This dissertation features three empirical studies on entrepreneurship and innovation. These studies combine knowledge from different fields of discipline, such as Econometrics, Management, and Psychology. In this research, I examine the entrepreneurial process that goes from the individual innovator to making an impact in the market through innovation. The first study assess the role of psychosocial development in business venturing. The second study examines the effect of imaginativeness on opportunity evaluation. The third study measures the impact of entrepreneurial motives on innovation in the market, with a focus on formal and informal institutional conditions. The findings show that personal accountability predicts entrepreneurial self-efficacy, which subsequently leads to a stronger entrepreneurial performance. Imaginativeness is a strong predictor of entrepreneurial orientation and opportunity evaluation. Opportunity-driven entrepreneurs are more likely to engage in radical innovation, new product introductions, and profound market expansion.