ABSTRACT

The article presents the better than average effect as one of the three aspects of the overconfidence bias (miscalibration, illusion of control and better than average effect) and also brings evidence concerning the influence of this aspect upon the entrepreneurial decision, simulated by the Market Entry Game. We also analyze the previous similar studies, and discuss the limits of these approaches, suggesting and testing some new elements for the research designs used in this area.

KEYWORDS: overconfidence bias, better than average effect, entrepreneurial decision, market entry game