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http://dx.doi.org/10.7838/jsebs.2020.25.1.065

An Analysis on Mediating Effect of Participant Activity in Investment Crowdfunding  

Kim, Jong Yun (Graduate School of Service Management & Engineering, Inha University)
Kim, Chul Soo (Department of Business Administration, Inha University)
Publication Information
The Journal of Society for e-Business Studies / v.25, no.1, 2020 , pp. 65-82 More about this Journal
Abstract
Start-ups often use crowdfunding platforms such as Wadiz to get financing from corporate investors and general public. These platforms include functions to increase participant activity through the number of comments, interest and online word-of-mouth. This study aims to elucidate how these functions related to a participant activity exhibit mediating effects on a success of crowdfunding and an achievement rate of targeted investment amount. To this end, the individual variables such as progress period, target amount, venture company, experience of attracting investment, possession of intellectual property rights, a career of the representative and an award experience of the representative were classified into the project characteristics, the company characteristics and the representative characteristics through not only previous studies but also interviews with investment professionals and platform operators. Afterwards, this study went through an empirical verification process using a structural equation model that has both crowdfunding performance and participant activity, which is the independent and mediating factors of three perspectives, as well as the dependent variables. In other words, this study analyzes how the characteristics of three perspectives affect the participant activity and how the participant activity had the mediating effects on the crowdfunding performance. In addition, it derives how the analysis results mentioned above vary according to business types (internet services, culture/art, manufacturing/distribution) and investment styles (stock type and bond type). It is expected that this study will help not only in deriving the factors affecting the performance of an investment type crowdfunding but also in preparing the measures to increase a participant activity.
Keywords
Crowdfunding; Success Factors; Project Characteristics; Company Characteristics; Representative Characteristics; Participant Activity; Funding Type and Industrial Classification;
Citations & Related Records
Times Cited By KSCI : 11  (Citation Analysis)
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