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Managing Anxiety for Entrepreneurial Success

January 14, 2025 • By UC Irvine Paul Merage School of Business

Entrepreneurship often involves navigating high-stakes situations, with pitching to investors being among the most anxiety-inducing tasks. Research led by Professor Lily Yuxuan Zhu of Washington State University, with co-authors Professor Maia J. Young and Professor Christopher W. Bauman of the UC Irvine Paul Merage School of Business, explores how linking anxiety to passion can significantly enhance an entrepreneur’s pitch performance.

Their findings, published in The Journal of Business Venturing, offer a novel approach to managing anxiety in emotionally charged scenarios.

 

Where Anxiety Meets Passion

The study draws inspiration from existing work on emotion regulation, particularly research advocating for reframing anxiety as excitement. While this cognitive shift has proven effective, Young recognized that it might not work universally, especially in deeply nerve-wracking contexts. “We wondered, what is another way to use cognitive reappraisal to help us?” says Young. Their approach sought to empower entrepreneurs to link their anxiety to the passion they feel for their ventures rather than suppress or ignore their emotions.

 

Why Focus on Entrepreneurs?

Pitching to investors represents a perfect storm of elements: public speaking, high stakes, and the personal connection entrepreneurs often feel toward their ventures. As Bauman explains, “Many entrepreneurs don't have a lot of experience, and people in general are terrified about public speaking.” The study positions entrepreneurial passion as a unique resource, given how deeply invested individuals often are in their business ideas.

“Entrepreneurs can draw from this wellspring of passion for their ventures,” Young adds. This passion, they suggest, can turn anxiety from a liability into an asset when harnessed effectively.

 

From Theory to Venture Competitions

The team first investigated how entrepreneurs naturally manage anxiety. Initial surveys revealed a spectrum of strategies, with distraction being the most common. Few participants actively acknowledged and reframed their anxiety.

Subsequent studies tested their hypothesis in real-world scenarios, including participants in venture competitions. Researchers surveyed participants moments before their pitches, capturing their emotional states and strategies for managing anxiety as well as judges’ perceptions of their pitch.

 

Anxiety as a Performance Booster

The research unveiled a striking pattern: individuals who linked their anxiety to their passion for their projects consistently outperformed their peers. Judges rated these participants as more passionate and convincing, resulting in higher funding awards.

“People can improve their performance without necessarily eliminating the anxiety,” Bauman emphasizes. “It’s about adding the passion.”

 

Practical Implications: A New Tool for Entrepreneurs

To test its applicability, the team conducted interventions with business students, teaching them to consciously connect their anxiety with their enthusiasm for their projects. This simple yet powerful exercise improved participants’ presentation outcomes.

The findings have profound implications for entrepreneurial training. “In addition to teaching the nuts and bolts of crafting a pitch, we should also train entrepreneurs ways to manage their emotions,” says Young. Equipping individuals with the ability to reframe anxiety can lead to better outcomes in high-pressure situations, fostering resilience and adaptability.

 

Bridging Research and Reality

The study stands out for its focus on real-world stakes rather than controlled lab conditions. “This wasn’t just about generalizing a strategy,” Young notes. “We studied people in situations where their emotions and motivations were intensely real.”

By demonstrating the tangible benefits of linking anxiety to passion, the research not only fills a gap in emotion regulation literature but also offers actionable insights for professionals in high-stress fields.

 

Key Takeaway for All High-Stakes Scenarios

While tailored for entrepreneurs, the strategy of linking anxiety to passion has broader applications. It’s likely that public speakers, performers, and anyone facing pressure-filled moments can benefit from reconnecting with their passion for what they are doing.

In the words of the researchers, the ultimate goal isn’t to silence anxiety—it’s to amplify passion and turn it into a driving force for success. “I think that's an important part of our research,” says Young. “The people in our study who saw their anxiety as a natural part of being passionate essentially added their passion to their anxiety, and they performed better than those that didn’t. Acknowledging anxiety in light of their passion is the key.”