In examining the impact of conflict on team performance, researchers have classified three types of conflict, affective conflict, task conflict, and procedural conflict. While early theorists focused on the negative effects of conflict (Brown, 1983; Hackman & Morris, 1975; Pondy, 1967; Wall & Callister, 1995), it has also long been argued that task conflict can be beneficial in that it forces people to consider different perspectives and confront issues (Coser, 1956; Deutsch, 1973; Walton, 1969). More recently, scholars have proposed that the three types of conflict cannot be viewed in isolation from each other and that the more important issue is the proportion of conflict that is either task related, affective, or procedural (Jehn & Chatman, 2000). Building on this work we developed three hypotheses regarding the relationship between proportional conflict among senior managers in entrepreneurial firms and subsequent firm performance:

H1: Proportional affective conflict will be negatively related to new venture performance
H2: Proportional task conflict will be positively associated with new venture performance
H3: Proportional procedural conflict will be negatively associated with new venture performance.