Development and validation of a locus of control scale for the entrepreneurship domain

Abstract

Locus of control has been extensively examined in entrepreneurship research, but with mixed results. This may be due to measurement issues, such as the widespread use of Rotter’s (1966) general locus of control scale, which is not domain specific. Not surprisingly, Rotter’s scale has been shown to be multidimensional, including personal efficacy. When the first Panel Study of Entrepreneurial Dynamics (PSED I) was constructed in the late 1990s, a measure of locus of control was included. Unfortunately, this scale was also multidimensional. Thus, measurement of the construct may be problematic. Because locus of control continues to be important in organizational research, where it has been found to influence intentions, motivation, satisfaction, and performance, we examined the PSED I dataset to determine whether we could develop a more robust measure after the fact. To this end, we constructed a unidimensional locus of control scale using the sample of nascent entrepreneurs in the PSED I dataset and validated the scale using two additional samples.