A recent study published in the journal Neuron, as reported in Ars Technica, has particularly relevant conclusions for the entrepreneurial mind—both positive and negative.
John Timmer reports in Ars Technica that “in the brain, neural activity associated with a novel choice occurred in an area identical to that activated when a known image triggered the expectation of a positive result. In essence, the test subjects chose novelty because their brains—specifically, the right ventral striatum—interpreted it in a manner similar to a known positive result. To confirm that this was specific to novelty, the authors determined that the degree of activity in specific test subjects correlated with the frequency that they choose a previously unknown image. The activity also correlated with novelty-seeking behavior when the subjects filled out a personality survey. Overall, the researchers build a pretty compelling case that people try the new in part because they view a novel choice as its own reward.”
Entrepreneurial advisors often speak about risk tolerance and, more specifically, how the more entrepreneurial among us tend to possess a higher degree of it. Many suggest that, like similarly elusive qualities of successful “leadership,” these traits or risk profiles can be learned.
I used to argue passionately against the idea that these qualities could ever be learned. I’d like to revise my position a bit. After 20 years, I think that if those skills (or a tolerant/positive perspective regarding risk) aren’t learned early, there is little to suggest that later training will remake an individual in any substantive way. By the time you’re in your twenties (and maybe earlier than that), you either have it in your blood or you don’t. But in both cases, what’s “in your blood” are learned patterns of perception and behavior. This isn't quite the same thing as Warren Buffet's comment about being careful to choose one's parents wisely, but it reinforces the huge impact of early experiences on future psychological profiles.
In short, acquiring most skills—including entrepreneurial ones—is much like acquiring a second language—nothing beats starting early.
On the negative side, there is an interesting note toward the end of John Timmer’s article: “The authors note that there are limits to this behavior. Nearly any animal humans have tested will learn to avoid novelty if it is frequently associated with negative outcomes.” Thus we have a base neurological rationale explaining why some cultures that punish failure more severely may tend to perpetuate more risk-averse perspectives among its citizens.
