The role of social awareness over the success of crowdfunding platform

Abstract

Purpose of Study: Crowdfunding as alternative funding for creative businesses and SMEs is expected to be implemented in the business world due to low access to funding from banks and other financial institutions to both business groups. The purpose of this study is to determine the effect of regulation and legal aspect, technology readiness, social awareness, and entrepreneurial culture on the success of a crowdfunding platform. Methodology: This research uses a quantitative approach with survey method spread the questionnaire through google form to creative businessman and SMEs in Malaysia. 350 sets of questionnaires were sent to respondents, 300 accepted and 269 were analyzed. Results: The finding of this research is that the four variables influence the success of crowdfunding platform significantly, the most dominant influence is the social awareness variable. Implications/Applications: The implication of this research finding is that more active engagement is needed in order for individuals within a country to be actively involved in online social networks as this is a major driver of crowdfunding activity.