Abstract
Crises hamper entrepreneurship by eroding the entrepreneurs’ resource bases. Entrepreneurial resilience, the act of maintaining functioning during adverse circumstances, requires using resources to counteract disruptions. Building on these ideas, we develop theory as to how entrepreneurs operating in extreme poverty settings may behave resiliently when confronted with crisis-related losses. Through a grounded-theoretical analysis of entrepreneurship in South-West Cameroon, we identify three behaviours entrepreneurs enact in reaction to losses: negative, need-driven, and causal effectuation. Then, we build theory as to how the entrepreneurs’ effectual behaviours enable them to build resilience against current and future adversity.
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