Belleflamme, Omrani and Peitz (2015)

From Copyright EVIDENCE

Advertising Architectural Publishing of books, periodicals and other publishing Programming and broadcasting Computer programming Computer consultancy Creative, arts and entertainment Cultural education

Film and motion pictures Sound recording and music publishing Photographic activities PR and communication Software publishing (including video games) Specialised design Television programmes Translation and interpretation

1. Relationship between protection (subject matter/term/scope) and supply/economic development/growth/welfare 2. Relationship between creative process and protection - what motivates creators (e.g. attribution; control; remuneration; time allocation)? 3. Harmony of interest assumption between authors and publishers (creators and producers/investors) 4. Effects of protection on industry structure (e.g. oligopolies; competition; economics of superstars; business models; technology adoption) 5. Understanding consumption/use (e.g. determinants of unlawful behaviour; user-generated content; social media)

A. Nature and Scope of exclusive rights (hyperlinking/browsing; reproduction right) B. Exceptions (distinguish innovation and public policy purposes; open-ended/closed list; commercial/non-commercial distinction) C. Mass digitisation/orphan works (non-use; extended collective licensing) D. Licensing and Business models (collecting societies; meta data; exchanges/hubs; windowing; crossborder availability) E. Fair remuneration (levies; copyright contracts) F. Enforcement (quantifying infringement; criminal sanctions; intermediary liability; graduated response; litigation and court data; commercial/non-commercial distinction; education and awareness)

Source Details

Belleflamme, Omrani and Peitz (2015)
Title: The Economics of Crowdfunding Platforms
Author(s): Belleflamme, P., Omrani, N., Peitz, M.
Year: 2015
Citation: Belleflamme, P., Omrani, N. and Peitz, M., 2015. The economics of crowdfunding platforms. Information Economics and Policy, 33, pp.11-28.
Link(s): Definitive , Open Access
Key Related Studies:
Discipline:
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About the Data
Data Description: This study is comprised of literature review, including a particular study of the literature on examples in France. It contains no original data.
Data Type:
Secondary Data Sources:
Data Collection Methods:
Data Analysis Methods:
Industry(ies):
Country(ies):
Cross Country Study?: Yes
Comparative Study?: No
Literature review?: Yes
Government or policy study?: No
Time Period(s) of Collection:
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Abstract

This paper provides a description of the crowdfunding sector, considering investment based crowdfunding platforms as well as platforms in which funders do not obtain monetary payments. It lays out key features of this quickly developing sector and explores the economic forces at play that can explain the design of these platforms. In particular, it elaborates on cross-group and within-group external effects an asymmetric information on crowdfunding platforms.

Main Results of the Study

Crowdfunding allows the fund-seeking group to find new contributors and therefore future customers before the release of the product on the market. Brands under development may enjoy early funding and consumers may benefit from a lower price during the launch period of the product or brand.Crowdfunding opens the possibility to 'engage' the brands with their contributors and may stimulate the demand for the product. The success of such campaign facilitates the promotion of the product through the communityalready engaged during the campaign.

Policy Implications as Stated By Author

The authors argue that, to understand the business models of CFPs, a two-sided markets perspective should be adopted. The interaction among funders and fundraisers on a platform is characterized by cross-group andwithin-group external effects. Information asymmetries loom large on CFPs. They pose several challenges for the design and governance of the platform. In particular, CFPs face the challenge to make relevant information easily available while at the same time to encourage information gathering, in particular on the funder side.

Coverage of Study

Coverage of Fundamental Issues
Issue Included within Study
Relationship between protection (subject matter/term/scope) and supply/economic development/growth/welfare
Relationship between creative process and protection - what motivates creators (e.g. attribution; control; remuneration; time allocation)?
Green-tick.png
Harmony of interest assumption between authors and publishers (creators and producers/investors)
Effects of protection on industry structure (e.g. oligopolies; competition; economics of superstars; business models; technology adoption)
Understanding consumption/use (e.g. determinants of unlawful behaviour; user-generated content; social media)
Green-tick.png
Coverage of Evidence Based Policies
Issue Included within Study
Nature and Scope of exclusive rights (hyperlinking/browsing; reproduction right)
Exceptions (distinguish innovation and public policy purposes; open-ended/closed list; commercial/non-commercial distinction)
Mass digitisation/orphan works (non-use; extended collective licensing)
Licensing and Business models (collecting societies; meta data; exchanges/hubs; windowing; crossborder availability)
Green-tick.png
Fair remuneration (levies; copyright contracts)
Green-tick.png
Enforcement (quantifying infringement; criminal sanctions; intermediary liability; graduated response; litigation and court data; commercial/non-commercial distinction; education and awareness)

Datasets

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