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Article
Publication date: 26 May 2022

Yuangao Chen, Shasha Zhou, Wangyan Jin and Shenqing Chen

This study examines the determinants of medical crowdfunding performance. Drawing on signaling theory, the authors investigate how funding-related signals (funding goal and…

Abstract

Purpose

This study examines the determinants of medical crowdfunding performance. Drawing on signaling theory, the authors investigate how funding-related signals (funding goal and duration), story-related signals (text length, text sentiment, and use of first-person pronouns), and donor-related signals (donor identity disclosure) affect medical crowdfunding performance.

Design/methodology/approach

This study analyzed the data of 754 medical crowdfunding projects collected from the Qingsongchou platform in China to test the proposed model.

Findings

The empirical findings reveal that both funding goal and funding duration exhibit a U-shaped relationship with crowdfunding performance. Additionally, the authors find evidence that story text length and donor identity disclosure are positively related to crowdfunding performance, whereas the use of first-person pronouns is negatively related to crowdfunding performance.

Originality/value

This study extends the understanding of the determinants of medical crowdfunding performance through the signaling theory. Specifically, this study provides new insights into the roles of funding goal and funding duration in predicting medical crowdfunding performance and identifies several new predictors of crowdfunding performance, including the use of first-person pronouns in project story text and donor identity disclosure.

Details

Internet Research, vol. 33 no. 3
Type: Research Article
ISSN: 1066-2243

Keywords

Article
Publication date: 9 September 2022

Xi Zhang, Yihang Cheng, Juan Liu, Hongke Zhao, Dongming Xu and Yulong Li

Prosocial lending in online crowdfunding has flourished in recent years, and it has become a new way to fundraise for philanthropy. However, there is almost a 70% user attrition…

Abstract

Purpose

Prosocial lending in online crowdfunding has flourished in recent years, and it has become a new way to fundraise for philanthropy. However, there is almost a 70% user attrition rate in crowdfunding. The purpose of this study is to understand what the lender’s lending experience and social connection influence lender retention of online prosocial lending from a self-determination perspective.

Design/methodology/approach

Drawing on self-determination theory (SDT), this research utilizes a quantifiable method for factors of the lender's lending experience and social connection. Additionally, the research constructs economic models to explore the impacts of these factors acting as the necessary conditions for basic psychological needs on lender retention, using a large-scale sample of over 380,000 lenders from Kiva.

Findings

The results indicate that, from the lender's lending experience aspect, the loan narratives with more profit language in the last lending and the failure of past participation are negatively related to lender retention. Regarding the lender's social connection aspect, their friends or small lending teams are positively related to lender retention, while whether they are invited and lending team size show negative influence. Furthermore, results indicate the moderating effects of the disclosure of lending motivation.

Originality/value

This research explores the mechanism of lender retention of online prosocial lending, providing a self-determination perspective about how previous experience influences long-term lending behavior. The study offers significant implications for the literature on online philanthropy, SDT and user retention of online platforms. At the same time, the study provides an understanding of the effects of different aspects of SDT.

Details

Internet Research, vol. 33 no. 3
Type: Research Article
ISSN: 1066-2243

Keywords

Article
Publication date: 4 June 2018

Lili Liu, Ayoung Suh and Christian Wagner

Researchers have called for the synthesis of divergent perspectives and the development of a theoretical model that examines individuals’ donation behavior in charitable…

5566

Abstract

Purpose

Researchers have called for the synthesis of divergent perspectives and the development of a theoretical model that examines individuals’ donation behavior in charitable crowdfunding. To fill this research gap, the purpose of this paper is to synthesize the literature pertaining to the determinants of donation behavior in charitable crowdfunding. Then, drawing on the stimulus-organism-response framework, the authors develop and test a model that explains individuals’ intention to donate to charitable crowdfunding.

Design/methodology/approach

This paper follows a quantitative research approach. An online survey was distributed to collect data from individuals who had experienced charitable crowdfunding. In total, 205 valid responses were received and analyzed.

Findings

First, this study finds that individuals’ empathy and the perceived credibility of a charitable crowdfunding project are key determinants for their intention to donate in charitable crowdfunding. Second, the study finds that website quality, transaction convenience, and project content quality influence both empathy and perceived credibility in different ways. Third, it is noteworthy that initiator reputation is positively related to perceived credibility, while project popularity is positively associated with empathy.

Originality/value

This research advances the knowledge of individual donation behavior in charitable crowdfunding. The model can help researchers understand individuals’ philanthropic behavior by providing empirical explanations of the interplay between technological and project characteristics, emotional and cognitive states, and individuals’ donation behavior. For practitioners, the research suggests appropriate design, launch, and operation strategies to facilitate individuals’ donation behavior in charitable crowdfunding.

Article
Publication date: 1 December 2020

Xiaodong Li, Chen Zhang, Juan Chen and Shengliang Zhang

The domain of monetary donation is evolving with the combination of professional donation platforms and social network sites (SNSs) in the agency process, potentially enhancing…

Abstract

Purpose

The domain of monetary donation is evolving with the combination of professional donation platforms and social network sites (SNSs) in the agency process, potentially enhancing information communication and facilitating money transfers between donors and recipients. However, SNS donation avoidance hinders the leveraging of significant economic and social values. To address the limited understanding of the phenomenon of SNS donation avoidance, this study aims to investigate the influencing factors of people's avoidance behavior in the agency process of SNS donation.

Design/methodology/approach

A model was devised containing four process-related factors (requests overload, process ambiguity, channel security concerns and perceived distributive injustice) as antecedents of SNS donation avoidance, with probable mediating paths of negative emotions, altruistic outcome expectation and egoistic outcome expectation. Data were collected through a survey of 398 users of WeChat Moment in China. Structural equation modeling was used to analyze the proposed model.

Findings

All four process-related factors have positive associations with SNS donation avoidance. Requests overload, channel security concerns and perceived distributive injustice all positively influence people's expectation of negative emotions and lead, in turn, to their SNS donation avoidance. Perceived distributive injustice also leads to SNS donation avoidance via negatively influencing people's expectations of both altruistic and egoistic outcomes.

Originality/value

Theoretically, this empirical study synthetically associates process-related factors to donation avoidance through the paths of emotional responses and rational outcome expectations. Practically, it emphasizes key factors to consider in the process management of SNS donation.

Article
Publication date: 29 July 2021

Huifang Jiao, Wenzhi Tang, Tianzhuo Liu, Xuan Wang and Lijun Ma

Social media technology has changed donors' decision-making process in online philanthropy compared with traditional charity. How do IT affordances support donor perceptions and…

Abstract

Purpose

Social media technology has changed donors' decision-making process in online philanthropy compared with traditional charity. How do IT affordances support donor perceptions and motivations in charitable crowdfunding? The purpose of this study is to explore how the five sub-dimensions of charitable crowdfunding IT affordances (i.e. visibility, association, meta-voicing, trading and security) afford initiators and platforms in motivating donors to support charitable crowdfunding projects.

Design/methodology/approach

This paper uses a quantitative research approach. An online survey was conducted to collect research data from WeChat users who had experienced charitable crowdfunding. A sample of 344 valid responses were received and analyzed.

Findings

The results show that four of the five IT affordances facilitate donors' perceptions (perceived emotions and trust) and motivations (intrinsic motivations and extrinsic motivations), and thereby increase behavioral intention on supporting charitable crowdfunding projects.

Originality/value

This study advances the affordances and online charity literature by examining the antecedents and outcome of perceptions and motivations that determining behavioral intention in more detail. The authors’ findings not only benefit researchers in explaining how technology helps donors perceiving projects and motivating them to donate online, but also assists practitioners in developing better charitable crowdfunding management strategy.

Details

Kybernetes, vol. 51 no. 11
Type: Research Article
ISSN: 0368-492X

Keywords

Article
Publication date: 2 September 2019

Tao Wang, Yalan Li, Minghui Kang and Haichao Zheng

The purpose of this paper is to apply the self-determination theory (SDT) to propose a research model that incorporates the SDT framework and contextual variables as determinants…

1838

Abstract

Purpose

The purpose of this paper is to apply the self-determination theory (SDT) to propose a research model that incorporates the SDT framework and contextual variables as determinants and self-identity and social identity as mediating constructs to predict individuals’ intentions toward donation crowdfunding in China.

Design/methodology/approach

Structural equation modeling is used to analyze the data collected from China.

Findings

The results indicate that the self-identity and social identity collectively or separately mediate the effect exerted by the sense of self-worth, face concern, moral obligation, perceived donor effectiveness, social interaction and referent network size on donation intentions. However, there is no evidence supporting the hypothesis connecting moral obligation with self-identity.

Practical implications

The study provides suggestions for service providers on how to improve and perfect the functions, and it also provides insights for donation crowdfunding fundraisers on how to increase the success rate.

Originality/value

The conclusions of this study provide academics with a more thorough understanding of the driving forces of individual behavior intention toward donation crowdfunding in China. This study further expands the SDT and identity theory in the context of donation crowdfunding, which improves their robustness in explaining behavioral intention. These theories may be an important part of future information system research.

Details

Industrial Management & Data Systems, vol. 119 no. 7
Type: Research Article
ISSN: 0263-5577

Keywords

Open Access
Article
Publication date: 11 December 2018

Zaiyu Huang, Candy Lim Chiu, Sha Mo and Rob Marjerison

The purpose of this paper is to develop initial evidence about the nature and features of crowdfunding in China, given it is largely unregulated regulatory frameworks.

10182

Abstract

Purpose

The purpose of this paper is to develop initial evidence about the nature and features of crowdfunding in China, given it is largely unregulated regulatory frameworks.

Design/methodology/approach

The paper used extensive desk research using data collected from the public and private sectors, after which the data was analyzed parallel to existing academic literature, that is, institutional context by Bruton et al. (2014). This paper uncovered patterns of development, profiling crowdfunding platforms, examining the regulatory landscape and providing antecedents of successful crowdfunding projects in China.

Findings

When the traditional financial markets are hard to reach, micro, small and medium enterprises (MSMEs) were starved for capital. Crowdfunding can play a major role in funding and risk sharing. It is an innovative and dynamic vehicle for MSMEs as well as enthusiastic investors in China. Since its initial introduction to China in 2009, crowdfunding has gained substantial popularity in a relatively short period. Currently, there is still not an identifiable guideline on how to delineate the significance of the crowdfunding platform. The development of crowdfunding in China faces a few unresolved key issues. As researchers exploring this phenomenon in new ways, crowdfunding platforms can be enhanced in a manner that benefits the capital seeker, investors and society as a whole.

Originality/value

There is a dearth of information on start-up crowdfunding in Asia. With little data available to analyze, so this paper hopes to contribute to knowledge and provide valuable information to researchers and industry representations. Crowdfunding represents a potentially disruptive change in the way that new ventures are funded. This paper represents an initial analysis in the study of new ventures in China. Finally, the authors provide recommendations for entrepreneurs, investors and policymakers as well as researchers and practitioners with suggestions about yet unexplored avenues of research.

Details

Asia Pacific Journal of Innovation and Entrepreneurship, vol. 12 no. 3
Type: Research Article
ISSN: 2398-7812

Keywords

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