The ceramic nanocomposites (CNCs) like zirconia toughened alumina (ZTA) ceramics are important futuristic materials for structural and functional applications in advanced strategic systems, structural components, biomedical prostheses and devices. In all structural materials including the ZTA CNCs, the very early stages of plastic deformation i.e., the incipient plasticity events (IPE) are most important to be understood so that the microstructure and mechanical properties can be tuned to suit a given end application. Here we report for the first time the mechanisms of IPE in the nanoindentation experiments conducted at 10-1000 mN loads in the 40 ZTA CNCs. Here 40 ZTA CNC stands for 40 vol% of 3 mol% Yttria partially stabilized zirconia toughened alumina (40ZTA) CNC. The role of load ranges in variations of the IPE related parameters in the 40 ZTA CNCs is also studied. Further, an attempt is made to assess how the amount of zirconia content in ZTA CNCs affects the variations of the IPE related parameters. Through the extensive usage of field emission scanning electron microscopy (FESEM) and theoretical estimations, efforts are also directed to check out the linkage, if any, between the localized shear deformation and/or microcracking with the IPE events that occur in the present CNCs. In addition, a new concept of damage resistance is introduced for the first time in the present work to explain the presence of a strong indentation size effect (ISE) in the 40 ZTA CNCs. Finally, an attempt is also directed to understand how the indentation load (P) controls the relative size of interaction zones of dislocation loops as well as the damage resistance and thereby, engineer the acuteness of the ISE in ZTA CNCs. The implication of these findings in futuristic design of especially the ZTA CNCs for various applications is also discussed