Emotional paths leading to opportunity desirability and feasibility beliefs through controllability

Abstract

Extant studies promote opportunity belief as an antecedent of entrepreneurial action. However, we do not sufficiently understand how beliefs about the desirability and feasibility of an entrepreneurial opportunity are formed. We argue that desirability and feasibility are related but distinct micro-foundations of entrepreneurial action formed through different cognitive-emotional mechanisms. Drawing on the appraisal tendency framework, we investigate the indirect effects of three basic emotions (anger, fear and happiness) on desirability and feasibility through the appraisal tendency of controllability. In an experimental study (N = 191), we find evidence for the distinctiveness and interconnectedness of desirability and feasibility beliefs. In addition, our findings show that desirability can be predicted by emotions through controllability, but we cannot predict feasibility through the same appraisal process. Our study seeks insights concerning how desirability and feasibility beliefs regarding an entrepreneurial opportunity are distinctively formed based on the inner cognitive and emotional processes of individuals.

Feel the commitment: From situational emotional information to venture goal commitment

“…With this finding, we further our knowledge about opportunity evaluation and contribute to the appraisal theory in entrepreneurship (e.g. Foo, 2011;Podoynitsyna, van der Bij, & Song, 2012;Welpe et al, 2012) by extending previous research that has shown how appraisals emerge based on discrete emotions in the start-up process (Ivanova, Treffers, & Langerak, 2018); our study shows that evaluations of an opportunity can also emerge when different types of emotional information are provided and by showing how they influence venture goal commitment. In addition, this finding relates to Lazarus appraisal theory (Lazarus, Kanner, & Folkman, 1980) that states that the evaluation of an objectin this case the venture opportunityis only informed by appraisals if the given information is of compelling personal value.…”

“…This argument is based on appraisal theory, which states that people's cognitive appraisals of situations generate specific emotional responses which can affect judgement, decision making, and behaviour (Lerner & Keltner, 2000;Smith & Ellsworth, 1985;Tiedens & Linton, 2001). Extant entrepreneurship research has already built on appraisal theories showing that emotions and cognitive appraisals can influence opportunity desirability and feasibility beliefs as micro-foundations of entrepreneurial action (Ivanova, Treffers, & Langerak, 2018), opportunity evaluation and exploitation (Welpe et al 2012), risk preferences (Foo, 2011;Podoynitsyna, Van der Bij, & Song, 2012).…”

Social Norms and Entrepreneurial Action: The Mediating Role of Opportunity Confidence

“…Krueger et al argue that higher levels of self-efficacy increase perceptions of venture feasibility, thus fostering entrepreneurial behavior [38]. In this paper, ESE is defined as entrepreneurs' self-efficacy in accomplishing value creation [22,24].…”

“…Nevertheless, perceived desirability should be domain specific in order to be equivalent to attitude toward action [4,50]. The entrepreneur's attitude toward value creation (AVC) or opportunity desirability [22,24] is the conviction that offering the new product, service, or venture is the right course of action [54]. The theory of planned behavior [55] holds that because attitude toward action is important predictor of intention, it might also increase the motivation to obtain practical market knowledge prior to action.…”

“…The construct of opportunity confidence is applied [4,22], which in this paper focuses on the links between social norms and action. Opportunity confidence pertains to two behavioral beliefs about a new idea at hand, namely opportunity feasibility (that I have the knowledge, resources, and competency to perform the opportunity) and desirability (that the opportunity is attractive for me) [23,24]. The context of this research is Iran, with data from science and technology parks (STPs) located in the country applied.…”