THE ENTREPRENEURIAL PERSONALITY 13as it stifl es information fl ow, hampers decision - making, and inhibits the
attraction and retention of capable managers. In this entrepreneur ’ s situ-
ation, although his subordinates admired many of his qualities, they
deeply resented not being given any authority. The good, creative per-
formers left; the downtrodden and mediocre stayed.
The lack of true accountability in this situation meant that informa-
tion needed for decision - making did not circulate. As a result, sales and
profi ts stagnated and the future growth of the enterprise was endan-
gered. Buyers of entrepreneurial companies started by such people should
be prepared to inherit a passive and somewhat ineffectual management
group.
Sense of Distrust
The need for control is closely linked to suspicion of others. Some of
the entrepreneurs I have known stand out as extreme examples because
of the strength of their distrust in the world around them. They have a
strong fear of being victimized or taken advantage of. They are always
prepared for the worst. Paradoxically, many of them feel at their best
when their fortunes are at their lowest. When they are riding the success
wave, they imagine themselves incurring the envy of others. So as not
to tempt the wrath of the gods, when people ask them how things are,
they respond by saying that business is only ‘ so - so ’ or ‘ not too bad. ’ But
if their fortunes turn and they are close to bankruptcy, they seem to feel
as if they have paid some necessary price, done their penance for having
been successful. Because it produces a sense of relief, ironically, their
predicament can have a positive effect. With the alleviation of anxiety,
they have the energy to start anew, which they do with enthusiasm and
a sense of purpose.
People who possess these kinds of personality characteristics are
continually scanning the environment for something to confi rm their
suspicions. This behavior pattern does, of course, have its constructive
side: it makes the entrepreneur alert to competitors ’ , suppliers ’ , custom-
ers ’ , or government moves that affect the business. Anticipating the
actions of others protects them from being taken unaware. But such
vigilance can also lead them to lose any sense of proportion. Focusing
on certain trouble spots and ignoring others, entrepreneurs like this may
blow up trivial things and lose sight of the reality of the situation.
When a strong sense of distrust assisted by a need for control takes
over, the consequences for the organization will be serious: sycophants
will set the tone, people will stop acting independently, and political