What does it take to start a business? Constraint appraisal as predictor of taking entrepreneurial action among nascent entrepreneurs

Combining the transactional ideas of cognitive appraisals and the affective events theory, we explore the subjective nature of entrepreneurial constraints and its consequences for nascent entrepreneurial action. In Study 1, we developed a measure of entrepreneurial constraint appraisal (opportunity and threat). In Study 2, using a cross-lagged panel design, we found that entrepreneurial passion mediates the positive relationship between opportunity appraisal and taking action. In Study 3, findings provided support for the long-term effects of this relationship (3 and 9 months after). Our study provides empirical evidence on how constraints evaluated as opportunities ignite entrepreneurial passion and lead to nascent entrepreneurship activity.