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Counting Your Chickens Before They Hatch - How to Manage Rapid Venture Growth Ensuing from “Blockbuster” Crowdfunding Campaigns

Beyer, Julia LU and Schoen, Simon LU (2017) ENTN19 20171
Department of Business Administration
Abstract
Research Problem:​ While research on rapid venture growth has mostly focused on
high-growth firms in later stages of development, the topic has become increasingly important
to understand for new ventures as well. With the establishment of crowdfunding as an
alternative source of financing, companies have access to tools that enable quick expansion of
their marketing, funding and distribution capabilities that can speedily result in phases of
rapid venture growth. As examples of companies that ceased to exist after a Blockbuster
Kickstarter campaigns show, this phenomenon can be a double-edged sword for new ventures
that fail to manage the risks and challenges associated with rapid venture growth.
Research Aims​: Our aim in this... (More)
Research Problem:​ While research on rapid venture growth has mostly focused on
high-growth firms in later stages of development, the topic has become increasingly important
to understand for new ventures as well. With the establishment of crowdfunding as an
alternative source of financing, companies have access to tools that enable quick expansion of
their marketing, funding and distribution capabilities that can speedily result in phases of
rapid venture growth. As examples of companies that ceased to exist after a Blockbuster
Kickstarter campaigns show, this phenomenon can be a double-edged sword for new ventures
that fail to manage the risks and challenges associated with rapid venture growth.
Research Aims​: Our aim in this thesis is to gain an in-depth understanding of the challenges
arising in the aftermath of an overly successful Kickstarter campaign and analyse the
strategies companies applied to overcome these challenges. Ultimately, we aim to provide
insights into how new ventures manage rapid venture growth as a consequence of
crowdfunding or due to other circumstances.
Method​: We deploy a qualitative, comparative study approach, juxtaposing the applied
strategies and concepts of six companies that continued to experience rapid growth after
conducting a Blockbuster campaign on Kickstarter.
Results:​ Based on the insights gained we provide an introduction into the general mindset of
ventures that are managing rapid venture growth. We identify overarching concepts that guide
these entrepreneurs in the areas of strategic management, company structure and growth
management.
Implications:​ Our results provide theoretical implications for how rapid growth can be studied
in new ventures, the concept of the liability of rapid growth and the interrelatedness of the
outcome of growth and the growth process research strands. Practical implications include
guiding principles for new ventures inside and outside the crowdfunding context. (Less)
Popular Abstract
Research Problem:​ While research on rapid venture growth has mostly focused on
high-growth firms in later stages of development, the topic has become increasingly important
to understand for new ventures as well. With the establishment of crowdfunding as an
alternative source of financing, companies have access to tools that enable quick expansion of
their marketing, funding and distribution capabilities that can speedily result in phases of
rapid venture growth. As examples of companies that ceased to exist after a Blockbuster
Kickstarter campaigns show, this phenomenon can be a double-edged sword for new ventures
that fail to manage the risks and challenges associated with rapid venture growth.
Research Aims​: Our aim in this... (More)
Research Problem:​ While research on rapid venture growth has mostly focused on
high-growth firms in later stages of development, the topic has become increasingly important
to understand for new ventures as well. With the establishment of crowdfunding as an
alternative source of financing, companies have access to tools that enable quick expansion of
their marketing, funding and distribution capabilities that can speedily result in phases of
rapid venture growth. As examples of companies that ceased to exist after a Blockbuster
Kickstarter campaigns show, this phenomenon can be a double-edged sword for new ventures
that fail to manage the risks and challenges associated with rapid venture growth.
Research Aims​: Our aim in this thesis is to gain an in-depth understanding of the challenges
arising in the aftermath of an overly successful Kickstarter campaign and analyse the
strategies companies applied to overcome these challenges. Ultimately, we aim to provide
insights into how new ventures manage rapid venture growth as a consequence of
crowdfunding or due to other circumstances.
Method​: We deploy a qualitative, comparative study approach, juxtaposing the applied
strategies and concepts of six companies that continued to experience rapid growth after
conducting a Blockbuster campaign on Kickstarter.
Results:​ Based on the insights gained we provide an introduction into the general mindset of
ventures that are managing rapid venture growth. We identify overarching concepts that guide
these entrepreneurs in the areas of strategic management, company structure and growth
management.
Implications:​ Our results provide theoretical implications for how rapid growth can be studied
in new ventures, the concept of the liability of rapid growth and the interrelatedness of the
outcome of growth and the growth process research strands. Practical implications include
guiding principles for new ventures inside and outside the crowdfunding context. (Less)
Please use this url to cite or link to this publication:
author
Beyer, Julia LU and Schoen, Simon LU
supervisor
organization
course
ENTN19 20171
year
type
H1 - Master's Degree (One Year)
subject
keywords
Reward-based Crowdfunding, Kickstarter, New Ventures, Rapid Venture Growth, Growth Management, Strategic Management.
language
English
id
8926144
date added to LUP
2018-01-30 13:40:44
date last changed
2018-01-30 13:40:44
@misc{8926144,
  abstract     = {Research Problem:​ While research on rapid venture growth has mostly focused on
high-growth firms in later stages of development, the topic has become increasingly important
to understand for new ventures as well. With the establishment of crowdfunding as an
alternative source of financing, companies have access to tools that enable quick expansion of
their marketing, funding and distribution capabilities that can speedily result in phases of
rapid venture growth. As examples of companies that ceased to exist after a Blockbuster
Kickstarter campaigns show, this phenomenon can be a double-edged sword for new ventures
that fail to manage the risks and challenges associated with rapid venture growth.
Research Aims​: Our aim in this thesis is to gain an in-depth understanding of the challenges
arising in the aftermath of an overly successful Kickstarter campaign and analyse the
strategies companies applied to overcome these challenges. Ultimately, we aim to provide
insights into how new ventures manage rapid venture growth as a consequence of
crowdfunding or due to other circumstances.
Method​: We deploy a qualitative, comparative study approach, juxtaposing the applied
strategies and concepts of six companies that continued to experience rapid growth after
conducting a Blockbuster campaign on Kickstarter.
Results:​ Based on the insights gained we provide an introduction into the general mindset of
ventures that are managing rapid venture growth. We identify overarching concepts that guide
these entrepreneurs in the areas of strategic management, company structure and growth
management.
Implications:​ Our results provide theoretical implications for how rapid growth can be studied
in new ventures, the concept of the liability of rapid growth and the interrelatedness of the
outcome of growth and the growth process research strands. Practical implications include
guiding principles for new ventures inside and outside the crowdfunding context.},
  author       = {Beyer, Julia and Schoen, Simon},
  keyword      = {Reward-based Crowdfunding,Kickstarter,New Ventures,Rapid Venture Growth,Growth Management,Strategic Management.},
  language     = {eng},
  note         = {Student Paper},
  title        = {Counting Your Chickens Before They Hatch - How to Manage Rapid Venture Growth Ensuing from “Blockbuster” Crowdfunding Campaigns},
  year         = {2017},
}