van Hugten J, Vanderstraeten J, van Witteloostuijn A, Coreynen W. When the going gets tough, the entrepreneurs get less entrepreneurial?
PLoS One 2023;
18:e0290253. [PMID:
38134203 PMCID:
PMC10745155 DOI:
10.1371/journal.pone.0290253]
[Citation(s) in RCA: 0] [Impact Index Per Article: 0] [Reference Citation Analysis] [Abstract] [MESH Headings] [Track Full Text] [Journal Information] [Subscribe] [Scholar Register] [Received: 01/31/2023] [Accepted: 08/04/2023] [Indexed: 12/24/2023] Open
Abstract
We investigate how the 2008-2012 economic crisis relates to entrepreneurs' confidence ten years later and, in turn, their venture's entrepreneurial orientation. Conceptually, we introduce the new concept of 'hard times' to capture an entrepreneur's sense of their venture's hardship during the crisis. Theoretically, we extend ideas on imprinting, to build the argument that hard times cause a persistent reduction in an entrepreneur's entrepreneurial self-efficacy and sense of job security, both of which in turn cause a contemporaneous reduction in their venture's entrepreneurial orientation. We contrast the crisis imprinting hypothesis with a hypothesis from the more established behavioral theory of the firm. Strikingly, rich data of about 300 Flemish entrepreneurs and their ventures are in line with a small crisis imprinting effect.
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