CROWDFUNDING SUCCESS EFFECTS ON FINANCING OUTCOMES FOR STARTUPS: A SIGNALING THEORY PERSPECTIVE

• 成果类型: Article
• 署名作者: Ryu, Sunghan; Kim, Keongtae; Hahn, Jungpil
• 署名单位: Shanghai Jiao Tong University; Chinese University of Hong Kong; National University of Singapore
• 刊物名称: MIS QUARTERLY
• ISSN/ISSBN: 0276-7783
• DOI: 10.25300/MISQ/2022/16620
• 发表日期: 2023
• 页码: 1271-1302
• 关键词: venture capitalists; information asymmetry; digital innovation; matching methods; decision-making; bias evidence; performance; selection; industry; GENDER

摘要

This study adopts a signaling theory perspective to examine whether and how crowdfunding (relative to angel financing) influences subsequent venture capital (VC) investments in startups. We used a bivariate probit model with propensity score matching to address the potential endogeneity of the initial funding choice. Subsequently, we found that crowdfunded startups have a lower chance of receiving VC funding than angel-financed startups and that the effect is more negative for startups located outside of startup cluster cities. We show that corporate VCs, unlike independent VCs comprising the majority of VCs, favor crowdfunded startups. Our study contributes to the literature on crowdfunding, startup finance, and the transformative effects of IT-enabled platforms. This study further discusses the practical implications of crowdfunding in startup finance ecosystems.