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Abstract
For entrepreneurs, financial adversity is one of the most dominant causes of stress. Such entrepreneurial adversity can, on the one hand, lead to successful coping or, on the other hand, to maladaptive coping, helplessness, and desperation. In this study, author explores locus of control as psychological capital that contributes to entrepreneurial resilience in the face of prolonged economic adversity. Findings from a sample of 135 entrepreneurs show that entrepreneurial adversity is negatively associated with job satisfaction and self-reported health. Secondly, results reveal a significant moderating effect of locus of control on the adversity-well-being relationship.
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