The subject of this research is entrepreneurial behaviour and how
organisational psychology serves to explain what motivates and drives
entrepreneurial behaviour amongst men and women. The theoretical framework
of McClelland’s psychological motivation needs theory (1961) is applied (1) to
examine entrepreneurs’ and employees’ needs for achievement, affiliation and
power; (2) to determine to what extent psychological motivation needs, if at all,
differ between established entrepreneurs and employees; (3) to explore the
possible extension of motivation needs from entrepreneurs to employees; and
(4) to compare motivation needs on a gender basis between employer and
employees. The needs that motivate entrepreneurs and employees sometimes
compete and hence the confrontational positioning between entrepreneur and
employee and between genders, is taken for this study. The state of Malacca was
selected as the site for a survey using the questionnaire technique. The sample
size for study was 220 respondents comprising of employers and employees of
both genders. 197 questionnaires were collected from 94 entrepreneurs (85.5 %)
and 103 (93.6 %) employees. The research findings were: MacClelland's
psychological motivation needs influences the local entrepreneur and employee
just as it does in the West; entrepreneur motivational needs coincide
irrespective of entrepreneurs’ gender; and finally, dissatisfaction with the
working environment can also give rise to an employee’s motivation need of
power to become an entrepreneur.