Thwarted by fear of failure, reignited by psychological resilience: Entrepreneurs’ responses to a health crisis (COVID-19) and passion for developing

Abstract

Crises always have an effect on entrepreneurship and the recent COVID-19 pandemic amplified the impact. Research has provided ample evidence on influences of the COVID-19 pandemic as a socioeconomic crisis for entrepreneurs and their ventures. However, considered a highly infectious disease, COVID-19 is also a personal health crisis that has posed a health threat to entrepreneurs. This research aims to develop and test a model of how and when entrepreneurs' psychological responses to COVID-19 can affect passion for developing based on the job demands-resources theory. Using a time-lag design, results reveal that entrepreneurs' COVID-19 representations can thwart the components of passion for developing through arousing fear of failure. Further, entrepreneurs’ psychological resilience impact changes in these negative, indirect effects. These findings provide important implications for the literature on the linkage between entrepreneurship and crisis and the manifestation process of entrepreneurial passion from the demands-resources process perspective.