From Failure to Signal: A Process-Based Analysis of Learning and Strategic Adaptation in Crowdfunding Campaigns
DOI:
https://doi.org/10.31305/rhimrj.2026.v13n08.008Keywords:
Crowdfunding, Entrepreneurial learning, Experiential Learning Theory, Signaling TheoryAbstract
Crowdfunding has emerged as an important source of entrepreneurial financing. Nevertheless, a significant number of campaigns end up not reaching their financing targets. While the existing research is mainly focused on successful cases, it gives little information regarding entrepreneurs' experiences and learning from crowdfunding failures. Thus, this research aims at understanding the way entrepreneurs perceive crowdfunding failures, the kinds of learning that occur in these cases, and the impact of such learning on further strategic actions. Based on Experiential Learning Theory and Signaling Theory, this research uses the qualitative multiple-case design with 39 entrepreneurs whose campaigns have been unsuccessful. As a result, it becomes apparent that failure is not a simple phenomenon but a complex one. It involves the following five phases of the failure process: failure experience, reflection and interpretation of the failure, learning outcomes, strategic adjustment, and further actions. The transition between these phases depends on the type of attribution used, the level of reflection, and the processing of emotions involved in the situation. There are three kinds of learning that emerge unequally among different cases – cognitive, behavioral, and strategic.
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