{"id":1332,"date":"2021-02-19T09:37:25","date_gmt":"2021-02-19T14:37:25","guid":{"rendered":"http:\/\/community.mis.temple.edu\/seminars\/?p=1332"},"modified":"2021-03-10T12:40:34","modified_gmt":"2021-03-10T17:40:34","slug":"feb-19-keong-tae-kim-to-present-risk-disclosure-in-crowdfunding","status":"publish","type":"post","link":"https:\/\/community.mis.temple.edu\/seminars\/feb-19-keong-tae-kim-to-present-risk-disclosure-in-crowdfunding\/","title":{"rendered":"Feb 19 &#8211; Keong Tae Kim to present &#8220;Risk Disclosure in Crowdfunding&#8221;"},"content":{"rendered":"<h2 style=\"text-align: center\">Risk Disclosure in Crowdfunding<\/h2>\n<p style=\"text-align: center\">by<\/p>\n<p><img loading=\"lazy\" decoding=\"async\" class=\"aligncenter size-medium\" src=\"https:\/\/www.bschool.cuhk.edu.hk\/wp-content\/uploads\/272_KIM-Keongtae-300x300.jpg\" width=\"300\" height=\"300\" \/><\/p>\n<h2 style=\"text-align: center\"><a href=\"https:\/\/www.bschool.cuhk.edu.hk\/staff\/kim-keongtae\/\">Keong Tae Kim<\/a><\/h2>\n<p style=\"margin: 0in;text-align: center\" align=\"center\">Associate Professor<br \/>\nDecision Sciences and Managerial Economics<br \/>\nCUHK Business School<br \/>\nThe Chinese University of Hong Kong<\/p>\n<h2><\/h2>\n<h2 style=\"text-align: center\"><strong>Friday, Feb 19<br \/>\n<\/strong><\/h2>\n<h2 style=\"text-align: center\"><strong>9 \u2013 10 am | Zoom<\/strong><\/h2>\n<p style=\"text-align: center\">(send an email to ayabakan@temple.edu to get the Zoom link)<\/p>\n<p style=\"text-align: center\"><strong>Abstact:<\/strong><\/p>\n<p style=\"text-align: center\">How should crowdfunding platforms alleviate information asymmetry between creators and crowdfunders? In traditional financial markets, public companies are required to disclose potential risks to their investors, and such risk disclosure requirements are enforced by legal and fiduciary regulations. In the crowdfunding context, however, such information asymmetry concerns are often addressed by crowd-based platforms. In this study, we examine whether and how risk disclosure of crowdfunding projects influences crowdfunders\u2019 project perceptions and funding decisions. To examine the impact of risk disclosure holistically, we exploit a natural experiment, run two controlled experiments, and conduct a text-based machine learning analysis. We find that crowdfunders respond negatively to projects\u2019 risk disclosure, while the negative effect of risk disclosure is smaller for projects that are more likely to deliver an expected reward. In addition, crowdfunders are sensitive to the content and presentation of disclosed risk information from projects and respond accordingly, though the association is stronger for more complex projects. We find that when projects are complex and challenging, funders pay more attention to risk information and the likelihood of receiving the promised rewards. These findings have implications for disclosure policies in crowd-based platforms and provide guidance for entrepreneurs seeking funds from crowds.<\/p>\n","protected":false},"excerpt":{"rendered":"<p>Risk Disclosure in Crowdfunding by Keong Tae Kim Associate Professor Decision Sciences and Managerial Economics CUHK Business School The Chinese University of Hong Kong Friday, Feb 19 9 \u2013 10 am | Zoom (send an email to ayabakan@temple.edu to get the Zoom link) Abstact: How should crowdfunding platforms alleviate information asymmetry between creators and crowdfunders? [&hellip;]<\/p>\n","protected":false},"author":17227,"featured_media":0,"comment_status":"open","ping_status":"closed","sticky":false,"template":"","format":"standard","meta":{"_genesis_hide_title":false,"_genesis_hide_breadcrumbs":false,"_genesis_hide_singular_image":false,"_genesis_hide_footer_widgets":false,"_genesis_custom_body_class":"","_genesis_custom_post_class":"","_genesis_layout":"","footnotes":""},"categories":[1],"tags":[291242,22662,838387,838386],"class_list":["post-1332","post","type-post","status-publish","format-standard","category-uncategorized","tag-crowd","tag-crowdfunding","tag-natural-experiment","tag-risk-disclosure","entry"],"jetpack_featured_media_url":"","_links":{"self":[{"href":"https:\/\/community.mis.temple.edu\/seminars\/wp-json\/wp\/v2\/posts\/1332","targetHints":{"allow":["GET"]}}],"collection":[{"href":"https:\/\/community.mis.temple.edu\/seminars\/wp-json\/wp\/v2\/posts"}],"about":[{"href":"https:\/\/community.mis.temple.edu\/seminars\/wp-json\/wp\/v2\/types\/post"}],"author":[{"embeddable":true,"href":"https:\/\/community.mis.temple.edu\/seminars\/wp-json\/wp\/v2\/users\/17227"}],"replies":[{"embeddable":true,"href":"https:\/\/community.mis.temple.edu\/seminars\/wp-json\/wp\/v2\/comments?post=1332"}],"version-history":[{"count":4,"href":"https:\/\/community.mis.temple.edu\/seminars\/wp-json\/wp\/v2\/posts\/1332\/revisions"}],"predecessor-version":[{"id":1344,"href":"https:\/\/community.mis.temple.edu\/seminars\/wp-json\/wp\/v2\/posts\/1332\/revisions\/1344"}],"wp:attachment":[{"href":"https:\/\/community.mis.temple.edu\/seminars\/wp-json\/wp\/v2\/media?parent=1332"}],"wp:term":[{"taxonomy":"category","embeddable":true,"href":"https:\/\/community.mis.temple.edu\/seminars\/wp-json\/wp\/v2\/categories?post=1332"},{"taxonomy":"post_tag","embeddable":true,"href":"https:\/\/community.mis.temple.edu\/seminars\/wp-json\/wp\/v2\/tags?post=1332"}],"curies":[{"name":"wp","href":"https:\/\/api.w.org\/{rel}","templated":true}]}}