Prosocial Motivation, Moral Disengagement, and Unethical Behaviour among Nascent Entrepreneurs

Abstract

Purpose: Recent studies found that prosocial entrepreneurs involved in unethical business behaviour. To understand why this is so, this research aims to conduct a preliminary investigation that link prosocial motivation, moral disengagement, and unethical behaviour among nascent entrepreneurs.

Design/methodology/approach: This research utilizes quantitative method and it uses SPSS PROCESS macro technique to analyze the link between prosocial motivation, moral disengagement, and unethical behaviour of 130 nascent entrepreneurs in Indonesia.

Findings: The data validates the role of moral disengagement in mediating the relationship between prosocial motivation and unethical behaviour among nascent entrepreneurs.

Research limitations/implications:  The insights of this research seem to imply that since other antecedents (such as trait cynicism) might play a role and they may positively influence moral disengagement, prosocial entrepreneurs might possibly still be involved in unethical business practices despite the presence of prosocial motivation.

Practical implications: Prosocial entrepreneurs needs to be aware of the role of moral disengagement.  Being aware of the mediating role of moral disengagement may help them to reduce unethical business behaviour.

Originality/value: This research is one among the first that reveals the hidden role of moral disengagement among prosocial entrepreneurs - a phenomenon that is rarely investigated due to the widespread assumption that prosocial entrepreneurs are ethical.