Crowdfunding Campaigns in Small-Scale Economy and Determinants of Their Success

Abstract

The article analyzes selected success factors of crowdfunding campaigns in Slovakia and the Czech Republic. As these countries are small in size with limited absorption capacity of crowdfunding markets, we assume that regional projects might be different as to the type, budget and area of implementation than those on international portals. The basic hypotheses are proposed, coming out from existing theories and previous results of research, tested by parametric tests. The methodology combines utilization of several methodsterm frequency, trend analysis, quantitative and causal analysis. The results indicate that many projects are not providing important information about their idea (also in form of video spot, connection with social networks and own website), however, still quite large part of them is successful. The analysis also testifies that the most successful crowdfunding campaigns are those oriented on the blogs, travel, community, education and science

Reward-Based Crowdfunding : How to Make it Work?

“…Central European countries are considered small, and their markets have limited absorption capacity, including crowdfunding markets, so it is necessary to raise funds abroad. Domestic platforms focus on regional projects, which may differ in type, budget and area of implementation, rather than those located on international portals (Elexa et al 2018). Elexa et al (2018) found that crowdfunding platforms have decreased recently, especially in Slovakia.…”

“…Domestic platforms focus on regional projects, which may differ in type, budget and area of implementation, rather than those located on international portals (Elexa et al 2018). Elexa et al (2018) found that crowdfunding platforms have decreased recently, especially in Slovakia. The decrease can be caused by the effect of a small economy and relatively intense competition from the Czech Republic, as Czech platforms are relatively easily accessible and attractive for the Slovak donor crowd, mainly due to a low language barrier.…”

Global market opportunities: analysis of the foreign language websites in the Czech economy in the context of the number of it professionals

“…They point out that enterprises must communicate online to successfully approach generation Y employees. Elexa et al [4] research crowdfunding campaigns in Slovakia and Czechia. Their results show that despite not providing enough information about their core ideas, many projects are still successful.…”