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Entrepreneurial intentions in the context of a natural disaster

Author

Listed:
  • Carla Bustamante
  • Carlos Poblete
  • José Ernesto Amorós

Abstract

Purpose - This research aims to explore the moderating effect of a natural disaster on the well-studied relationship between entrepreneurship-oriented beliefs (behavioral, normative, and control beliefs) and entrepreneurial intentions. Design/methodology/approach - This study relies on data from the Global Entrepreneurship Monitor before and after the earthquake that took place in Chile on February 27, 2010. The study was performed by applying a multilevel hierarchical logit regression over a sample of 14,724 individuals from the six more affected regions. Findings - The results indicate that a natural disasters shape the relationship between entrepreneurial intentions and all its three motivational antecedents, however in opposing directions. The results also suggest that a natural disaster strengthens the relationship between entrepreneurial attitudes and entrepreneurial intentions; nevertheless the effect of subjective norms becomes less relevant in shaping entrepreneurial intentions. Furthermore, the authors found that the earthquake had a positive effect on the relationship between perceived behavioral control and entrepreneurial intentions. Originality/value - This study advances the emerging stream of research on the micro-level consequences of exogenous shocks and how they shape individual functioning. A key implication for policymakers wishing to facilitate the recovery phase after a natural disaster is that it is important to focus on fostering entrepreneurship by developing individuals' personal attitude and perceived control over the firm-creation behavior, rather than relying on the perceived social pressure to become an entrepreneur.

Suggested Citation

  • Carla Bustamante & Carlos Poblete & José Ernesto Amorós, 2020. "Entrepreneurial intentions in the context of a natural disaster," International Journal of Emerging Markets, Emerald Group Publishing Limited, vol. 17(5), pages 1198-1217, December.
    • Handle: RePEc:eme:ijoemp:ijoem-10-2019-0846
    DOI: 10.1108/IJOEM-10-2019-0846
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    Citations

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    Cited by:

    1. Estrin, Saul & Guerrero, Maribel & Mickiewicz, Tomasz, 2024. "A framework for investigating new firm entry: The (limited) overlap between informal-formal and necessity-opportunity entrepreneurship," Journal of Business Venturing, Elsevier, vol. 39(4).
    2. Evila Piva & Massimiliano Guerini, 2023. "The impact of the COVID-19 pandemic and pandemic-related policies on new firm creation: an analysis of the Italian case," Small Business Economics, Springer, vol. 60(3), pages 1009-1031, March.

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