Portfolio Entrepreneurs' Strategic Responses to the <scp>COVID</scp> ‐19 Outbreak: The Role of Adaptation, Decision‐Making, Temporality, and Coordination

ABSTRACT This study explores the immediate responses of portfolio entrepreneurs (PEs) in the Netherlands to the onset of the COVID‐19 pandemic. Employing a longitudinal design, real‐time data were collected from 21 PEs through verbal interviews and open‐ended questionnaires, capturing their initial entrepreneurial reactions. A grounded theory approach was applied to analyze the cross‐sectional data, complemented by sequential processual in‐depth interviews to provide contextual depth. Venture portfolio descriptions and secondary data were incorporated to facilitate triangulation and enhance the robustness of the findings. The findings provide valuable insights into the mechanisms through which unexpected crises shape immediate entrepreneurial responses. Four key factors were identified as central to these responses: (1) PEs' adaptability to constraints on entrepreneurial activities (e.g., “theme restrictions”), (2) adjustments in decision‐making logic, (3) the perception of temporality, particularly regarding the anticipated duration of the crisis, and (4) the responsiveness to managerial control systems (e.g., “coordinative practices”). These dimensions are shaped by the entrepreneurs' application of both retrospective and prospective reasoning, influencing how they navigate the unfolding crisis. This study is distinctive for its use of longitudinal data gathered before, during, and after a real‐time emergency event. The findings provide novel insights into PEs' responses to the exogenous shock of the COVID‐19 pandemic and contribute to the understanding of the boundary conditions of entrepreneurial decision‐making under crisis conditions.