The role of multidimensional social capital in crowdfunding: A comparative study in China and US

• Published in: Information & management Vol. 51; no. 4; pp. 488 - 496
• Main Authors: Zheng, Haichao, Li, Dahui, Wu, Jing, Xu, Yun
• Format: Journal Article
• Language: English
• Published: Kidlington Elsevier B.V 01.06.2014; Elsevier; Elsevier Sequoia S.A
• Subjects: Applied sciences; Comparative studies; Comparative study; Computer science; control theory; systems; Computer systems and distributed systems. User interface; Crowdfunding; Crowdfunding performance; Entrepreneurs; Exact sciences and technology; Firm modelling; International comparisons; Obligation; Operational research and scientific management; Operational research. Management science; Social capital; Social networks; Software; Asia; China; United States > US; Crowdfunding; Obligation; Social capital; Crowdfunding performance; Comparative study; Social network; Intangible capital; Modeling; Social psychology; Organizational models; Social interaction; Entrepreneurship; Sponsoring; Social impact; Data gathering
• ISSN: 0378-7206; 1872-7530
• DOI: 10.1016/j.im.2014.03.003

How does an entrepreneur's social network impact crowdfunding? Based on social capital theory, we developed a research model and conducted a comparative study using objective data collected from China and the U.S. We found that an entrepreneur's social network ties, obligations to fund other entrepreneurs, and the shared meaning of the crowdfunding project between the entrepreneur and the sponsors had significant effects on crowdfunding performance in both China and the U.S. The predictive power of the three dimensions of social capital was stronger in China than it was in the U.S. Obligation also had a greater impact in China.