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Struggling and Thriving: Effectuation in Social and Economic Stress

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  • Masoud Karami

    (Marketing Department, Business School, University of Otago, Dunedin 9054, New Zealand)

  • Ben Wooliscroft

    (Marketing Department, Faculty of Business, Economics and Law, Auckland University of Technology, Auckland 1120, New Zealand)

  • Maryam Hejazinia

    (MBA Department, Asia School of Business (ASB), Kuala Lumpur 50480, Malaysia
    Business School, University of Hong Kong, Hong Kong)

Abstract

How do citizens respond when provisioning systems are severely changed and curtailed? We apply effectuation theory from the entrepreneurship literature to address a socio-economic issue. We used an online survey and collected data from 1014 citizens in Iran to investigate how an effectual logic of thinking as a psychological framework enables some citizens of a non-Western country to address the uncertainties caused by international economic sanctions and sustain their well-being. We find that optimistic members of society use their effectual logic to enhance their satisfaction with life and social and economic sustainability in the medium-longer run. This study contributes to the multifactorial view of quality of life as well as effectuation theory and enhances our understanding of social sustainability and how it can be cultivated. Implications for policymakers are provided.

Suggested Citation

  • Masoud Karami & Ben Wooliscroft & Maryam Hejazinia, 2024. "Struggling and Thriving: Effectuation in Social and Economic Stress," Sustainability, MDPI, vol. 16(4), pages 1-16, February.
    • Handle: RePEc:gam:jsusta:v:16:y:2024:i:4:p:1366-:d:1334324
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    References listed on IDEAS

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    Cited by:

    1. Masoud Karami & Yousef Mohammad Karimi & Mohsen Akbari & Juergen Gnoth, 2024. "Rural women entrepreneurship: when femininity compensates for institutional hurdles," Asian Business & Management, Palgrave Macmillan, vol. 23(5), pages 738-766, November.

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