Crowdfunding is a new kind of Internet financial model,whose operation process including three main bodies--project sponsor,investor and the crowdfunding platform.A Project sponsor show creative projects on the crowdfunding platform to attract public attention and win numerous investors’ money support,completing their financing target,and then provides certain returns to the investors.Since the crowdfunding appeared in China’s financial market in 2011,the number of platforms and financing scale is growing rapidly.With the rapid development of crowdfunding,our country attaches great importance to the effect that equity crowdfunding and reward crowdfunding promote innovation and entrepreneurship.In this paper,once mention the mechanism and development strategy of crowdfunding to promote innovation and entrepreneurship,crowdfunding is refers to the equity crowdfunding and reward crowdfunding.This article wants to explore why crowdfunding can promote innovation and entrepreneurship,how does crowdfunding promote innovation and entrepreneurship,what development dilemmas crowdfunding faces during the process of promoting innovative and entrepreneurship,why does crowdfunding faces these development dilemmas,and how to solve these problems,making the mechanism and development strategy of crowdfunding to promote innovation and entrepreneurship play better.Through the solution of these problems,I hope the crowdfunding platforms in our country can improve the business process,the general public can understand crowdfunding better and participate in crowdfunding,entrepreneurs can more effectively use crowdfunding to complete business plan,realizing their dreams,and the regulators can give more support to the development of crowdfunding,making crowdfunding better support the development of innovative programs and start-ups under the background of China’s "Mass entrepreneurship and innovation".This paper studies the mechanism and development strategy of crowdfunding promoting innovation and entrepreneurship in China from four aspects.First,on the basis of referencing the previous research results and theories,this paper analyses the mechanism that crowdfunding supports the development of innovative programs and start-ups in theory.And then draw a conclusion that crowdfunding promotes innovation and entrepreneurship mainly through 4channels--reducing the financing difficulties of micro enterprise,promoting the development of new industries,promoting enterprises clear market demands and inspiring ordinary people to innovate.Second,this paper gives two examples to analyses the specific mechanism that crowdfunding platforms promote the development of innovative programs and start-ups.This paper selects “One Vote”equity crowdfunding platform which ranked the first in the equity crowdfunding industry ratings.This paper also selects “Jing Dong Crowdfunding” reward crowdfunding platform which ranked the first in the reward crowdfunding industry ratings.After that,this paper analyses that,how does the two crowdfunding platforms help specific project sponsors achieve their suggests through the business process,and comparing with other platforms in the same industry,what unique mechanism the two crowdfunding platforms set up to make the entrepreneurial teams raise a higher success rate,and what institutional defects does the two crowdfunding platforms have.In addition,this paper selects one successful project from “One Vote” equity crowdfunding platform and one failing project from “Jing Dong Crowdfunding”,analysing the reason of their success or failure,and exploring how entrepreneurs make a project crowdfunding successfully,what kind of projects can raise success,what kind of projects the investors preferred.Third,according to the above cases analysis and the referencing the previous research results,this paper finds the problems crowdfunding have faced in promoting the process of innovation and entrepreneurship--crowdfunding platforms have lower success rate about science and technology innovation project,the propaganda of start-up project is insufficient,the crowdfunding industry has frauds,some projects were plagiarized,crowdfunding platforms raise false items,there is no laws and regulations about equity crowdfunding.And then this paper analyses the reasons of these troubles--investors are not mature,the crowdfunding platforms have low level of technology innovation,the crowdfunding platforms have financing system deficiency,the crowdfunding platforms and project sponsors don’t pay attention to the protection of intellectual property,the crowdfunding platforms have difficulties in auditing projects.Fourth,according to the above analysis about the problems and the reasons,this paper put forward some corresponding proposals—the crowdfunding platforms strengthen the education of investors,the crowdfunding platforms strengthen the capacity of technological innovation,perfecting the financing system,the crowdfunding platforms and project sponsors pay attention to the protection of intellectualproperty,the crowdfunding platforms audit projects with innovation methods,the supervision departments introduce laws and regulations about equity crowdfunding. |