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Podcast: Investor Connect Podcast
Episode: Startup Funding Espresso – Bandwagon Effect
Description: Bandwagon Effect Hello, this is Hall T. Martin with the Startup Funding Espresso -- your daily shot of startup funding and investing. The bandwagon effect is a cognitive bias defined by as the tendency to do (or believe) things because many other people do (or believe) the same. Investors follow the lead of others. The more investors following a deal, the more investors are willing to join. Investors look for lead investors who will negotiate the terms and diligence it. To avoid the bandwagon effect in funding a startup, look for experienced investors to follow Review carefully the diligence report t...