Ramification of crowdfunding on Bangladeshi entrepreneur’s self-efficacy (original) (raw)
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Ramification of Crowdfunding on Entrepreneur Self-efficacy
International Journal of Academic Research in Business and Social Sciences
The innovative funding sources become more and more important in the SME sector all over the world especially after the 2007-2008 world financial crisis. In order to develop a new business idea, start-ups and SMEs need a sufficient amount of capital. However, after the financial crisis in 2008, SME sector faced the challenges of attracting new capital. Due to that, an innovative method of fundraising for SME is introduced as crowdfunding. Crowdfunding indicates financing a project or an idea via the internet owing the help from the many investors or donors of a society. Though computer based supportive work studies have initiated to explore how this new type of system influences entrepreneurial work, less is known about the influence of Crowdfunding on Entrepreneur Selfefficacy (ESE) to succeed at a business task. Hence, to minimize the research gap and to achieve the objective of the study, we conducted a quantitative research of 190 entrepreneurs using crowdfunding based on Social Cognitive theory. Based on gender, male entrepreneur constituted 57% while female entrepreneur represented 43% of the sample population. The data were analyzed using Structural Equation Modeling (SEM) in IBM-SPSS-Amos 25.0 and the stated hypotheses were tested. The study found the following direct effects are positive and significant namely, Crowdfunding on Entrepreneur's Self-efficacy (β=0.924, P=.001). Overall, the result has landed support for crowdfunding can influence self-efficacy of entrepreneur. In order to prove the need of crowdfunding, we have explained and statistically proved that how crowdfunding can provide an additional channel through which firms can obtain finance and take an advantage of fully exploiting the potential of the internet as well as to create self-efficacy of entrepreneurs.
International Journal of Social Science & Entrepreneurship
Crowdfunding is one of the best financial technology segments and has emerged as one of the leading platforms for startups to acquire funding. This paper identifies numerous benefits of Crowdfunding and investigates the influence of various factors, i.e., economic benefit, convenience and transaction process, social media, and social support, with the mediating effects of Motivation with gender moderation on an entrepreneur's perceived benefit of having the Intention to use the crowdfunding platform. The adapted questionnaire with a sample size of 240 is used in this study to survey the entrepreneurs of Pakistan by using a convenience sampling technique. Linear regression analysis tests the hypotheses with Smart Pls 3.0 software. The findings of this study confirmed that all direct relationships have a significant relationship with the Intention to use Crowdfunding. In contrast, the moderation of effects of gender was found to have an insignificant relationship with the Intentio...
Crowdfunding Financing Model effect on Entrepreneurship Aspirations
IJAAFMR, 2019
The study aimed to measure the effect of Crowdfunding financing on entrepreneurship aspirations in Arabic region. Population consists of members in (15) Crowdfunding Arabic platforms which are working with all models and online at (2018). Descriptive approach and a questionnaire used as a tool for this research. The results showed that Crowdfunding financing effect positively on entrepreneurship aspirations, Crowdfunding used mostly to finance small business or microfinance and charity. Add to that, Crowdfunding leads to financial efficiency and costs reduction, more flexible payments methods and more opportunities for entrepreneurs. The study recommended the importance of entrepreneurship culture and its role in promoting entrepreneurs, the effect off Fintech and various e-banking and e-payments methods, and the need of more interest in innovation and creativity.
International Research Journal of Management and Social Sciences Vol. 4 No. 3, 2013
This study focuses on looking at how different aspects, such as economic gain, ease of use, transaction process, social media, and social encouragement, can affect how beneficial entrepreneurs consider crowdfunding platforms to be. This study used a questionnaire with a sample size of 180 entrepreneurs from Pakistan to examine the relationship between the Intention to use Crowdfunding and various factors such as gender. A convenience sampling technique with linear regression analysis was utilized to test the hypotheses with the help of Smart PLS software. The results of the study revealed that all the direct relationships had a significant impact on the Intention to use Crowdfunding. The findings and implications of the study were discussed in detail.
Modelling the crowdfunding technology adoption among novice entrepreneurs: an extended tam model
Entrepreneurship and Sustainability Issues, 2019
Computer-mediated crowdfunding is deemed as an emerging technology used by novice entrepreneurs to solicit funds from other individuals in order to easily gather fundraising for their innovative ideas. However, lack of information on the attributes of crowdfunding platforms coupled with the lack of the knowledge about the techniques of use of these technologies make this fundraising tool not very effective. In this study, we try to elucidate, despite the unprecedented infatuation with the investment-based crowdfunding, key factors influencing the intention of Tunisian entrepreneurs to adopt crowdfunding platforms as a main tool of fundraising. The research model was based on an extended Technology Acceptance Model (TAM) with the integration of three new variables: perceived risk with service, perceived risk with transaction and plagiarism risk. The results shows that, both perceived risk with service, perceived risk with transaction and plagiarism risk have a negative impact on entrepreneurs' use of crowdfunding platforms, while perceived usefulness and perceived trust influence positively entrepreneurs' intention behavior. Perceived risks with crowdfunding service and transaction are affected by financing risk, security concerns and psychological factors, while plagiarism risk is influenced by information concerns, perceived control.
Enhancing Entrepreneurial Abilities through Various Crowdfunding Models
International Journal of Academic Management Science Research (IJAMSR), 2019
This study aims to study different crowdfunding models and how those models enhance entrepreneurial abilities. The study conducted on Arabic region by using different models of Crowdfunding platforms (reward, donation, equity, lending) as the field of study. The population of (15) platforms consist of: individuals, entrepreneurs, investors, employees at Crowdfunding platforms. Descriptive and quantitative approach used in this article, and a questionnaire used as a tool to collect primary data. The results showed an agreement from respondent on the importance of reward base model for financing small and micro startup projects. Also results showed that lending models still need more legislation involve assuring the credibility of project owners. Additionally, from regression analyses data showed that Crowdfunding models effect on entrepreneurial abilities. The study recommended more governmental and private sector rolling those models of Crowdfunding, developing regulations that organize different Crowdfunding models, especially lending and equity, and give more flexible platforms that could serve many Arabic countries.
Determinants of crowdfunding intention in a developing economy: ex-ante evidence from Bangladesh
International Journal of Emerging Markets, 2020
PurposeSME funding gaps in developing economies are substantial. Crowdfunding is an innovative way to raise funds that may be part of the solution for closing such gaps. The purpose of this study is to investigate the determinants of crowdfunding contribution intentions in the context of a developing country –Bangladesh.Design/methodology/approachThe authors collect data by using a structured questionnaire distributed through Facebook. The analysis is based on data collected from 252 valid responses and uses the ordered probit regression for estimation. For robustness, the authors also estimate the hypothesized model using ordered logistic regression and OLS regression finding identical results.FindingsThe authors find that liking the campaign idea and positive media coverage of a crowdfunding campaign have a positive association with crowdfunding contribution intention. Surprisingly, personal relations, others' recommendation and the location of the campaign's owner were no...
Awareness towards Crowdfunding as an Alternative Financing Mechanism among Youth Entrepreneurs
2019
Youth entrepreneurs have difficulties in accessing financing from the financial institutions due to lack of collateral, lack of credit history and high interest rate. Crowdfunding is one of the alternative financing that can be considered to increase the financing options available. In considering crowdfunding, it is important for youth entrepreneurs to have awareness and knowledge on the existence of this alternative financing. This study was conducted to examine the level of awareness, understanding and perceptions of youth entrepreneurs in Institusi Pendidikan MARA (IPMA) towards crowdfunding. In addition, the study also aims to investigate relevant models that youth entrepreneurs in IPMA could potentially engage. Data is analysed using descriptive statistical techniques. The results indicate that most respondents show low level of awareness and understanding on crowdfunding as an alternative financing mechanism. However, based on the perception results, most respondents have pos...
ISRA International Journal of Islamic Finance, 2020
Purpose Crowdfunding has become one of the preferred mechanisms to raise funds by startups and small entrepreneurs. As such, this paper aims to develop an appropriate framework for Sharīʿah-compliant equity-based crowdfunding (SEC) for entrepreneurship development in Malaysia. Design/methodology/approach The research begins by analyzing the intention of 200 entrepreneurs in Kuala Lumpur and Selangor regarding the use of crowdfunding to raise capital. The analysis is based on the theory of reasoned action (TRA), which is also associated with the technology acceptance model (TAM) and is effected by using structural equation modeling (SEM). Findings The entrepreneurs agree on the ease of use of crowdfunding in raising capital, although it appeared that they are quite reluctant to share their business ideas online. Subsequently, an SEC framework is proposed, to further enhance entrepreneurship development in Malaysia particularly in meeting the need for raising funds in line with Sharīʿ...