ABSTRACT
Mollick (2012) provides another empirical study aiming at understanding the underlying dynamics of the recent rise of crowdfunding. Using data from Kickstarter (the largest crowdfunding platform at this date), the author examines, like us, the determinants of success in crowdfunding ventures, as well as their geographic distribution. Among the chances of success that the study highlights are the networks of founders and also the signals of the underlying quality of the project. Intermediary crowdfunding platforms, such as Kickstarter, are particularly helpful in these two matters. In contrast, individual entrepreneurs who launch their own crowdfunding initiatives, like the ones we consider in this paper, have a harder time in activating a network or in signaling the quality of their projects. This explains why these two variables are absent from our analysis. On the other hand, as individual crowdfunding initiatives are not as standardized as intermediated ones, entrepreneurs have a wider array of available strategies; this allows us to include into our analysis other variables related to the interaction between the entrepreneur and the crowd.
