Career Booster or Dead End? The Double-Edged Sword Effects of Entrepreneurial Fear of Failure on Entrepreneurial Exit Intentions in the Process of Sustainable Entrepreneurship

Based on self-regulation theory, this paper constructs two paths through which entrepreneurial fear of failure affects entrepreneurial exit intentions, and explores the moderating effect of the locus of control. We analyze a sample of 308 entrepreneurs from small and medium-sized private enterprises located in Southeast China. The results shown that entrepreneurial fear of failure not only stimulates entrepreneurial identity centrality in a self-regulated driving state but also leads to emotional exhaustion in a state of self-regulated depletion, with two effects on entrepreneurial exit intentions. The facilitating effect of entrepreneurial fear of failure on entrepreneurial identity centrality is stronger for internals than externals, whereas the facilitating effect of entrepreneurial fear of failure on emotional exhaustion is stronger for externals than internals. This research provides a theoretical basis and managerial insights for using entrepreneurial fear of failure to motivate its promoting effects and inhibit its hindering effects on sustainable entrepreneurship.