Do Gates's And Musk's Personality Types Predict Entrepreneurial Success? University Team Uses AI To Find The Secrets

Billionaires Elon Musk, Bill Gates and Jeff Bezos are all successful entrepreneurs, but what traits do they share that allow them to succeed? And what are the main characteristics entrepreneurs exhibit that give them the best odds of turning a startup into the next trillion-dollar market cap company? A multidisciplinary team of university researchers conducted a study to find out. 

Researchers from the University of New South Wales, the University of Oxford, the University of Technology Sydney and the University of Melbourne discovered key traits about founder personalities that lead to success. 

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The research team looked at multiple data points to find correlations that linked startups' characteristics with founders' personalities and the startups' eventual fortunes. They found location plays a crucial role, with startups based in dynamic cities like San Francisco, London, or Berlin having a higher likelihood of success. They also found startups older than seven years old were more likely to succeed due to having more time to develop within a market. 

The research team used artificial intelligence (AI) algorithms and a five-factor model to learn more about the different personality types as it reviewed founder information from 21,00 startups from around the world. 

They compared thousands of founders and gathered employee data to spot personality trait combinations more frequently seen among entrepreneurs. 

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Entrepreneurs tend to exhibit a strong desire for variety, novelty and being the center of attention. The researchers found having these traits also relates to higher instances of risk-taking, enthusiastic networking and exhibiting relentless energy. Many successful entrepreneurs exhibit those three attributes. Because starting a company is always a risk, a strong network opens many avenues, and founders need energy to inspire employees and work long hours. 

The research identified six distinct founder personality types: leader, accomplisher, operator, developer, fighter and engineer. They found each type features subtle personality traits. 

Gates, co-founder of Microsoft Corp., epitomizes the leader personality type. He left Harvard University to pursue a risky dream of starting a software company, which shows the "openness to adventure" trait the research team assigned to this personality type. His founding story tracks with other entrepreneurs building companies against steep odds through the force of their energy and ability to lead others. The researchers determined another leader is Richard Branson, founder of the Virgin Group of companies and noted adventurer. 

Bezos is a well-known accomplisher. He founded Amazon.com Inc. in Seattle, envisioning it as the ideal location for a national distribution hub for millions of books. Such meticulous planning helped Bezos and Amazon realize broader goals, as the company tapped into Seattle's rich employee base and expanded into dozens of industry verticals. Businessman Michael Bloomberg is another accomplisher who built a financial empire. 

The research team also looked at Musk, leader of Tesla and CEO of SpaceX, as an engineer with a boundless imagination. His audacious goals, like colonizing Mars and designing the Tesla Cybertruck, showcase his engineering prowess and related personality traits. 

The research team found startups that combine a diverse blend of founder personalities are eight to 10 times more likely to succeed. For example, Canva's co-founders bring a blend of technical intellect, assertive dealmaking, energy, trustworthiness and adventurousness, creating a mix of traits and skills that help the company succeed and attract customers. 

Understanding founder personality types provides valuable insights into team dynamics and performance, which employees — not just entrepreneurs — can use to improve their work teams or their own leadership skills. 

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