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When Cupid Strikes the Entrepreneur: Effects of Founder’s Workplace Romance on Recruits’ Intentions to Join a New Business Venture
The topic of how a founding entrepreneur’s workplace romance influences the recruitment process is of tremendous academic and practical interest. We theorize and examine prospective employees’ reactions to revelations about a business founder’s romantic relationship with a subordinate. We tested our predictions using data collected from three experimental studies conducted in India. Results reveal that founder gender is a significant predictor of employees’ reactions to hierarchical workplace romance. Further, prospective employees prefer to work for new ventures that do not prohibit workplace romance more than those that prohibit workplace romance. We discuss implications and directions for future research.