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Online feedback and crowdfunding finance in China

Author

Listed:
  • Yasir Shahab
  • Yasir Riaz
  • Collins G. Ntim
  • Zhiwei Ye
  • Qingjing Zhang
  • Ran Feng

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.

Suggested Citation

  • Yasir Shahab & Yasir Riaz & Collins G. Ntim & Zhiwei Ye & Qingjing Zhang & Ran Feng, 2021. "Online feedback and crowdfunding finance in China," International Journal of Finance & Economics, John Wiley & Sons, Ltd., vol. 26(3), pages 4634-4652, July.
    • Handle: RePEc:wly:ijfiec:v:26:y:2021:i:3:p:4634-4652
    DOI: 10.1002/ijfe.2034
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    References listed on IDEAS

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    Cited by:

    1. Xiaohang Wu & Hasan Dinçer & Serhat Yüksel, 2022. "Analysis of crowdfunding platforms for microgrid project investors via a q-rung orthopair fuzzy hybrid decision-making approach," Financial Innovation, Springer;Southwestern University of Finance and Economics, vol. 8(1), pages 1-22, December.
    2. Muhammad Azeem Naz & Rizwan Ali & Ramiz Ur Rehman & Collins G. Ntim, 2022. "Corporate governance, working capital management, and firm performance: Some new insights from agency theory," Managerial and Decision Economics, John Wiley & Sons, Ltd., vol. 43(5), pages 1448-1461, July.

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