Business angels are financial providers, investing their own money into high-risk entrepreneurial assets, with a different set of motivations (more intrinsically motivated) and behaviours (more actively involved) from institutional investors. We offer a conceptualization of business angels as entrepreneurial decision-makers; individuals, whose actions are socially embedded. We investigate how the choice to engage as a business angel is affected by individual experience, the corresponding social experience of peer groups, and the interplay of the two. We test a multi-level model using a large dataset containing 1,287,997 individuals across 92 countries and 15 years. Our analysis reveals that meso-level peer influence has a significant effect on the likelihood that an individual becomes a business angel. It also acts to compensate for lack of individual entrepreneurial experience.
|Number of pages||1|
|Journal||Academy of Management Proceedings|
|Early online date||29 Jul 2020|
|Publication status||Published - 1 Aug 2020|
|Event||80th Annual Meeting of the Academy of Management - Online|
Duration: 7 Aug 2020 → 11 Aug 2020