The Model of Internalization of Locus of Control: A Grounded Theory Approach

Abstract

Over the years, academic literature has systematically linked internal locus of control to entrepreneurial accomplishments and motivation. This chapter presents a micro-level theory to explain the process of internalization of locus of control among entrepreneurs and working professionals under stress. When corporate entrepreneurs and professionals have self-efficacy to exercise control over their work outcomes, it impacts self-regulation and utilizing of cognitive skills, both of which lead to work behaviors that make it possible to internalize locus of control. Self-efficacy will trigger self-regulation and cognitive skills when there is a supportive external organizational environment, which nurtures an internal environment (within the professional) where self-efficacy can be high. Such an approach could serve to render stress more manageable, bolster productivity, and enhance the overall quality of entrepreneurs' and employees' work lives.