Intention to reengage in entrepreneurship: Performance feedback, sensation seeking and workaholism

Abstract

This study investigates whether prior success or failure feedback motivates individuals to reengage in entrepreneurship. Three studies test the moderating effects of the dispositional factors of sensation-seeking and workaholism on this relationship. Study 1 is a hybrid experiment that employs video manipulations to engage 136 student participants. Study 2 is a field survey with a sample of 189 real-world entrepreneurs who had shut down or discontinued a prior business. Study 3 is also a field survey with a sample of 340 ex-entrepreneurs who do not currently operate a business. The results of the three studies demonstrate that entrepreneurs' compulsion (i.e., sensation seeking and workaholism) can suppress cognition (i.e., prior performance feedback) in the decision of whether to reengage in entrepreneurship. These findings provide a psychological perspective that extends beyond commonly studied cognition and overconfidence theories.