Building an entrepreneurial potential index (EPI) for managers

Abstract

In the absence of consensus on the competences that define an entrepreneurial profile, this study addresses two key questions: which competences should managers possess to perform their roles entrepreneurially? Which of these competencies are valued by successful entrepreneurs when hiring entrepreneurial managers? To answer these questions, this article combines a comprehensive literature review with evidence provided by a panel of 17 successful entrepreneurs. The resulting catalogue of competences and abilities is useful in both academic and business contexts and enabled the development of a novel, employer-oriented entrepreneurial potential index (EPI), which provides an integrated measure of these competences and abilities. Moreover, this EPI has been validated on an internationally diverse sample of 278 business administration students enrolled at Spanish universities. These findings offer faculty a validated competence framework for curriculum development and entrepreneurs a practical guide for hiring entrepreneurial managers.