The belief that one has the capabilities to execute the courses of actions required to manage prospective situations. Unlike efficacy, which is the power to produce an effect (in essence, competence), self-efficacy is the belief (however accurate) that one has the power to produce that effect.

It is important here to understand the distinction between self esteem and self efficacy. Self esteem relates to a person’s sense of self-worth, whereas self efficacy relates to a person’s perception of their ability to reach a goal. For example, say a person is a terrible rock climber. They would likely have a poor efficacy in regard to rock climbing, but this wouldn’t need to affect their self-esteem; most people don’t invest much of their self esteem in this activity.