Negative emotions an asset for entrepreneurs

Negative emotions such as frustration, anxiety and disappointment do not have to be an obstacle for entrepreneurs – they can actually become a driving force. This is shown in a new doctoral thesis from Jönköping International Business School at Jönköping University (JU).

“We tend to see negative emotions as something that slows down development, but my research shows that in certain contexts they can create energy and drive – especially when resources are limited,” says Rida Ijaz, who recently defended her thesis at JU.

In her thesis, Rida Ijaz has investigated how entrepreneurs manage scarce resources in challenging environments, focusing on small business owners in Pakistan. The results show that emotions – both positive and negative – influence how entrepreneurs act.

Seeing opportunities where others see obstacles

Being resourceful as an entrepreneur is about being able to use and combine available resources in a smart, creative and effective way – especially when they are limited. This can include everything from money and networks to knowledge and community. It means seeing opportunities where others see obstacles and being able to think innovatively with what you already have.

“In times of uncertainty and change, the ability to be resourceful is often crucial. It can be the difference between succeeding and failing in running a business,” says Rida Ijaz.

Rida's research shows that negative emotions often become a driving force in crucial situations, and this also applies to small business owners with stable finances.

“Many of the entrepreneurs I followed experienced strong negative emotions, but these often became a driving force rather than an obstacle. In stressful situations, emotions such as frustration could lead to action, innovation and collaboration,” she says.

The study also shows that entrepreneurs who are part of a local network or community are better at dealing with limitations. By sharing resources, ideas and contacts with other entrepreneurs, they created solutions that would have been difficult to achieve on their own.

Emotions are an important resource in business development

“A surprising discovery was how deeply entrepreneurs interact with their networks. Even in difficult times, they experienced positive emotions such as joy, pride and hope thanks to the support of other entrepreneurs and members of the community,” says Rida Ijaz.

The research is important for both entrepreneurs and decision-makers. It shows that emotions should not be ignored in business development – on the contrary, they can influence how resource management is carried out. At the same time, the study highlights the importance of community and collaboration.

Rida hopes that the results can contribute to the development of support programmes and policies that take into account both psychological and social factors – especially for small business owners in vulnerable environments.

“Entrepreneurs need to become more aware of how emotions affect their behaviour. By understanding emotions in a constructive way and seeking support from others, they can strengthen their ability to deal with challenges,” says Rida Ijaz.

Read the full doctoral thesis. External link, opens in new window.