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Exploring the benefits and risks of displayed passion in entrepreneurial pitches

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  • Xianzhe Jin
  • Arran Caza
  • Zhenyu Wu

Abstract

Should entrepreneurs display their passion when pitching a business idea to potential funders? Entrepreneurial passion is important, but evidence about the effect of displayed passion in venture financing appears contradictory. We integrated the emotions-as-social-information perspective and regulatory focus theory in two studies using crowdfunding projects and survey responses (total N = 2,187 participants) to reveal that entrepreneurs’ displayed passion exerts two opposing effects: increasing the likelihood of funding success by fostering potential investors’ enthusiasm, while decreasing the likelihood of funding success by intensifying potential investors’ perception of risk. We also showed that an entrepreneur’s use of promotion-focused language can mitigate the negative effects of displayed passion. The results illuminate the links between displayed passion and investors’ funding decisions, resolve apparent conflict in prior findings, offer guidance for future study, and have practical implications for entrepreneurs and investors.

Suggested Citation

  • Xianzhe Jin & Arran Caza & Zhenyu Wu, 2025. "Exploring the benefits and risks of displayed passion in entrepreneurial pitches," Journal of Small Business Management, Taylor & Francis Journals, vol. 63(1), pages 37-69, January.
    • Handle: RePEc:taf:ujbmxx:v:63:y:2025:i:1:p:37-69
    DOI: 10.1080/00472778.2024.2306864
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