Getting more than money through online crowdfunding
- 16 July 2019
- journal article
- research article
- Published by Emerald in Asia-Pacific Journal of Business Administration
- Vol. 11 (2), 171-186
- https://doi.org/10.1108/apjba-05-2019-0101
Abstract
Many businesses invest significant resources to develop human, social and psychological capital, yet Crowdfunding (CF) activities have the potential to build all of these non-financial forms of capital at the same time as raising finance. The purpose of this paper is to explore the non-financial forms of capital that entrepreneurs and businesses using online CF activities can gain from their backers without having to ask for it. The study used thematic, qualitative analysis to explore the comments and queries that crowdfunders posted on the publicly visible message board of individual CF projects on Kickstarter, one of the world’s leading crowdfunding platforms (CFPs). Fund-seekers can gain more than money from crowdfunders: they can enhance their own human capital (e.g. knowledge of the viability of the project), social capital (e.g. the development of a bonding relationship) and psychological capital (e.g. self-efficacy and resilience) by effectively interpreting unsolicited comments and questions. This study is based on typed comments on CFP message boards, which limits insights into underlying reasons and motivations. However, the qualitative analysis of message board comments demonstrates how this type of data can be utilised to explore crucial aspects of CF that have to date been neglected. Comments from many crowdfunders can provide useful information to fund-seeking entrepreneurs and businesses, although some of it may require interpretation. The opportunity for fund-seekers to gain non-financial capital from crowdfunders, without having to ask for it, has not previously been explicitly considered in the field.Keywords
This publication has 69 references indexed in Scilit:
- Raising money for scientific research through crowdfundingTrends in Ecology & Evolution, 2013
- The development and resulting performance impact of positive psychological capitalHuman Resource Development Quarterly, 2010
- How Many Interviews Are Enough?Field Methods, 2006
- Loss, Trauma, and Human Resilience: Have We Underestimated the Human Capacity to Thrive After Extremely Aversive Events?American Psychologist, 2004
- Strategy and performance of new ventures: A contingency model of the role and influence of the venture capitalistVenture Capital, 2003
- Techniques to Identify ThemesField Methods, 2003
- Social Capital: Prospects for a New ConceptAcademy of Management Review, 2002
- Career-relevant learning and development, worker age, and beliefs about self-efficacy for developmentJournal of Management, 2001
- Firm Resources and Sustained Competitive AdvantageJournal of Management, 1991
- Social Capital in the Creation of Human CapitalAmerican Journal of Sociology, 1988