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Entrepreneurial Re-Entry Post an Economic Crisis

Entrepreneurial Re-Entry Post an Economic Crisis
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Author(s): Etayankara Muralidharan (MacEwan University, Canada)and Saurav Pathak (Raymond A. Mason School of Business, William & Mary, USA)
Copyright: 2023
Pages: 25
Source title: Handbook of Research on Entrepreneurship and Organizational Resilience During Unprecedented Times
Source Author(s)/Editor(s): Wassim J. Aloulou (Imam Mohammad Ibn Saud Islamic University, Saudi Arabia & University of Sfax, Tunisia)
DOI: 10.4018/978-1-6684-4605-8.ch005

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Abstract

In this chapter, insights from prospect theory and institutional theory are used to explore how societal-level well-being and inter-personal trust interplay with political stability of the country to facilitate re-entry of entrepreneurs who have exited because of an economic crisis. The conceptual model presented suggests that informal institutional conditions of societal well-being, inter-personal trust, and their interplay with political stability of the country are key to subsequent entrepreneurial intensions by entrepreneurs who have exited unfavourably during an economic crisis. The suggestions of the model are used to discuss implications related to the present COVID-19 pandemic and survival of entrepreneurship after the pandemic.

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