A Research on Effect of Response to Internet Financing Reputation Evaluation on Achievement - From the Perspective of Social Network Theory

Abstract

With the rapid development of Internet technologies and business models, the new Internet financial model represented by crowdfunding has become more and more popular among entrepreneurs and small and medium investors, serving as an important financing source for entrepreneurship and innovation. Accordingly, all major Internet entrepreneurial financing platforms have launched a standardized reputation evaluation system to facilitate investors to evaluate the quality of entrepreneurship program and service. Potential investors can also make investment choices based on the above-mentioned evaluation, which, together with the response to the evaluation, forms a reputation mechanism specific to Internet finance. Different from the traditional customer evaluation and evaluation feedback model, the aforesaid rating and entrepreneurs' responses are open and can transform the word of mouth into the entrepreneurs' reputation which will influence potential investors. Therefore, they have great significance and special research value. In spite of fairly complete research on evaluation of Internet financial investors, the research on entrepreneurs' response to the above-mentioned evaluation, especially that from the perspective of social network theory, is still in its infancy, lacking empirical verification and theoretical analysis. This paper, based on the data of 5893 science and technology programs collected from crowdfunding websites, specifies the empirical verification on effects and boundaries of different response behaviors and proposes corresponding management suggestions by effective combination and development of empirical research and social network theory.