Start-ups and Investors’ Intention: Does Social Media Marketing Create Value?

Abstract

This research aims at investigating the relationship between the
social media marketing of startup and investor’s investment
intention. The theoretical framework was grounded in the literature
of investor’s behaviour and their interaction with the social media for
the investment procedure and decision. E-mail survey was
administered using the link appending structured questionnaire. 213
usable responses were analysed using multiple regression analysis to
test the hypothesis. Findings of the research revealed that
awareness, trust & perception about start-up created from the social
media marketing of start-ups have a positive influence on the
intention of investors to invest in the start-up. In contrast,
engagement of investors with the start-ups on social media has not
been found to influence the investors’ intention to invest in the
startups.