%0 Journal Article
%T Crowd Equity Investors: An Underutilized Asset for Open Innovation in Startups
%A Andrea Prencipe
%A Ann Majchrzak
%A Francesca Di Pietro
%J California Management Review
%@ 2162-8564
%D 2018
%R 10.1177/0008125617738260
%X Collaborating with investor networks generated in the course of equity-based crowdfunding campaigns can contribute to the success of startup firms. Through a qualitative study of 60 European startups, this article identifies the type of inputs provided by equity investors, how these inputs are related to startupsĄŻ and foundersĄŻ characteristics, and startupsĄŻ later performance. Startups exploiting crowd network are more likely to be successful two years later compared with startups that do not exploit the crowd, or acquire from the crowd product, strategy, or market knowledge. The findings extend existing research on the relationships between open innovation and startups by identifying the inputs provided by the crowd and how the use of crowd equity investors in open innovation platforms is related to later success
%K open innovation
%K startups
%K crowdfunding
%K performance
%K professional investors
%K knowledge
%K networks
%U https://journals.sagepub.com/doi/full/10.1177/0008125617738260