Abstract
This study examines the impact of online feedback on the extent of alternative startups' fundraising success or failure through reward-based online crowdfunding platforms. By drawing on regulatory focus theory, we theorize that online feedback relating to products or services is crucial in determining the success of entrepreneurial projects. While employing a unique dataset of 620 projects from renowned reward-based Chinese crowdfunding platform “Demohour” (a major pioneer Chinese crowdfunding platform), the findings show a significant effect of online feedback on the extent of success or failure of reward-based crowdfunding campaigns. Our findings, which are robust to different measures and methodologies imply that nascent entrepreneurs need to pay keen attention to online feedback about their innovative projects if they are to be successful in their fundraising efforts.
| Original language | English |
|---|---|
| Pages (from-to) | 4634-4652 |
| Number of pages | 19 |
| Journal | International Journal of Finance & Economics |
| Volume | 26 |
| Issue number | 3 |
| Early online date | 7 Aug 2020 |
| DOIs | |
| Publication status | Published (in print/issue) - 1 Jul 2021 |
Data Access Statement
The data that support the findings of this study are available from the authors upon reasonable request.Keywords
- China
- online feedback
- regulatory focus theory
- rewar-based crowdfunding dynamics
- social influence