Scientists have shown what many have always suspected – that entrepreneurs’ brains are different to those of managers. A study at Cambridge university, published on Thursday in the journal Nature, found that entrepreneurs’ brains were more active in the region responsible for taking “risky or hot” decisions.
The researchers suggested that the type of risk-taking essential to the entrepreneurial process could be taught, or enhanced by drugs.
Their study is the first to assess successful entrepreneurs through neuroscience rather than psychological questionnaires, said Barbara Sahakian, the research leader. On “cold” decision-making tests – those that are emotionally neutral with no need to weigh up rewards and punishments – entrepreneurs and managers performed equally well.
But tests involving “hot” or risky decisions showed a marked difference between the two groups. In a computerised gambling game, in which participants had to bet on the location of a token hidden in boxes of different colours, entrepreneurs consistently wagered higher stakes. The entrepreneurs were also more impulsive and mentally more flexible than the managers. Sixteen entrepreneurs who had each founded at least two high-tech companies were recruited for the assessment from the Silicon Fen cluster around Cambridge. The control group consisted of 17 senior managers from the private and public sectors, matched for age, intelligence and social background with the entrepreneurs.
A previous study of the same gambling game in the population had shown that risk-taking declined with age. Both entrepreneurs and managers in the study had an average age in the early 50s but while managers showed risk-taking appropriate to their age group, the entrepreneurs acted like people 30 years younger.
The findings show that entrepreneurs have enhanced activity in the “medial and orbital sectors of the prefrontal cortex”, the brain area just above and behind the eye sockets, where hot mental processes take place.
Prof Sahakian said psychologists and biomedical researchers traditionally viewed risk-taking in a negative light, through the prism of mental disorders leading to harmful behaviour. But the research aims to identify and enhance the positive aspects of risk-taking.
“This study has shown that not all risk-taking is disadvantageous, particularly when combined with enhanced flexible problem solving,” she said. “In fact, risky or ‘hot’ decision-making is an essential part of the entrepreneurial process and may be possible to teach, particularly in young adults where higher risk-taking is likely and age-appropriate.”
By Clive Cookson, Science Editor
source:Financial Times Limited
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