DOCSLIB.ORG

Circumnavigating Traditional Finance CROWDFUNDING

Total Page：16

File Type：pdf, Size：1020Kb

Download full-text PDF Read full-text
Circumnavigating Traditional Finance CROWDFUNDING Circumnavigating Traditional Finance CROWDFUNDING Crowdfunding Presentation | Chris Fodor | Vienna | June 17, 2019 PART 1 Introduction What is crowdfunding? A financing method whereby money-seekers can find funding from money-givers via an electronic platform (website). Crowdfunding Presentation | Chris Fodor | Vienna | June 17, 2019 PART 1 Introduction Meet the project that raised +$250 million Crowdfunding Presentation | Chris Fodor | Vienna | June 17, 2019 PART 1 Introduction Indeed gaming is a hot category for crowdfunding Star Citizen video game Launched on Kickstarter in 2012. Over the years raised over $250 million. Not bad, eh? Crowdfunding Presentation | Chris Fodor | Vienna | June 17, 2019 PART 1 Introduction But you also get brilliant ideas such as this... Hare-brained ideas? Do not reach their funding goals, or are suspended by the platform owners. Shown here: Paul, the sexiest smartphone charger on the planet… raised only $2,160 out of target $8,000. Crowdfunding Presentation | Chris Fodor | Vienna | June 17, 2019 PART 1 Introduction Dulcis in fondo... Crowdfunding Presentation | Chris Fodor | Vienna | June 17, 2019 PART 1 Introduction The platform links the seekers and the givers Crowdfunding Presentation | Chris Fodor | Vienna | June 17, 2019 PART 1 Introduction In crowdfinance, two planets co-habit ▸ ▸ ▸ ▸ Donations: the majority of “raises”. No reimbursement required. Often in-kind gifts (called rewards). Examples: Indiegogo, KickStarter, etc. ▸ Loans: crowdlending; still the minority, but growing. Money-givers are reimbursed for their loans, sometimes even with interest. Examples: Conda, Kiva, etc. Crowdfunding Presentation | Chris Fodor | Vienna | June 17, 2019 PART 1 Introduction An old concept, revived by the Internet Pre-Internet: books via subscription plans; war bonds; Auguste Comte Internet era 1997 - Music - Marillion tour - $60,000 1997 - Film - Mark Kines - $125,000 2002 - Software - Free Blender graphics - Euro 100,000 Companies launched: 2001 - ArtistShare; 2005 - Kiva; 2008 - IndieGoGo; 2009 - KickStarter; 2019 - GoFundMe, etc. Crowdfunding Presentation | Chris Fodor | Vienna | June 17, 2019 PART 2 Operating Basics Part 2 Operating Basics Crowdfunding Presentation | Chris Fodor | Vienna | June 17, 2019 PART 2 Operating Basics Kickstarter.com - one of the great success stories Crowdfunding Presentation | Chris Fodor | Vienna | June 17, 2019 PART 2 Operating Basics Conda.at - the Austrian leader Crowdfunding Presentation | Chris Fodor | Vienna | June 17, 2019 PART 2 Operating Basics Kiva.com - crowdlending for development Crowdfunding Presentation | Chris Fodor | Vienna | June 17, 2019 PART 2 Operating Basics Kickstarter - seekers must be self-promoters Crowdfunding Presentation | Chris Fodor | Vienna | June 17, 2019 PART 2 Operating Basics Kickstarter - good projects are well-groomed Crowdfunding Presentation | Chris Fodor | Vienna | June 17, 2019 PART 2 Operating Basics Money-seekers: what are their responsibilities? Overall: ▸ creating a convincing sales pitch on the platform (text, image, video) ▸ agree to the commission provisions of the platform ▸ agree to other legal provisions specified by the platform and possibility by the local regulatory framework Donations: ‣ no legal obligations except those listed in the project offering. ‣ often gifts in kind (T-shirt, CD, invitation to an event, etc.) Loans: ‣ much stricter constraints on loan reimbursement ‣ yet usually no collateral required, so ‘bankruptcy light’ ‣ legal environment changes by country Crowdfunding Presentation | Chris Fodor | Vienna | June 17, 2019 PART 2 Operating Basics Platform: what are its responsibilities? ▸ create the platform and maintain it ▸ promote the platform so that it attracts the seekers and the givers ▸ pay itself somehow so as to cover costs (IT & staff & marketing) ▸ no risk if fund target not reached Crowdfunding Presentation | Chris Fodor | Vienna | June 17, 2019 PART 2 Operating Basics Money lenders or donors: what are their responsibilities? ▸ provide cash, typically via online methods and immediately upon log in. Crowdfunding Presentation | Chris Fodor | Vienna | June 17, 2019 PART 3 Perspective PART 3 Crowd finance in perspective Crowdfunding Presentation | Chris Fodor | Vienna | June 17, 2019 PART 3 Perspective How does crowdfinance fit into the finance universe? Crowdfunding Presentation | Chris Fodor | Vienna | June 17, 2019 PART 3 Perspective Not one business model for all Revenue streams for platforms: 1. commission (usually 5%) on funds raised 2. fund processing fee (3 to 5%) for credit card payments 3. donations to the platform (not its projects) 4. back-end merchandising Key performance factors: 1. Low level of “junk ratio” (i.e. projects that raise zilch) 2. High level of successful projects Crowdfunding Presentation | Chris Fodor | Vienna | June 17, 2019 PART 3 Perspective Crowd finance has become a big player Crowdfunding Presentation | Chris Fodor | Vienna | June 17, 2019 PART 3 Perspective Most campaigns are for business concepts (products, services) Crowdfunding Presentation | Chris Fodor | Vienna | June 17, 2019 PART 3 Perspective Business and social causes are almost 75% of “raises” Crowdfunding Presentation | Chris Fodor | Vienna | June 17, 2019 PART 4 Conclusion Is crowdfunding just a temporary flash in the fintech pan? Opportunities ‣ low barriers to entry ‣ specialization per sector (arts vs. tech vs. consumer goods, etc.) Threats ‣ for platforms: reaching critical size; reaching the proper niche; minimizing junk projects; avoiding outright fraud. Crowdfunding Presentation | Chris Fodor | Vienna | June 17, 2019 PART 4 Conclusion Thanks for your attention Chris Fodor [email protected] Crowdfunding Presentation | Chris Fodor | Vienna | June 17, 2019.
Load more

Recommended publications
  • East Africa Crowdfunding Landscape Study
    REPORT | OCTOBER 2016 East Africa Crowdfunding Landscape Study REDUCING POVERTY THROUGH FINANCIAL SECTOR DEVELOPMENT Seven Things We Learned 1 2 3 4 East African East Africa’s Crowdfunding There’s appetite to crowdfunding platforms report risks and the do business and to markets are on promising regulatory learn more from the move. progress. environment. across East Africa. Crowdfunding platforms Since 2012 M-Changa In Kenya, for example, Over 65 participants at- (donation, rewards, debt has raised $900,000 Section 12A of the Capi- tended the Indaba & and equity) raised $37.2 through 46,000 tal Markets Act provides a Marketplace from all cor- million in 2015 in Kenya, donations to 6,129 safe space for innovations ners of the East African Rwanda, Tanzania and fundraisers. Pesa Zetu to grow before being sub- market. Uganda. By the end of Q1 and LelaFund are also ject to the full regulatory 2016, this figure reached opening access to their regime. $17.8 million – a 170% deals on the platform. year-on-year increase. 5 6 7 East Africa’s MSMEs ex- There are both commercial Global crowdfunding press a demand for alterna- and development oppor- markets are growing tive finance, but they’re not tunities for crowdfunding fast but also evolving. always investment-ready or platforms in East Africa. Finance raised by crowdfunding able to locate financiers. Crowdfunding platforms have the platforms worldwide increased from 45% of Kenyan start-ups sampled re- potential to mobilise and allocate $2.7 billion in 2012 to an estimated quire between $10,000 and $50,000 capital more cheaply and quickly $34 billion in 2015.
    [Show full text]
  • Kiva Innovating in the Field of Education by Microlending to Students Around the World
    Kiva Innovating in the Field of Education by Microlending To Students Around the World Join the Global Movement for Women’s Empowerment and Education by Directing a $25 Loan for Free at Kiva.org/women More Kiva Education Stories, September 2012: Back to School: 6th grade teacher Kristen Goggin brings Kiva into the classroom Back to School: Campolindo Cougars have Kiva spirit! Kiva goes back to school with education loans around the world New Field Partner: Colfuturo makes graduate school possible for Colombia's future leaders New Field Partner: CampoAlto brings vocational training to Colombia's marginalized students New Field Partner: Building a new generation of leaders with African Leadership Academy Media Contact: Jason Riggs, [email protected] August 15, 2012 -- While those in the developed world live in the age of the information revolution, millions of the world’s poor are still unable to receive even a basic education. It’s estimated that a billion people entered this century unable to read a book or sign their own name. Access to education sits at the crux of poverty and economic development. With a more educated population we nourish a more robust and dynamic workforce, stronger civic engagement and home-grown innovations solving regional problems. Without access to education, progress comes to a stand still. Not surprisingly the countries with the most out- of-school children are also are some of the world’s poorest. Outside the United States, student loans are rare. For too many young people, no matter how bright and gifted they may be, access to higher education can be near impossible without the necessary financial resources.
    [Show full text]
  • The Economics of Crowdfunding : Entrepreneurs’ and Platforms’ Strategies Jordana Viotto Da Cruz
    The Economics of Crowdfunding : Entrepreneurs’ and Platforms’ Strategies Jordana Viotto da Cruz To cite this version: Jordana Viotto da Cruz. The Economics of Crowdfunding : Entrepreneurs’ and Platforms’ Strategies. Sociology. Université Sorbonne Paris Cité, 2017. English. NNT : 2017USPCD030. tel-01899518 HAL Id: tel-01899518 https://tel.archives-ouvertes.fr/tel-01899518 Submitted on 19 Oct 2018 HAL is a multi-disciplinary open access L’archive ouverte pluridisciplinaire HAL, est archive for the deposit and dissemination of sci- destinée au dépôt et à la diffusion de documents entific research documents, whether they are pub- scientifiques de niveau recherche, publiés ou non, lished or not. The documents may come from émanant des établissements d’enseignement et de teaching and research institutions in France or recherche français ou étrangers, des laboratoires abroad, or from public or private research centers. publics ou privés. |_|_|_|_|_|_|_|_|_|_| UNIVERSITE PARIS 13 U.F.R. DE SCIENCES ÉCONOMIQUES ÉCOLE DOCTORALE : ERASME NO 493 THÈSE Pour obtention du grade de Docteur de l’Université Paris 13 Discipline : Sciences Économiques Présentée et soutenue publiquement par Jordana VIOTTO DA CRUZ Le 13 novembre 2017 « The Economics of Crowdfunding: Entrepreneurs’ and Platforms’ Strategies » Directeurs de thèse Marc BOURREAU, Télécom ParisTech François MOREAU, Université Paris 13 Jury Thierry PÉNARD, Professeur, Université Rennes 1 Président Paul BELLEFLAMME, Professeur, Aix-Marseille Université Rapporteur Jörg CLAUSSEN, Professeur, Ludwig-Maximilians-Universität München Rapporteur Françoise BENHAMOU, Professeur, Université Paris 13 Examinateur Marc BOURREAU, Professeur, Télécom ParisTech Directeur de thèse François MOREAU, Professeur, Université Paris 13 Directeur de thèse UNIVERSITÉ PARIS 13 U.F.R.
    [Show full text]
  • Trends in Global Higher Education: Tracking an Academic Revolution a Report Prepared for the UNESCO 2009 World Conference on Higher Education Philip G
    Trends in Global Higher Education: Tracking an Academic Revolution A Report Prepared for the UNESCO 2009 World Conference on Higher Education Philip G. Altbach Liz Reisberg Laura E. Rumbley Published with support from SIDA/SAREC trend_final-rep_noApp.qxd 18/06/2009 12:21 Page 1 Trends in Global Higher Education: Tracking an Academic Revolution A Report Prepared for the UNESCO 2009 World Conference on Higher Education Philip G. Altbach Liz Reisberg Laura E. Rumbley trend_final-rep_noApp.qxd 18/06/2009 12:21 Page 2 The editors and authors are responsible for the choice and presentation of the facts contained in this document and for the opinions expressed therein, which are not necessarily those of UNESCO and do not commit the Organization. The designations employed and the presentation of the material throughout this document do not imply the expression of any opinion whatsoever on the part of UNESCO concerning the legal status of any country, territory, city or area or of its authorities, or concerning the delimitation of its frontiers or boundaries. Published in 2009 by the United Nations Educational, Scientific and Cultural Organization 7, place de Fontenoy, 75352 Paris 07 SP Set and printed in the workshops of UNESCO Graphic design - www.barbara-brink.com Cover photos © UNESCO/A. Abbe © UNESCO/M. Loncarevic © UNESCO/V. M. C. Victoria ED.2009/Conf.402/inf.5 © UNESCO 2009 Printed in France trend_final-rep_noApp.qxd 18/06/2009 12:21 Page i Table of Contents Table of Contents Executive Summary iii Preface xxiii Abbreviations xxvi 1. Introduction 1 2. Globalization and Internationalization 23 3.
    [Show full text]
  • Minneapolis Intelligent Operations Platform Mission Control Focus Manage Event Horizon Normal Planned Events
    Minneapolis Intelligent Operations Platform Mission Control Focus Manage Event Horizon Normal Planned Events Predicted Events Better coordinate city operations to gain efficiencies Deal more effectively with special events Improve handling of Day-to-Day emergencies Operations Unplanned Events 11 “Working” Functional Concept • Pattern mining and Correlations • Capacity analysis • Clustering analysis • Resource optimization • Streaming, Sequence Analysis • Planning & Impact analysis • Simulation analysis • Institutional Knowledge capturing • Effectiveness metrics modeling • Learning & classification • Statistical analysis and reporting • Trend analysis 12 Customer Perspectives Residents / visitors Elected Officials Department leaders and employees Business view – Enterprise versus specific need(s) Geographic focus – City-wide versus specific geography (ward, precinct, etc.) Data visualized – map versus time Emphasizes value in having a product with generic, and thus, wide-spread application 13 Turning data into decisions Philosophy: Data → Information → Knowledge Largely focused on Rear-view Macro-geography with some exceptions One dimensional (based on data from one department) Current City data-driven efforts Police Code4 Results Minneapolis Intelligent Operations Platform (IOP) 14 Current approach Measure / monitor Adjust Apply best intervention guess as necessary intervention Measure / monitor 15 What we get today Tot al Number of Fires 2.500 2,194 2.068 1,859 1\IINNEAPOLIS POLICE DEPARTMENT . 2.000 1,17~ 1.808 Vmlent Cnnu• Hot Spots m 2012 1.489 1,500 1,401 1,37) 1,348 1.347 1.2SO 1.200 age- adj usted death rate 1,000 per 1000 pooplo • S68 ._ 0 '-r- L 2003 2004 2005 2006 2007 2008 2009 2010 2011 2012 201J 201J 2014 T>rget thru Ql r.raet Sourc~.
    [Show full text]
  • Access to Capital Directory
    State of Nevada Department of Business and Industry Access to Capital Resource Directory Page | 1 GRANTS Government grants are funded by your tax dollars and, therefore, require very stringent compliance and reporting measures to ensure the money is well spent. Grants from the Federal government are authorized and appropriated through bills passed by Congress and signed by the President. The grant authority varies widely among agencies. Some business grants are available through state and local programs, nonprofit organizations and other groups. These grants are not necessarily free money, and usually require the recipient to match funds or combine the grant with other forms of financing such as a loan. The amount of the grant money available varies with each business and each grantor. Below are some resources to grant searches and specific grant opportunities: Program/Sponsor Product Details Contact Information There is a loan/grant search tool (Access Business.usa.gov Financing Wizard). Mostly loans here but Support Center some grant possibilities. SBA has authority to make grants to non- For Clark County Only – profit and educational organizations in Phone: 702-388-6611 many of its counseling and training Email: Roy Brady at SBA-Government programs, but does not have authority to [email protected] Grant Resources make grants to small businesses. Click on the 'Program/Sponsor" link for articles on Outside of Clark County – government grant facts and research Phone: 775-827-4923 Email: [email protected] grants for small businesses. Grant program assistance is provided in many ways, including direct or guaranteed loans, grants, technical assistance, Nevada USDA service centers by USDA Rural research and educational materials.
    [Show full text]
  • Understanding and Promoting Micro-Finance Activities in Kiva.Org
    Understanding and Promoting Micro-Finance Activities in Kiva.org Jaegul Choo Changhyun Lee Daniel Lee Georgia Institute of Georgia Institute of Georgia Tech Research Technology Technology Institute [email protected] [email protected] [email protected] Hongyuan Zha Haesun Park Georgia Institute of Georgia Institute of Technology Technology [email protected] [email protected] ABSTRACT Non-profit Micro-finance organizations provide loaning op- portunities to eradicate poverty by financially equipping im- poverished, yet skilled entrepreneurs who are in desperate need of an institution that lends to those who have little. Kiva.org, a widely-used crowd-funded micro-financial ser- vice, provides researchers with an extensive amount of pub- licly available data containing a rich set of heterogeneous information regarding micro-financial transactions. Our ob- jective in this paper is to identify the key factors that en- courage people to make micro-financing donations, and ulti- mately, to keep them actively involved. In our contribution to further promote a healthy micro-finance ecosystem, we detail our personalized loan recommendation system which we formulate as a supervised learning problem where we try Figure 1: An overview of how Kiva works. 1. A borrower to predict how likely a given lender will fund a new loan. requests a loan to a (field) partner, and a loan is disbursed. We construct the features for each data item by utilizing 2. The partner uploads a loan request to Kiva, and lenders the available connectivity relationships in order to integrate fund the loan. 3. The borrower makes repayments through all the available Kiva data sources.
    [Show full text]
  • Educating Social Entrepreneurs
    MIESING • AGGESTAM THE BUSINESS Educating Social Entrepreneurs Principles for Responsible EXPERT PRESS Management Education Collection DIGITAL LIBRARIES From Business Plan Formulation to Implementation, Volume II Oliver Laasch, Editor EBOOKS FOR Editors BUSINESS STUDENTS Curriculum-oriented, born- Paul Miesing • Maria Aggestam digital books for advanced Educating Social Entrepreneurs: From Idea Generation to Business Plan business students, written Formulation appears at a time of unprecedented environmental by academic thought disasters, natural resources depletion, and significant failure of leaders who translate real- governments and global businesses to attend to worldwide social world business experience problems. In this era of downsizing, restructuring, and social Educating Social into course readings and changes, notions of traditional venture creation and the ways of reference materials for creating social values have been challenged. We draw on examples students expecting to tackle from various parts of the business world and societies to prepare Entrepreneurs students, scholars, and entrepreneurial managers to deal with the management and leadership challenges presented by a new and diverse business environment challenges during their to create business plan for a social venture. Illuminating trouble­ EDUCATING SOCIAL ENTREPRENEURS, VOLUME II VOLUME SOCIAL ENTREPRENEURS, EDUCATING From Business Plan professional careers. some aspects of the global social and business worlds, this POLICIES BUILT workbook comprises two volumes that covers key issues. Students, Formulation to BY LIBRARIANS scholars, and entrepreneurs who want to help a world of multiple disparities by dealing with social entrepreneurship will find this to • Unlimited simultaneous be beneficial reading. Implementation usage • Unrestricted downloading Paul Miesing is the founding director of UAlbany’s Center for and printing Advancement and Understanding of Social Enterprises.
    [Show full text]
  • Kiva User Funds, Llc Financial Statements As of May 31, 2012
    KIVA USER FUNDS, LLC FINANCIAL STATEMENTS AS OF MAY 31, 2012 KIVA USER FUNDS, LLC CONTENTS May 31, 2012 Page INDEPENDENT AUDITOR’S REPORT 1 FINANCIAL STATEMENT Balance Sheet 2 Notes to Financial Statement 3 - 12 INDEPENDENT AUDITOR’S REPORT To the Board of Directors Kiva User Funds, LLC San Francisco, California We have audited the accompanying balance sheet of Kiva User Funds, LLC (“KUF”) as of May 31, 2012. This financial statement is the responsibility of KUF's management. Our responsibility is to express an opinion on this financial statement based on our audit. We conducted our audit in accordance with auditing standards generally accepted in the United States of America. Those standards require that we plan and perform the audit to obtain reasonable assurance about whether the financial statements are free of material misstatement. An audit includes examining, on a test basis, evidence supporting the amounts and disclosures in the financial statements. An audit also includes assessing the accounting principles used and significant estimates made by management, as well as evaluating the overall financial statement presentation. We believe that our audit provide a reasonable basis for our opinion. In our opinion, the balance sheet referred to above presents fairly, in all material respects, the financial position of Kiva User Funds, LLC as of May 31, 2012, in conformity with accounting principles generally accepted in the United States of America. SingerLewak LLP San Jose, California October 26, 2012 KIVA USER FUNDS, LLC BALANCE SHEET AS OF May 31, 2012 ASSETS Cash $ 41,134,798 Accounts receivable from users 33,846 Loans receivable 35,483,885 Total assets$ 76,652,529 LIABILITIES Accounts payable to lenders$ 96,362 Due to Kiva Microfunds 700,120 Unsettled loan transactions 45,004,947 Funds held on behalf of users 27,450,915 Unredeemed Kiva Cards 3,400,185 Total liabilities$ 76,652,529 The accompanying notes are an integral part of this financial statement.
    [Show full text]
  • Field Guide to Software for Nonprofit Immigration Advocates, Organizers, and Service Providers
    THE FIELD GUIDE TO SOFTWARE FOR NONPROFIT IMMIGRATION ADVOCATES, ORGANIZERS, AND SERVICE PROVIDERS By the Immigration Advocates Network and Idealware THE FIELD GUIDE TO SOFTWARE FOR NONPROFIT IMMIGRATION ADVOCATES, ORGANIZERS, AND SERVICE PROVIDERS By the Immigration Advocates Network and Idealware THE FIELD GUIDE TO SOFTWARE FOREWORD Welcome, The Field Guide to Software is a joint effort between the Immigration Advocates Network and Idealware. Through straightforward overviews, it helps pinpoint the types of software that might be useful for the needs of nonprofit immigration advocates, organizers, and service providers and provides user- friendly summaries to demystify the possible options. It covers tried-and-true and emerging tools and technolgies, and best practices and specific aspects of nonprofit software. There’s also a section to guide you through the sometimes daunting process of choosing and implementing software. We know you have your hands full and don’t always have time to keep up with the latest information about the software that can help your organization. That’s where this guide can help. Thank you for all you do to make the world a better place. We hope this Field Guide will help you do it all just a little more easily. Matthew Burnett Karen Graham Director, Executive Director, Immigration Advocates Network Idealware iii THE FIELD GUIDE TO SOFTWARE TABLE OF CONTENTS TABLE 1. Introduction 7 • Understanding What You Need 8 • Every Organization Needs 10 2. Case Studies: Putting Tools to Use 13 • Using Technology to Expand Legal Services: Ayuda Delaware 14 • A Holistic Approach to Serving Immigrants: Benevolent Charities of Oklahoma 17 • Giving Voice to Immigrants: Idaho Coalition for Immigrants and Refugees 20 3.
    [Show full text]
  • Tihen Notes from 1971 Eagle-Beacon, P
    WICHITA STATE UNIVERSITY LIBRARIES’ DEPARTMENT OF SPECIAL COLLECTIONS Tihen Notes from 1971 Eagle-Beacon, p. 1 Dr. Edward N. Tihen (1924-1991) was an avid reader and researcher of Wichita newspapers. His notes from Wichita newspapers -- the “Tihen Notes,” as we call them -- provide an excellent starting point for further research. They present brief synopses of newspaper articles, identify the newspaper -- Eagle, Beacon or Eagle-Beacon -- in which the stories first appeared, and give exact references to the pages on which the articles are found. Microfilmed copies of these newspapers are available at the Wichita State University Libraries, the Wichita Public Library, or by interlibrary loan from the Kansas State Historical Society. TIHEN NOTES FROM 1971 WICHITA EAGLE-BEACON Wichita Eagle-Beacon Saturday, January 2, 1971 page 4B. Report of death yesterday of Kenneth W. Pringle, Sr., 79, 1102 North Ridgewood. Born January 20,1891 in Harveyville, Kansas. Came to Wichita from Alma, Kansas and was Wichita city attorney from 1931 to 1945. Survived by wife, CeCile L., a son, Kenneth W. Pringle, Jr., of Wichita, and two daughters, Mrs. Mary Alice Morozzo and Mrs. Helen Maxine Parzybok, both of Wichita. Photo. Entombment at Mission Chapel Mausoleum. Sunday, January 3, 1971 page 1B, 4B. Calendar of major events in Wichita in 1970: January 5: Board of education approved plan for integration which included closing of Dunbar and L’Ouverture schools and busing of about 2000 black children to other schools over the city. January 26: Park Board and Wichita Aeros agreed on terms for Lawrence Stadium leasing in 1971. February 5: Wichita police put their helicopter into service.
    [Show full text]
  • Crowdfunding: an Industrial Organization Perspective∗
    Crowdfunding: An Industrial Organization Perspective∗ Paul Belleflammey Thomas Lambertz Armin Schwienbacherx June 10, 2010 Abstract The first objective of the paper is to identifiy a number of issues related to crowdfunding that are worth studying from an industrial organization (IO) perspective. To this end, we first propose a definition of crowdfunding; next, on the basis on a previous empirical study, we isolate what we believe are the main features of crowdfunding; finally, we point to a number of strands of the literature that could be used to study the various features of crowdfunding. The second objective of the paper is to propose some preliminary efforts towards the modelization of crowdfunding. In a first model, we associate crowdfunding with pre-ordering and price discrimination, and we study the conditions under which crowdfunding is preferred to traditional forms of external funding. In a second model, we see crowdfunding as a way to make a product better known by the consumers and we give some theoretical underpinning for the empirical finding that non-profit organizations tend to be more successful in using crowdfunding. JEL classification codes: G32, L11, L13, L15, L21, L31 Keywords: crowdfunding, price discrimination, non-profit ∗This paper has been prepared for the workshop `Digital Business Models: Understand- ing Strategies', held in Paris on June 25-26, 2010. The paper is VERY PRELIMINARY AND INCOMPLETE. Please do not quote without prior consent of the authors. yCORE and Louvain School of Management, Universit´ecatholique de Louvain (34 Voie du Roman Pays, B-1348 Louvain-la-Neuve, Belgium), Paul.Bellefl[email protected]. Other affiliation: CESifo.
    [Show full text]