Entrepreneurship and Crowdfunding in Lebanon: ABC Model of Attitude

Abstract

In light of insufficient traditional methods of funding of entrepreneurial projects and ventures in Lebanon, crowdfunding is proposed as an alternative funding mechanism. Crowdfunding is a way for entrepreneurs to fund their projects via dedicated online platforms where the needed capital is accumulated from small contributions from a large number of interested individuals: the crowd. Since the people are at the center, it is vital to address their attitudes toward participating as funders. For this aim, the researcher derives from previous studies and the present literature a conceptual framework that proposes to explain what impacts attitudes toward participating as funders in crowdfunding. The model is tested via a questionnaire targeted to 457 workers located in the four main regions of Lebanon. Results of the statistical analysis confirmed the proposed model and confirmed 3 out of 4 of the hypotheses pertaining to the variables (enthusiasm, trust, and experience) and gave insights concerning awareness, understanding, and attitudes regarding crowdfunding in Lebanon. The study provides recommendations for improvement of the status of crowdfunding in Lebanon for the benefit of entrepreneurs, SMEs, and the economy.