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Trust in the investor relationship marketing of startups: a systematic literature review and research agenda

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  • Manuel Kaiser

    (Entrepreneurship Research Group
    Fraunhofer Institute for Industrial Engineering IAO)

  • Elisabeth S. C. Berger

    (Entrepreneurship Research Group)

Abstract

An important task of entrepreneurs is the management of investor relations. Past literature has emphasized the role of trust for managing relationships and regulating their quality. However, the landscape of investors has changed due to digitalization, so that new players have joined and expanded the investor offer. Entrepreneurs also often enter into relationships with multiple investors, which can challenge investor relationship marketing. To provide an overview, we conduct a structured literature review on the entrepreneur’s relationship marketing with four key investors: venture capitalists (VCs), business angels (BAs), banks, and crowd funders. The paper improves the understanding of trust as a concept in the management of investor relations and identifies directions for future research. The results show that research has predominantly studied trust in the VC–entrepreneur relationship. Across different investors, the primary focus has been on factors that influence trust building, especially investor communication and entrepreneur–investor fit. Furthermore, the results show that trust has an influence on cooperation by strengthening the relationship and reducing risk.

Suggested Citation

  • Manuel Kaiser & Elisabeth S. C. Berger, 2021. "Trust in the investor relationship marketing of startups: a systematic literature review and research agenda," Management Review Quarterly, Springer, vol. 71(2), pages 491-517, April.
    • Handle: RePEc:spr:manrev:v:71:y:2021:i:2:d:10.1007_s11301-020-00191-9
    DOI: 10.1007/s11301-020-00191-9
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    2. Maas, Martina, 2021. "Die Bedeutung der Kapitalmarktkommunikation für börsennotierte Unternehmen," Working Papers 9, Helmut Schmidt University, Research Cluster OPAL.
    3. Christoph Maus & Andrea Greven & Niklas Kurth & Malte Brettel, 2024. "How do investor characteristics of business angels and venture capitalists predict the occurrence of co-investments?," Journal of Business Economics, Springer, vol. 94(5), pages 763-811, July.
    4. Liping Li & Qisheng Chen & Ximeng Jia & Jin Chen & Enrique Herrera-Viedma, 2024. "The collusion behavior of venture capitalists and entrepreneurs based on “guanxi”: evidence from China," Palgrave Communications, Palgrave Macmillan, vol. 11(1), pages 1-18, December.
    5. Dustin Bauer & Sebastian Junge & Tobias Reif, 2024. "May the resources be with you: a systematic review and framework of startup funding options," Management Review Quarterly, Springer, vol. 74(3), pages 1365-1396, September.
    6. Maas, Martina, 2023. "Investor Relations als Beruf: Eine Untersuchung zur Professionalisierung der Kapitalmarktkommunikation von Unternehmen," Working Papers 11, Helmut Schmidt University, Research Cluster OPAL.

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