Entrepreneurship has become the catchword of our time (Kao, 1995). It has become so much familiar and popular that almost every person can readily relate to and identify with. Hence, it is significantly interviewed with our daily lives-our day-to-day existence. Undeniably, many people today envision themselves becoming successful entrepreneurs. Making an enterprise successful, however, requires a high degree of effort in an environment where consumers are becoming more and more difficult to satisfy (Edralin, 1998). Hence, the present study is initiated on psychological characteristics and its impact on firm Performance: a case study of small medium entrepreneurs in Sri Lanka with the sample of ninety entrepreneurs. Cluster sampling was used in drawing samples for this study. The data obtained was factor analyzed to determine the psychological entrepreneurial characteristics of Sri Lanka. Further, correlation and multiple regression analysis were performed in order to test the hypotheses. The results from the operational hypotheses indicate that there is a significant relationship between psychological characteristics and firm performance; In addition, psychological characteristics have statistically positive impact on firm performance.
Psychological Characteristics, Firm Performance, Small and Medium Entrepreneurs
