This study explores the strategies adopted by necessity entrepreneurs in the start-up phase to resolve critical incidents and sustain their ventures. The research is based on a survey conducted with a sample size of 120 necessity entrepreneurs in the Delhi NCR region. The primary data collection tool consists of a 5-point Likert scale questionnaire along with multiple-choice questions aimed at capturing the entrepreneurs' decision-making processes during critical incidents. The study tests four hypotheses regarding the relationship between entrepreneurial behavior (effectuation vs. causation), incident resolution strategies, and business performance. Statistical tools used for data analysis include descriptive analysis, Chi-square, ANOVA, correlation, and regression analysis. The results reveal that necessity entrepreneurs predominantly follow effectual behavior, leveraging available resources and adapting to changes in the environment. They rely heavily on personal networks and improvisation when facing challenges, rather than following a rigid, goal-oriented approach. The study also finds that causal behavior (goal-setting and planning) is less common but more prevalent in businesses that receive external funding or have prior entrepreneurial experience. Hypothesis testing shows that the entrepreneurs’ decision-making style significantly influences how they address critical incidents and manage their businesses. The findings suggest that policy-makers and support organizations should focus on enhancing resilience and flexibility in entrepreneurs' skill sets, especially those starting businesses out of necessity. The research contributes to understanding how necessity entrepreneurs in India adapt to challenges in the early stages of their ventures.