{"id":5470,"date":"2023-11-29T15:26:12","date_gmt":"2023-11-29T15:26:12","guid":{"rendered":"https:\/\/www.bainesjewitt.co.uk\/blog\/?p=5470"},"modified":"2023-11-29T15:26:14","modified_gmt":"2023-11-29T15:26:14","slug":"how-does-your-locus-of-control-influence-entrepreneurial-success","status":"publish","type":"post","link":"https:\/\/www.bainesjewitt.co.uk\/blog\/how-does-your-locus-of-control-influence-entrepreneurial-success\/","title":{"rendered":"How does your locus of control influence entrepreneurial success?"},"content":{"rendered":"<p>Running a small business involves a lot more than juggling logistics. Knowing how to tackle and overcome challenges is an essential aspect of entrepreneurship.<\/p>\n<p><!--more--><\/p>\n<p>Rather than solely being determined by skill, your success as an entrepreneur is underpinned by your personality and your approach to challenges.<\/p>\n<p>One of the key psychological theories that comes into play is locus of control. But what is this and how does it impact your business success?<\/p>\n<p><strong>What is locus of control?<\/strong><\/p>\n<p>Locus of control is the extent to which you think you control your life and, in this case, your business. It is a spectrum, with internal and external on either end.<\/p>\n<p>Individuals with an internal locus of control believe that their actions directly influence outcomes. They\u2019re the type of people who don\u2019t wait for opportunities, they make them.<\/p>\n<p>Those with an external locus of control attribute their successes and failures to external factors, such as luck or fate.<\/p>\n<p>Rather than trusting their instincts, they look for clear signs before taking risks.<\/p>\n<p><strong>How does your locus of control impact your business?<\/strong><\/p>\n<p>As a small business owner, it might feel natural to feel responsible for your business\u2019s performance, but this isn\u2019t the case for every entrepreneur.<\/p>\n<p>Ask yourself:<\/p>\n<ul>\n<li>Do you shoulder the responsibility for your business\u2019s performance?<\/li>\n<li>Do you view problems as opportunities to improve?<\/li>\n<li>What tools do you rely on to take risks?<\/li>\n<li>How do you respond to changing circumstances?<\/li>\n<li>How do you respond to external sources (such as guidance and market trends)?<\/li>\n<\/ul>\n<p>The answers to these questions indicate your perception of control over your business and how you shape decisions.<\/p>\n<p><strong>Internal locus of control <\/strong><\/p>\n<p>If you have an internal locus of control, you will typically have the following traits:<\/p>\n<ul>\n<li>Self-driven and reliant: You will take initiative to shape business outcomes, relying on your own judgement and instincts to inform decisions.<\/li>\n<li>Resilient: Equipped to face challenges head-on, you view setbacks as opportunities for growth and learning.<\/li>\n<li>Goal-oriented: A strong focus on setting and achieving ambitious goals, as well as seeking solutions when challenges arise.<\/li>\n<li>Risk-taking: More inclined to take calculated risks, viewing them as necessary for innovation and progress.<\/li>\n<\/ul>\n<p><strong>External locus of control <\/strong><\/p>\n<p>If you have an external locus of control, you\u2019re likely to have these attributes:<\/p>\n<ul>\n<li>Market sensitivity: You\u2019re highly responsive to market trends and customer feedback, adapting strategies to align with these shifts.<\/li>\n<li>Collaborative approach: You value partnerships, leveraging external networks for mutual benefits.<\/li>\n<li>Risk management: You excel in cautious risk assessment and crisis management, making well-informed decisions.<\/li>\n<li>Global perspective: You think beyond local constraints, understanding and capitalising on global market dynamics.<\/li>\n<\/ul>\n<p><strong>Bridging the gap: the role of business advisors <\/strong><\/p>\n<p>Most business owners find themselves somewhere in the middle of this spectrum. Recognising where you stand is key to harnessing your strengths and getting the guidance you need.<\/p>\n<p>For example, if you have an internal locus of control, being too self-assured can result in short-sighted decisions that impact your success in the long run.<\/p>\n<p>Similarly, if you have an external orientation, don\u2019t let your cautious approach prevent you from seizing opportunities.<\/p>\n<p>Getting guidance from a business advisor can provide a fresh objective, to help you see beyond your internal or external constraints.<\/p>\n<p>A business advisor can identify potential risks and opportunities to help you make a balanced, informed decision.<\/p>\n<p>They can also mentor you in how to adapt to market changes, whilst keeping your core business goals in mind.<\/p>\n<p><strong>If you need help with your business strategy, don\u2019t hesitate to contact us today. <\/strong><\/p>\n<p>&nbsp;<\/p>\n","protected":false},"excerpt":{"rendered":"<p>Running a small business involves a lot more than juggling logistics. Knowing how to tackle and overcome challenges is an essential aspect of entrepreneurship.<\/p>\n","protected":false},"author":2,"featured_media":5472,"comment_status":"closed","ping_status":"closed","sticky":false,"template":"","format":"standard","meta":{"footnotes":""},"categories":[24,30,56,31,87,4,26],"tags":[],"_links":{"self":[{"href":"https:\/\/www.bainesjewitt.co.uk\/blog\/wp-json\/wp\/v2\/posts\/5470"}],"collection":[{"href":"https:\/\/www.bainesjewitt.co.uk\/blog\/wp-json\/wp\/v2\/posts"}],"about":[{"href":"https:\/\/www.bainesjewitt.co.uk\/blog\/wp-json\/wp\/v2\/types\/post"}],"author":[{"embeddable":true,"href":"https:\/\/www.bainesjewitt.co.uk\/blog\/wp-json\/wp\/v2\/users\/2"}],"replies":[{"embeddable":true,"href":"https:\/\/www.bainesjewitt.co.uk\/blog\/wp-json\/wp\/v2\/comments?post=5470"}],"version-history":[{"count":1,"href":"https:\/\/www.bainesjewitt.co.uk\/blog\/wp-json\/wp\/v2\/posts\/5470\/revisions"}],"predecessor-version":[{"id":5471,"href":"https:\/\/www.bainesjewitt.co.uk\/blog\/wp-json\/wp\/v2\/posts\/5470\/revisions\/5471"}],"wp:featuredmedia":[{"embeddable":true,"href":"https:\/\/www.bainesjewitt.co.uk\/blog\/wp-json\/wp\/v2\/media\/5472"}],"wp:attachment":[{"href":"https:\/\/www.bainesjewitt.co.uk\/blog\/wp-json\/wp\/v2\/media?parent=5470"}],"wp:term":[{"taxonomy":"category","embeddable":true,"href":"https:\/\/www.bainesjewitt.co.uk\/blog\/wp-json\/wp\/v2\/categories?post=5470"},{"taxonomy":"post_tag","embeddable":true,"href":"https:\/\/www.bainesjewitt.co.uk\/blog\/wp-json\/wp\/v2\/tags?post=5470"}],"curies":[{"name":"wp","href":"https:\/\/api.w.org\/{rel}","templated":true}]}}