Journal article

Authors list: Colombo, Oskar

Publication year: 2021

Pages: 237-259

Journal: Journal of Management

Volume number: 47

Issue number: 1

ISSN: 0149-2063

eISSN: 1557-1211

Open access status: Hybrid

DOI Link: https://doi.org/10.1177/0149206320911090

Publisher: SAGE Publications

Abstract: 
The use of signals to overcome information asymmetries and reduce the uncertainty inherent in resource acquisition has become a prominent theme in new-venture financing literature. In particular, the assessment of a wide range of different information signals, with the aim of conveying a venture's quality and legitimacy to prospective investors, is receiving increased scholarly attention. With contributions from a broad spectrum of diverse research foci investigating interactions with distinct types of investors, the literature on entrepreneurial signaling in new-venture financing has become fragmented, and this is harming further development of the field. This study systematically reviews the different literature streams on entrepreneurial signaling to provide a more integrative framework, which can contribute to the cumulative and evidence-based body of knowledge about the role of entrepreneurial signaling in new-venture financing. Furthermore, the authors identify critical sender-, signal-, receiver-, and environment-related boundary conditions that influence the signaling effectiveness. In this way, the authors identify gaps in the existing literature and map directions for future research.

Harvard Citation style: Colombo, O. (2021) The Use of Signals in New-Venture Financing: A Review and Research Agenda, Journal of Management, 47(1), Article 0149206320911090. pp. 237-259. https://doi.org/10.1177/0149206320911090

APA Citation style: Colombo, O. (2021). The Use of Signals in New-Venture Financing: A Review and Research Agenda. Journal of Management. 47(1), Article 0149206320911090, 237-259. https://doi.org/10.1177/0149206320911090