Entrepreneurs’ regulatory focus, persistence and financial performance: the facilitating role of institutional support

Research on the effect of psychological precursors on firm-level outcomes is impoverished. A major question arising from this gap is: How do entrepreneurs drive firm-level outcomes? Using primary data from SMEs in Saudi Arabia, this study develops and tests an empirical model indicating that entrepreneurs' regulatory focus is drives entrepreneurs level of persistence. Moreover, this study examines whether persistence drives a firms financial performance. In addition, the study tests a moderation model which suggests that these linkages are moderated by institutional support.