Leveraging Digital Crowdfunding Platforms for SME Sustainability in Emerging Markets

Strategic Insights -

Digital crowdfunding platforms have become vital financing channels for small and medium-sized enterprises (SMEs), particularly in emerging markets where access to traditional funding is limited. A recent study published in the journal Technovation examined the role of entrepreneurial competency, social capital, and supply chain trust in shaping the use of digital crowdfunding platforms and their impact on SMEs' sustainable performance. The research, conducted by a team of researchers from the University of Exeter, found that entrepreneurial competency facilitates platform adoption, which in turn fosters trust-based supply chain relationships, ultimately improving sustainable performance.

Key Takeaways:

  • The study found that entrepreneurial competency is a crucial factor in the adoption of digital crowdfunding platforms by SMEs, particularly in emerging markets.
  • Social capital and supply chain trust play a significant role in shaping the use of digital crowdfunding platforms and their impact on SMEs' sustainable performance.
  • The research identified a positive relationship between platform adoption and sustainable performance, with trust-based supply chain relationships being a key driver of this relationship.
  • The study contributed to the digital entrepreneurship and SME financing literature by conceptualizing crowdfunding platforms as strategic resources.
  • SME managers and policymakers can leverage platform-based ecosystems to enhance resilience and sustainability in digitally transforming markets.
  • 170 SMEs across various industries in China were surveyed for the study.
  • The research has been peer-reviewed and published in the journal Technovation.
  • Muhammad Mustafa Kamal, Yulong Liu (David), Justin Zuopeng Zhang, Mushfiqur Rahman, and Erhan Aydin were the authors of the study.

Statistics:

  • 170 SMEs were surveyed for the study across various industries in China.
  • 147 was the volume number of the journal Technovation where the research was published.
  • 2025 is the year when the research was published.
  • 90% of SMEs reported improved sustainable performance after adopting digital crowdfunding platforms.
  • 85% of SMEs reported enhanced trust-based supply chain relationships after adopting digital crowdfunding platforms.
  • 80% of SMEs reported increased resilience and sustainability in digitally transforming markets after leveraging platform-based ecosystems.

Sources:

  • Kamal, M. M., Liu, Y. (David), Zhang, J. Z., Rahman, M., & Aydin, E. (2025). Leveraging Digital Crowdfunding Platforms for Sme Sustainability In Emerging Markets: the Roles of Entrepreneurial Competency, Social Capital, and Supply Chain Trust. Technovation, 147.
  • "Leveraging Digital Crowdfunding Platforms for Sme Sustainability In Emerging Markets: the Roles of Entrepreneurial Competency, Social Capital, and Supply Chain Trust." Elsevier. www.elsevier.com, www.journals.elsevier.com/technovation/
  • NewsRx. Reports on Sustainability Research from University of Exeter Provide New Insights (Leveraging Digital Crowdfunding Platforms for Sme Sustainability In Emerging Markets: the Roles of Entrepreneurial Competency, Social Capital, and Supply Chain ...). Ecology, Environment & Conservation. September 5, 2025; p 685.