The retention of ethnic minorities is a major problem in American colleges and universities. This study deals with the factors that affect adjustment to college and, in particular, to achievement of "bicultural efficacy" for this group. Bicultural efficacy is defined as an individual's expectations that he or she can (or cannot) manage the stress and conflict of living in two cultures at the same time without suffering negative psychological consequences or compromising his/her personal and cultural identity. Participants included 88 ethnic minority freshmen and a random sample of 30 Anglo freshmen from a private university in the West. Of these, 57 completed the study. Bicultural efficacy was assessed by the Bicultural Efficacy Scale, a sub-scale of the College Behavior Scale. Results of the study indicated that those students who have high bicultural efficacy scores have the perception of having adequate social support. A strong negative correlation was found between bicultural efficacy and both college adjustment and the grade point average. The study also found that the more a minority student was affiliated with Anglo culture the better was his/her college adjustment and academic performance. The findings support the hypothesis that academic success is a function of the individuation process. Included are 4 tables, 1 figure, and 21 references. (JB)