Colors and Entrepreneurial Activities: An Exploratory Study

Colors may enhance entrepreneurial behavior. It is well known that creativity can lead to entrepreneurial behavior, and it is argued in the psychology literature that colors can influence an individual's creativity. In this paper, we explore the empirical relationship between colors and entrepreneurial behavior under the literature-based hypothesis that yellows and oranges enhance an individual's creative emotions. Our findings open the door for future research on the psychology of colors and entrepreneurship. This paper brings together insights from several disciplines to explore the relationship between colors and trends in U.S. entrepreneurial behavior. Based on the annual trend of Colour of the Year, introduced by the Pantone Colour Institute, and the annual trend in the Kauffman Foundation's Early-Stage Entrepreneurial Activity Index, we show a positive statistical relationship between these two metrics over the period 2000 through 2019. Our paper concludes with a call for additional research on the effect of emotional and psychological influences in the economy on entrepreneurial behavior.