Impact of Introverted and Extroverted Personality Traits on Innovative Behavior of Entrepreneurs in E-Commerce Businesses: with Special Reference to Colombo District

Abstract

Entrepreneurship is a critical driver of economic growth, yet there exists a common societal perception that extroverts are better suited for entrepreneurial success due to their social abilities and leadership skills. This often leads to the underestimation of introverts, who may possess equally valuable, if not more innovative, capabilities. Introverts, known for their deep thinking, strategic planning, and creativity, are frequently demotivated from pursuing entrepreneurial ventures due to the misconception that their quiet and reflective nature is a disadvantage in the business world. The aim of this study is to challenge this perception by investigating the impact of introverted and extroverted personality traits on the innovative behavior of entrepreneurs, focusing on e-commerce businesses within the Colombo District of Sri Lanka. The academic significance of this study lies in its contribution to the existing literature, addressing the gap concerning the role of personality traits, particularly introversion and extroversion, in fostering innovation within the entrepreneurial context of Sri Lanka. From a practical standpoint, this research provides valuable insights for both aspiring and existing entrepreneurs, helping them understand how their personality traits can be aligned with different roles in business. The methodology involved a quantitative approach, using structured surveys to gather data from 381 e-commerce entrepreneurs in Colombo District. The sample size was determined using Cochran’s formula, and convenience sampling was employed as the method of data collection. Correlation analysis was used to test the relationship between the variables and the regression model was used in assessing the impact of the introversion and extroversion— independent variables—on innovative behavior, the dependent variable. The findings revealed that introversion has a significant positive impact on innovation, while extroversion negatively affects innovative behavior in this context. These results revealed that extroversion is more advantageous for entrepreneurship, particularly in innovation-driven sectors like e-commerce. The study concludes that while extroverts excel in networking and leadership roles, introverts demonstrate stronger innovation capabilities, particularly in tasks that require deep thinking and long-term planning. The research fills a gap in the literature by providing a nuanced understanding of how personality traits influence innovation and offers practical recommendations for organizations to foster environments that support both introverted and extroverted entrepreneurs, allowing them to complement each other for balanced innovation. Furthermore, it suggests that introverts, with their creative problem-solving abilities, should be encouraged to pursue entrepreneurship, particularly in fields like e-commerce, where their strategic thinking offers a competitive edge.