A Study On The Crowdfunding Project Financing Success Factors And Herd Effect

In recent years,the rapid development of internet finance has injected new vitality into our economy.As the main form of Internet finance,the crowdfunding provide a new shortcut for solving the financing difficulties of small and medium enterprises in China through the establishment of a direct bridge between project financiers and project investors.However,due to the short development period of the crowdfunding industry in our country,there are still many problems in the crowdfunding process.Some of the projects with great potential for development have to fail as the funds raised are not up to expectations.At the same time,the Herd Effect as an investor in following up the trend of investment is widespread in the Internet finance industry,exacerbating the difficulty of financing successful crowdfunding projects.Accordingly,it is of more important research significance to explore the influencing factors of crowdfunding project financing and test the herding effect.Based on the research of predecessors' literature,this paper chooses"kaistart" as the research object,and selects the influencing factors of the success of crowdfunding financing from the two dimensions of project quality and investor,then,through crawling the real data of crowdfunding projects from "kaistart",a total of 142 items and 3915 pieces of data were obtained.Then,the cross-sectional data of the project end date is selected and truncated regression model is used to analyze the influencing factors of the success of crowdfunding financing.Subsequently,this paper examines the existence of a herd effect among investors from "kaistart" by creating a panel model.Through the empirical analysis,this paper draws the following conclusions:the target amount of crowdfunding projects has a significant negative correlation with crowdfunding financing performance;crowdfunding project financing support number,number of reviews and crowdfunding project financing performance has a significant positive correlation Relationship;project types and crowdfunding project financing performance has a significant rlationship;crowdfunding duration,number of pictures and crowdfunding project financing performance have no significant relationship.Herding effect test results show that there is a herd effect in the crowdfunding industry,and there is an inverted U-shaped relationship between the current supportive number and the next supportive number.Finally,based on the results of the empirical research,this paper puts forward some suggestions to the crowdfunding financiers,investors and crowdfunding platform.