See discussions, stats, and author profiles for this publication at: https://www.researchgate.

net/publication/266871686

The Effect of Emotional Intelligence on Entrepreneurial Behavior: A Case Study

in a Medical Science University

Article  in  Asian Journal of Business Management · February 2012

CITATIONS READS

28 2,488

1 author:

Mohammadkarim Bahadori
Baqiyatallah University of Medical Sciences
151 PUBLICATIONS   1,380 CITATIONS   

SEE PROFILE

Some of the authors of this publication are also working on these related projects:

Health technology assessment View project

Designing a Third Generation University Model with a Combined Approach in Islamic Azad Universities of Medical Sciences View project

All content following this page was uploaded by Mohammadkarim Bahadori on 17 September 2018.

The user has requested enhancement of the downloaded file.

Asian Journal of Business Management 4(1): 81-85, 2012
ISSN: 2041-8752
© Maxwell Scientific Organization, 2012
Submitted: December 20, 2011 Accepted: January 12, 2012 Published: February 20, 2012

The Effect of Emotional Intelligence on Entrepreneurial Behavior: A Case Study

in a Medical Science University

Mohammadkarim Bahadori
Health Management Research Centre, Baqiyatallah University of Medical Sciences, Tehran, Iran

Abstract: Nowadays with complex and dynamic environment in organizations, scholars make more attention
to emotional intelligence. Also, the role of emotional intelligence started to make inroad into entrepreneurship
research. The purpose of this study is to examine the effect of emotional intelligence on entrepreneurial
behavior in organizations. A sample of 107 managers from a medical science university in Iran participated in
the main study. Findings showed that all four dimensions of emotional intelligence have a positive effect on
entrepreneurial behavior. This study has theoretical and practical implications for managers and leaders in
organizations.

Key words: Emotional intelligence, entrepreneurial behavior, Medical Sciences University

INTRODUCTION LITERATURE REVIEW

The formations of new business corporations, and Entrepreneurial behavior: Entrepreneurial behavior
innovation of products, services and processes, are very defined as a set of actions or series of actions to exploited
important to every organization. Start new business entrepreneurial opportunities rivals which have not
corporations and also innovations in organization can be noticed or exploited (Kuratko, 2007) and occur over
done through independent individuals or by existing time(Gartner et al., 2003). The study carried out by
corporations. Nowadays, organization environment is (Thompson, 2004) stat that successful enterprises and
very complex and dynamic. Entrepreneurial behavior in effective corporate entrepreneurship need both ideas and
organization can help for the facilitation of rapid change people. In other words, they have to pay attention to the
and innovation within existing corporations. Within identification and development of people with
organizations, managers and leaders try to enhance entrepreneurial potential as same degree as new product
competitive advantages and uniqueness. In this regard, development (Thompson, 2004). In this vein,
(Kuratko et al., 2005) argue that effective entrepreneurial (Zampetakis, 2009) argue that Individuals can have
behavior is a necessary step to achieving various entrepreneurial behavior by cooperate with their
organizational goals. colleagues to meet challenges from top management or
Another field of research which scholars make more customers.
attention in past decade is emotional intelligence. Emerging evidence suggests that effective
Previous studies point out that emotional intelligence has entrepreneurial behavior by managers is a essential step
positive effect on performance (Goleman, 1998; Wong to achieving various organizational goals (Kuratko et al.,
and Law, 2002; Slaski and Cartwright, 2003; 2005). Recent research has also indicated that
Piperopoulos, 2010). (Baron, 2008)argue that positive entrepreneurial behavior is an individual level
emotions may enhance entrepreneurial creativity, phenomenon (Gartner et al., 2003) not firm behavior
including opportunity recognition. (Bird and Schjoedt, 2009). Organizations managers
Entrepreneurship, defined as “the discovery and always need to balance exploration of new resource
exploitation of profitable opportunities”(Shane and combination with exploitation of existing organizational
Venkataraman, 2000). A key question which arise here is capabilities (Mair, 2005). In this regards, they should
“why, when, and how some people and not others develop and maintain entrepreneurial behavior in different
discover and exploit these opportunities?” levels of organizations, especially managerial levels.
(Venkataraman, 1997); and also, why within the same (Mair, 2005) argue that managers and leader of
company some managers act entrepreneurially and others organization can act entrepreneurial behavior through
don't (Mair, 2005). Some scholars asserted that emotional three ways; first, they lead and guide their subordinates;
intelligence may be the missing factor in entrepreneurship second build and organize their unit; and third meet
research (Cross and Travaglione, 2003; Mair, 2005) challenges from customers and markets.
which can be the answer of these questions. Thus, in this According to (Bird and Schjoedt, 2009)
study we purposed that emotional intelligence may be entrepreneurial behavior is outcome of the cognitions and
effect on entrepreneurial behavior in organization. emotions of entrepreneurial actors. In other words, when

81
 Asian J. Bus. Manage., 4(1): 81-85, 2012

Fig 1: Model for empirical test

managers understand emotion well, they can use it in among employees (Brundin et al., 2008) and also impact
order to act entrepreneurial. The study carried out by on innovation, creativity, and ultimately the performance
(Foo, 2011) state that emotions influence risk perceptions and competitiveness of the SME (Piperopoulos, 2010).
and preferences which to be associated with Eventually previous studies suggested emotional
entrepreneurial behavior. intelligence can improve during one’s life and also
increased through appropriate education and training
Emotional intelligence: Foo (2011) reported that new (Goleman, 1998; Rozell et al., 2002). Slaski and
stream of emotion studies have started in entrepreneurship Cartwright (2003) found that training of 60 British
research. Some scholar find out that positive emotion can managers increase in their emotional intelligence, (Prati,
cope with stress (Carver and Scheier, 2001), facilitate 2004) research also confirms this result.
creativity and heuristic processing (Baron, 2008), and In this study, we have used (Wong and Law, 2002)
also, improve decision making (Foo, 2011). Similar definition of emotional intelligence as a set of interrelated
studies (Baron, 2008; Biniari, 2011) have shown that abilities possessed by individuals to deal with emotions.
emotions have positive effect on entrepreneurship field. Wong and Law (2002) developed new four dimensions
Another construct which related to emotion is emotional emotional intelligence scale which it is base on (Mayer
intelligence. Salovey and Mayer (1990) define emotional and Salovey, 1997) emotional intelligence model. Wong
intelligence as a set skills which is “accurate appraisal and and Law (2002) new scale composes of:
expression of emotion in oneself and in others, the
effective regulation of emotion in self and others, and the C Self Emotional Appraisal (SEA): Individual’s
use of feelings to motivate, plan, and achieve in one's ability to understand and assessment of their deep
life”. Goleman (1998) take more attention and try link emotions and be able to express these emotions
between leadership and emotional intelligence. He found naturally.
that Intelligence Quotient (IQ) is not more important C Others’ Emotional Appraisal (OEA): Ability to
factor in achievement at work than emotional intelligence. perceive and understand the emotions of other people
Some scholars assert that emotional intelligence is around them.
missing factor in the entrepreneurship research and C Regulation of Emotion (ROE): Peoples’ ability of
discussion (Cross and Travaglione, 2003; Piperopoulos, people to regulate their emotions, which will enable
2010), and also development of entrepreneurship is a more rapid recovery from psychological distress.
related to a capability of an individual to analyze his/her C Use of Emotion (UOE): Ability of individuals to
emotions and values (Zakarevi ius and Župerka, 2010). In make use of their emotions by directing them towards
particular, several studies suggested that emotional constructive activities and personal performance.
intelligence has a positive effect on creativity (Zhou and
George, 2003; Zampetakis et al., 2009) which it is one of To summarize, we focus our attention on the
the most important core competencies for entrepreneurs. relationship between four dimensions of emotional
Recent research findings indicate that emotional intelligence and entrepreneurial behavior. In this regards,
intelligence is a key component of strategic leadership we formulate the following four hypotheses (Fig. 1):
capability and affects competitive advantage through
leadership and strategic change (Voola et al., 2004). Hypothesis 1: Self emotional appraisal has positive
Moreover, there is evidence that managers possess effect on entrepreneurial behavior.
emotional intelligence capable of controlling their Hypothesis 2: Others’ emotional appraisal has positive
emotional displays can motivate entrepreneurial action effect on entrepreneurial behavior.

82
 Asian J. Bus. Manage., 4(1): 81-85, 2012

Table 1: Descriptive statistics, correlations, and reliabilities

M SD N 1 2 3 4 5 6 7 8 9
Gender 1.25 0.436 107 -
Age 44.46 6.156 107 0.046 -
University degree 2.89 1.102 102 0.073 0.080 -
Career 3.59 0.614 104 0.068 0.721** 0.462* -
SEA 4.08 0.345 107 0.072 0.142 0.127 0.092 -
**
OEA 4.17 0.401 107 0.039 0.321 0.167 0.166 0.494** -
ROE 4.16 0.340 107 0.097 0.120 0.114 0.087 0.545** 0.501** -
UOE 3.97 0.395 107 0.040 0.131 0.103 0.044 0.493** 0.496** 0.493* -
EB 4.27 0.337 107 0.148 0.191* 0.145 0.227* 0.478** 0.542** 0.537** 0.424** -
Note1. male = 1, female = 2; Note2. University degree (diploma and under = 1, graduate = 2, postgraduate = 3, PhD and above = 4); Note3. Career
([5#] = 1, [6-10] = 2, [11-20] = 3, [20$] = 4);* p#0.05; ** p#0.01

Hypothesis 3: Regulation of emotion has positive effect know my friends’ emotions from their behavior”; “I
on entrepreneurial behavior. always set goals for myself and then try my best to
Hypothesis 4: Use of emotion has positive effect on achieve them” and “I am able to control my temper and
entrepreneurial behavior. handle difficulties rationally”. Cronbach’s alpha for this
scale was (0.83).
METHODOLOGY
Entrepreneurial behavior: (Pearce et al., 1997) 9 items
Participants: The sample consisted of managers from a self-report scale was utilized to measure entrepreneurial
medical science university in Iran. Surveys were sent behavior. Example items include “I display an enthusiasm
directly to 140 managers and total of 107 completed for acquiring new skills”; “I encourage my colleagues to
surveys were returned for a response rate of 42%. The take the initiatives for their own ideas”; and “I create a co-
managers in the sample included 80 males (74.7%) and 27 operational and team working climate in my department
females (26.3%). Their ages ranged from 29-45 years (M in order to meet a challenge”. Cronbach’s alpha (0.78)
= 44.26, SD = 6.15). Nearly, 68% were aged over 40, coefficient for the items was at satisfactory levels.
with only 1.9% aged 30 or below. Almost 63%
participants had over 20 years career. With regard to Control variables: We controlled for several other
participants’ university degree, 64% indicated that they variables that influence emotional intelligence(Wong and
are postgraduate or PhD. Law, 2002) and entrepreneurial behavior(Pearce et al.,
1997). Age, gender and education were used as control
Procedure: A letter was sent to 250 randomly selected variables in the present study. Also, the number of years
managers from a total population of a medical science at the current position was used as a control variable.
university. The letter explained the purpose of the survey
and was accompanied by a questionnaire assessing Analytical strategy: The managers of a medical institute
managers’ emotional intelligence and entrepreneurial were chosen as the unit of analysis. First of all, the normal
behavior together with demographic variables. After distribution was assessed using single sample
completing the survey, participants were thanked for Kolmogorov-Smirnov test. Second, we used spearman
taking part in this study. The participation of managers in correlation to analyze the relationship between emotional
the present study was voluntary and there was no intelligence and entrepreneurial behavior. Then, Mann-
monetary incentive to complete the study. Whitney tests were employed for comparisons between
groups; and at last, the kruskal-wallis signed-rank test for
Measures: All the constructs were assessed with self- paired data sets to examine statistical significance
report measures based on multi-item scales. Responses to throughout this study.
all items were made on 5-point Likert scales from
strongly disagree (1) to strongly agree (5). RESULTS

Emotional intelligence: In order to assess emotional The Kolmogorov-Smirnov Z-test indicated a no

intelligence, we use self-report Wong Law Emotional normal distribution; In this regard, we used nonparametric
Intelligence Scale (Wong and Law, 2002) which is tests such as Mann-Whitney, kruskal-wallis and spearman
comprising 16 items, organized into four dimensions: Self for correlation test. Table 1 reports the means, standard
Emotional Appraisal (SEA), Others’ Emotional Appraisal deviations, correlations, and coefficient alpha (a) internal
(OEA), Regulation of Emotion (ROE), Use of Emotion consistency reliability estimates of the variables. In
(UOE). Example items include: “I have a good sense of support of Hypothesis 1, the self emotional appraisal was
why I have certain feelings most of the time”; “I always related to entrepreneurial behavior and the correlation was

83
 Asian J. Bus. Manage., 4(1): 81-85, 2012

moderate (r = 0.47, p<0.01). Hypothesis 2 postulated a evidence that use of emotion related to mangers’
positive impact of the amount of others’ emotional entrepreneurial behavior which confirm previous result
appraisal has positive effect on entrepreneurial behavior (Zampetakis, 2009).
correlated moderately. In line with Hypothesis 2, Table 1
shows that others’ emotional appraisal correlated Limitations and future research: Limitations of this
positively with income(r = 0.54, p<0.01). Hypothesis 3 study included the use of self-report methodologies which
predicted that regulation of emotion has positive effect on highly rely on a person’s self understanding and cause the
entrepreneurial behavior; this hypothesis, too was problems of socially desirable responding and common
supported by the data and the correlation was good (r = method variance. In future studies, qualitatively
0.53, p<0.01). Turning to Hypothesis 4, Use of emotion investigate the concept of emotional intelligence could be
done. Future studies should also use mediator like
was moderately related to the entrepreneurial behavior, as
creativity, networking and other personality in future
predicted (r = 0.42, p<0.01). Mann-Whitney tests were
studies.
then conducted to determine if there was statistically
significant agreement between man and woman’s Implications: With regard to practical implications, our
entrepreneurial behavior. The result shows that there isn’t study shows that emotional intelligence has positive effect
any difference between man and woman’s entrepreneurial on managers’ entrepreneurial behavior. Also, analyses
behavior (p = 0.128). Also, kruskal-wallis test shows that indicated that all four dimensions of emotional
entrepreneurial behavior differences among managers’ intelligence (self emotional appraisal, others’ emotional
university degrees are not significant (p = 0.21). appraisal, regulation of emotion and use of emotion)
related to entrepreneurial behavior. This might indicate
DISCUSSION that managers with higher emotional intelligence can be
expected to discover and exploited opportunity better. In
The article proposes that all four dimensions of other words, managers’ ability to understand and regulate
managers’ emotional intelligence were positively related emotions in himself/herself and others would influence
to entrepreneurial behavior. Furthermore, our analyses their entrepreneurial behavior and they are more
demonstrated the there isn’t any difference between man successful than others managers.
and woman’s entrepreneurial behavior and also In contrast to other aspects of personality, emotional
intelligence can enhance through training(Goleman,
entrepreneurial behavior differences among managers’
1995). In this vein, provide emotional intelligence training
university degrees are not significant.
course for managers might improve their entrepreneurial
Overall, these findings appear can be the answer of behavior.
(Venkataraman, 1997) question which argued that “why,
when, and how some people and not others discover and CONCLUSION
exploit these opportunities?”. We believe that high
emotional intelligence of organization’s managers can Entrepreneurial behavior can be define as discovery,
effect on their entrepreneurial behavior and therefore they evaluation, and exploitation of entrepreneurial
can discover and exploit opportunity better. Also, we opportunities (Shane and Venkataraman, 2000) and also,
argue that emotional intelligence should consider as one exploit entrepreneurial opportunities rivals which have not
of important antecedent of entrepreneurial behavior in noticed or exploited (Kuratko, 2007). Nowadays, with
organization and has to pay more attention. Our findings dynamic environment we can’t neglect the significant of
confirm previous results (Mair, 2005; Zampetakis, 2009; entrepreneurial behavior in organizations. In this regards,
Zampetakis and Kafetsios, 2010) which suggesting that emotional intelligence is a missing factor in
emotional intelligence can effect on entrepreneurship. In entrepreneurship studies (Cross and Travaglione, 2003;
keeping with effect of self monitoring on entrepreneurial Mair, 2005) might effect on managers’ entrepreneurial
behavior (Mair, 2005), our results demonstrated that self behavior. The current study shows that all dimensions of
emotional intelligence correlate with entrepreneurial
emotional appraisal related to entrepreneurial behavior.
behavior. Moreover, results indicate that there isn’t any
Our study revealed that others’ emotional appraisal
difference between man and woman’s entrepreneurial
related significantly to entrepreneurial behavior which is behavior and also entrepreneurial behavior differences
in line with previous research suggesting that among managers’ university degrees are not significant.
entrepreneurs are high in empathy(Rhee and White,
2007). ACKNOWLEDGMENT
In keeping with recent studies (Zampetakis and
Kafetsios, 2010), we found regulation of emotion as one We would like to thank Health Management Research
of dimensions of emotional intelligence positively related Center of Baqiytallah University of Medical Sciences for
to entrepreneurial behavior. In addition, we found approving project.

84
 Asian J. Bus. Manage., 4(1): 81-85, 2012

REFERENCES Prati, L.M., 2004. Emotional Intelligence as a Facilitator

of the Emotional Labor Process. Electronic Theses,
Baron, R.A., 2008. The role of affect in the Treatises and Dissertations (ETDs), The Florida
entrepreneurial process. Acad. Manage. Rev. (AMR), University, USA.
33: 328-340. Rhee, K. and R. White, 2007. The emotional intelligence
Biniari, M.G., 2011. The Emotional Embeddedness of of entrepreneurs. J. S. Bus Enterpr., 20: 409.
Corporate Entrepreneurship: The Case of Envy. Rozell, E.J., C.E. Pettijohn and R.S. Parker, 2002. An
Entrepreneurship Theory and Practice. empirical evaluation of emotional intelligence: The
Bird, B. and L. Schjoedt, 2009. Entrepreneurial behavior: impact on management development. J. Manage.
Its nature, scope, recent research, and agenda for Dev., 21: 272-289.
future research. Understanding the Entrepreneurial Salovey, P. and J.D. Mayer, 1990. Emotional intelligence.
Mind, pp: 327-358. Imagination Cog. Pers., 9: 185-211.
Brundin, E., H. Patzelt and D.A. Shepherd, 2008. Shane, S., and S., Venkataraman, 2000. The Promise of
Managers' emotional displays and employees' Entrepreneurship as a Field of Research. In: Cuervo,
willingness to act entrepreneurially. J. Bus. Venturing, Á., D. Ribeiro and S. Roig, (Eds.), Entrepreneurship.
23: 221-243. Springer Berlin Heidelberg, pp: 171-184.
Carver, C.S., M.F. Scheier and M.W. Bridges, 2001. Slaski, M. and S. Cartwright, 2003. Emotional
Optimism, Pessimism, and Psychological Wellbeing. intelligence training and its implications for stress,
In: E.C. Chang (Ed.), Optimism and Pessimism: health and performance. Stress Health, 19: 233-239.
Implications for Theory, Research, and Practice. Thompson, J.L., 2004. Innovation through people.
American Psychological Association, Washington, Manage. Decis., 42: 1082-1094.
DC, pp: 189-216 Venkataraman, S., 1997. The distinctive domain of
Cross, B. and A. Travaglione, 2003. The untold story: is entrepreneurship research. Adv. Entrepr. Firm
the entrepreneur of the 21st century defined by Emergence Growth, 3: 119-138.
emotional intelligence? Int. J. Org. Anal., 11: 221-228. Voola, R., J. Carlson and A. West, 2004. Emotional
Foo, M.D., 2011. Emotions and entrepreneurial intelligence and competitive advantage: Examining the
opportunity evaluation. Entrep. Theory Pract., 35: relationship from a resource-based view. Strat.
375-393. Change, 13: 83-93.
Gartner, W.B., N.M. Carter and P.D., Reynolds, 2003.
Wong, C.S. and K.S. Law, 2002. The effects of leader and
Entrepreneurial Behavior: Firm Organizing Processes.
follower emotional intelligence on performance and
Handbook of Entrepreneurship Research, pp: 99-127.
attitude: An exploratory study. Leadership Quart., 13:
Goleman, D., 1995. Emotional Intelligence. Bantam
243-274.
Books.
Zakarevicius, P. and A. Župerka, 2010. Expression of
Goleman, D., 1998. Working with Emotional Intelligence.
emotional intelligence in development of students’
Bantam Books.
entrepreneurship. Econ. Manage., ISSN: 1822-6515.
Kuratko, D.F., 2007. Corporate Entrepreneurship. Now
Publishers. Zampetakis, L.A., P. Beldekos and V.S. Moustakis, 2009.
Kuratko, D.F., R.D. Ireland, J.G. Covin and J.S. Hornsby, Day-to-day entrepreneurship within entrepreneurship
2005. A model of middle-level managers’ within organisations: The role of trait emotional
entrepreneurial behavior. Entrep. Theory Pract., 29: intelligence and perceived organisational support. Eur.
699-716. Manage. J., 27(3): 165-175.
Mair, J., 2005. Entrepreneurial Behavior in a Large Zampetakis, L.A. and K. Kafetsios, 2010. Group
Traditional Firm: Exploring Key Drivers. In: Elfring, Entrepreneurial Behavior in Established
T., (Ed.), Series on International Studies in Organizations: the Role of Middle Managers's
Entrepreneurship Research: Corperate Emotion Regulation and Group Diversity. In:
Entrepreneurship and Venturing, Springer, New York J.Z. Wilfred, C.E.J. Härtel and N.M. Ashkanasy,
pp: 49-72. (Eds.), Emotions and Organizational Dynamism
Mayer, J.D., and P., Salovey, 1997. What is Emotional (Research on Emotion in Organizations, Vol. 6),
Intelligence? In: I.P.S.D.J.S. (Eds.), Emotional Emerald Group Publishing Ltd., pp: 33-61.
Development and Emotional Intelligence. Basic Zampetakis, L.A., K. Kafetsios, N. Bouranta, T. Dewett
Books, New York. and V.S. Moustakis, 2009. On the relationship
Pearce, J.A., T.R. Kramer and D.K. Robbins, 1997. between emotional intelligence and entrepreneurial
Effects of managers' entrepreneurial behavior on attitudes and intentions. Int. J. Entrepr. Behav. Res.,
subordinates. J. Bus. Venturing, 12, 147-160. 15: 595-618.
Piperopoulos, P., 2010. Tacit knowledge and emotional Zhou, J. and J.M. George, 2003. Awakening employee
intelligence: the ‘intangible’ values of SMEs. Strat. creativity: The role of leader emotional intelligence.
Change, 19: 125-139. Leadership Quart., 14: 545-568.

85

View publication stats