Physiological Theory
The Physiology of Entrepreneurship: Are You Biologically Wired for Business?
Could your physiology make you more entrepreneurial? While the debate of "Nature vs. Nurture" continues, research examining the biological roots of entrepreneurship is uncovering fascinating links.
Although this field is relatively new, studies are beginning to show how our hormonal makeup and physical traits may affect our propensity for risk, aggression, and business creation.
The Testosterone Connection: The 2D:4D Ratio
One of the most intriguing areas of study examines how testosterone levels experienced in the womb affect adult behavior. Bönte, Procher, and Urbig (2016) explored the link between prenatal testosterone and traits common in entrepreneurs, such as competitiveness and risk-taking.
Because we cannot measure prenatal testosterone directly in adults, researchers use a biological marker: The Finger Length Ratio (2D:4D).
To calculate this ratio, researchers divide the length of the index finger (2D) by the length of the ring finger (4D) on the same hand. Variations in this ratio have been associated with:
- Assertiveness
- Aggressiveness
- Risk tolerance
- Propensity for unprovoked violence
The study suggests that the biological "wiring" that occurs before birth can predispose individuals toward the aggressive, competitive behaviors often required to launch a startup.
Beyond Testosterone: Hormones and Health
While entrepreneurship research is just scratching the surface, broader management studies have gone much deeper. Nofal et al. (2018) conducted a comprehensive review of biology in management.
They identified several biological factors that may influence leadership and business success:
1. Hormonal Influences
Beyond testosterone, researchers are investigating:
- Dopamine: Linked to reward-seeking behavior and novelty.
- Oxytocin: The "bonding hormone," crucial for trust and team building.
- Serotonin: Regulates mood and decision-making stability.
- Cortisol: The stress hormone, affecting how leaders handle pressure.
2. Physical Characteristics
Studies have also correlated success with physical traits such as height, weight, overall physique, athleticism, and perceived energy levels.
3. Medical Conditions
Surprisingly, even general health markers—such as cardiovascular health, blood pressure, and diabetes—are being studied to understand the physical stamina required to sustain high-growth ventures.
References
Bönte, W., Procher, V. D., & Urbig, D. (2016). Biology and selection into entrepreneurship—The relevance of prenatal testosterone exposure. Entrepreneurship Theory and Practice, 40(5), 1121-1148.
Nofal, A. M., Nicolaou, N., Symeonidou, N., & Shane, S. (2018). Biology and management: A review, critique, and research agenda. Journal of Management, 44(1), 7-31.
