Emotion at play: how social and commercial values drive micro-loan funding success

Purpose This study investigates the role of values and emotional intensity in microloan narratives on crowdfunding platforms and their impact on microlending performance. It aims to address ambiguities in entrepreneurial narratives regarding different values in loan descriptions and explore the interaction of values and emotional intensity in microlending. Design/methodology/approach The study analyzes data from the largest microlending platform to examine how the use of social or commercial value-oriented language, combined with emotional intensity, influences funding performance, specifically funding speed. Findings Social value-oriented language in microlending positively impacts its performance by reducing funded time, whereas commercial value-oriented language has a negative effect, slowing it down. Further, emotional intensity amplifies these effects, enhancing the benefits of social value languages and worsening the drawbacks of commercial value languages. Social implications The study suggests targeted entrepreneur communication training and platform-based content guidance, including tone feedback and regional development priorities, to improve alignment and funding effectiveness in prosocial microlending. Originality/value This study bridges gaps in the entrepreneurial narratives literature by clarifying the effects of different values and the role of value congruence in microlending. It also highlights the interaction between cognitive (values) and emotional intensity in microlending success, addressing an underexplored emotional dimension.