Emotion and Business Exit

Abstract

This article examines the impacts of emotional disengagement on business exit strategies. Analysing survey data of 402 entrepreneurs across the UK we find that entrepreneurs’ emotional disengagement mediates the relationship between their vision for business and their exit strategies. However, the mediating effect varies according to their planned route to leave, including cessation, harvest, and stewardship. The paper makes three contributions. First, it helps explain the business exit from emotion point of view. Second, by illustrating the emotional disengagement-exit decision relationship, a link is established between research on disengagement and turnover intentions, to the field of entrepreneurship. Third, it provides evidence to help develop relevant non-financial and behavioural orientated support for those entrepreneurs seeking to exit their business.