most likely lead togreater success of the organization

Although many factors could lead to increased entrepre-neurial well-being, the present study examines how flow, productivity, andentrepreneurs’own definition of personal success (intrinsic vs. extrinsic)impacts the entrepreneur’s subjective well-being

Continued engagement is a predictorof entrepreneurial business

The third factor examined in this study is how an entrepreneur’s de finitionof personal success impacts their subjective well-being.

The first factor considered in this study was flow, which describes a state ofcomplete attentional energy focused on the task at hand

Yet the directionality is not clear. Are happy workers more productive, orare more productive workers happier?

Of interest in this paper are the psychological factors that contribute toentrepreneurs’well-being

an entrepreneur must attend to their own individual psy-chological factors of development, such as maintaining a strong sense of confi-dence, optimism, and self-efficacy to cope with uncertainty

flow has been found to increase work engage-ment (Larson and von Eye 2006, Salanova et al. 2006), to lead to excellencein performance (Demerouti 2006, Bakker 2008), and to make life more inter-esting

Entrepreneurs, like leaders in other organizations, seek organizational produc-tivity for their businesses to prosper.

successful entrepreneurship is not really just a story about intelligence inthe traditional sense but more fully a story about successful intelligence—the strategic mergerof analytical, creative, and practical intelligence. All three kinds of intelligence can bedeveloped and are developed through good use of experience.

When entrepreneurs and others shape the environment, they are basically applyingsuccessful intelligence to idea generating

A major barrier is convincing people

In sum, successful entrepreneurship requires one to not only to come up with product andservice ideas but also to know what kind of product or service one has.

They may end up on used-carlots

People who are high in creative intelligence but not in the otherkinds may be good at coming up with ideas but often are not good either at knowingwhether their ideas are good ones (analytical intelligence) or at selling their ideas toothers (practical intelligence

the tests of practical intelligence I mentioned above measure adaptive skills

Successful intelligence is applied in order to balance adapting to, selecting, and shapingenvironments. When one adapts to the environment, one changes oneself in order to fit intothe environment.

When oneselects an environment, one decides that adaptation is not worth it.

People who are high in analytical intelligence but not the other kinds often aregood memorizers and analyzers, but they need other people’s ideas to remember andanalyze. They make poor entrepreneurs, because entrepreneurs simply must be ideagenerators to succeed

This is the option in which entrepreneurs mustspecialize.

people who are high in practical intelligencebut not in analytical or creative intelligence may be effective salespeople, but they willsell anything.

The third option is shaping

The most important kind of intelligence for an entrepreneur, or really anyone else, issuccessful intelligence, which involves a balance of analytical (IQ-based), creative, andpractical intelligence

One needs the creative intelligence to come upwith new ideas, the analytical intelligence to evaluate whether the ideas are good ones,and the practical intelligence to figure out a way to sell these ideas to people who maynot want to hear about them

Significant correlations with job-related criteria

What matters is not the amountof experience one has but how much one has learned from that experience

In sum, tests of practical intelligence are useful predictors of job-related skills, independ-ently of IQ-based tests.

one starts by interviewing successful people in agiven job and asking them for how they performed in the critical incidents that distinguishthose who are highly successful in a field from those who are not. We then try to extract thetacit knowledge underlying the successful actions.

Route planning

Tacit knowledge for the workplace. Test-takers are presented with situations typical ofthose encountered in low-level jobs in workplace

Trivial correlations with measures of personality and cognitive styles as well. Tests ofpractical intelligence also do not correlate with measures of personal attributes

Trivial correlations with IQ-based measures.

Tacit knowledge for sales

Movies. Individuals are presented with brief fragments of movies showing people their ageconfronting everyday problem

ome entrepreneurs leave conventional businesssettings because they are not interested in playing the game of figuring out what the tacitknowledge of the organizational environment is. They would rather play by their own rulesthan learn other people’s.

Practical mathematics

Tacit knowledge for managers

Practical everyday inference

tacit knowledge is the knowledge that often is most important for success in theworkplace, but it is the knowledge that people must pick up on their own

Of course, people who are high in practical intelligence may also be high in academicintelligence. The two are not necessarily negatively related

Tacit knowledge for school

there is actually a negative relation between academic and practical intelligence

What matters for growth of practical intelligence is not experience but ratherlearning from experience.

Modifiability of practical intelligence. Practical intelligence can be developed. Indeed, itmust be developed. People are not born with the kinds of common sense they show in theireveryday lives

tacit knowledge is what one needs to know in order to negotiate an environmenteffectively that typically is not directly taught and that often is not even verbalized

IQ-based tests, like practical-intelligence tests, predict job success.Both kinds of tests seem to measure intellectual skills necessary for job success

The entrepreneurial children, like theentrepreneur in the forest, seemed to have a kind of intelligence not well measuredby conventional tests

intelligence is not asingle entity.

Clearly, more is involved in entrepreneurial success than just the academic side ofintelligence

There is obviously more to intelligence than what conventional tests of intelligence

Successful entrepreneurs appearto be higher in social competence than are unsuccessful ones. In particular, four factors seemto underlie this social competence: social perception (which involves accuracy in perceivingothers), (b) impression management (which involves techniques for inducing positivereactions in others), (c) persuasiveness (which involves the ability to change others’ viewsor behavior in desired directions), and (d) social adaptability (which involves feelingcomfortable in a wide range of situations). These variables, especially social perception,seem to be key to entrepreneurial success.

Successful entrepreneurship requires a blend of analytical, creative, and practical aspects ofintelligence, which, in combination, constitute successful intelligence.

success is defined in terms of personal goals. People succeed byidentifying their strengths and capitalizing on them and by identifying their weaknesses andeither correcting or compensating for them. They do so by adapting to, shaping, and selectingenvironments.

Perhaps you know the story of the college professor and the entrepreneur who arewalking in a forest.

sometimes they change themselves to fit the environment; other times,they change the environment to fit them; still other times, they find a different environment

Successful intelligenceis the ability to succeed in life, according to one’s own conception of success, within one’senvironmental context.