The Short-Run Effects of the General Data Protection Regulation on Technology Venture Investment

Jian Jia
Jian Jia
[email protected]
https://orcid.org/0000-0003-0389-3230
Stuart School of Business, Illinois Institute of Technology, Chicago, Illinois 60661;
Search for more papers by this author
,
Ginger Zhe Jin
Ginger Zhe Jin
[email protected]
https://orcid.org/0000-0001-7912-3780
Department of Economics, University of Maryland, College Park, Maryland 20742;National Bureau of Economic Research, Cambridge, Massachusetts 02138
Search for more papers by this author
,
Liad Wagman
Corresponding Author
Liad Wagman
[email protected]
https://orcid.org/0000-0002-1570-4858
Stuart School of Business, Illinois Institute of Technology, Chicago, Illinois 60661;
Search for more papers by this author

Stuart School of Business, Illinois Institute of Technology, Chicago, Illinois 60661;

Department of Economics, University of Maryland, College Park, Maryland 20742;National Bureau of Economic Research, Cambridge, Massachusetts 02138

Search for more papers by this author

Liad Wagman

Corresponding Author

Liad Wagman

[email protected]

https://orcid.org/0000-0002-1570-4858

Stuart School of Business, Illinois Institute of Technology, Chicago, Illinois 60661;

Search for more papers by this author

Published Online:1 Mar 2021https://doi.org/10.1287/mksc.2020.1271

Supplemental Material

mksc.2020.1271.sm1.pdf

The replication files for this article are available HERE.

Cited by
- Privacy concerns and digital engagement: Evidence from a national panel survey
  Information Economics and Policy, Vol. 73
- The coevolution of financial and technological innovations
  Research Policy, Vol. 55, No. 7
- Competing for consumer data and privacy: A unified framework for data collection and protection
  European Journal of Operational Research, Vol. 332, No. 3
- Privacy concerns and data rights regulation in digital markets
  European Journal of Operational Research, Vol. 333, No. 1
- Unintended effects of Digital Market Act on new entry and investment
  14 August 2025 | Digital Policy, Regulation and Governance, Vol. 28, No. 4
- How data barriers shape international strategy
  25 November 2025 | Global Strategy Journal, Vol. 16, No. 2
- Digital Service Trade Connectedness and Outward Foreign Direct Investment: Evidence from China
  International Review of Economics & Finance, Vol. 40
- Privacy Regulation and Fintech Lending
  Sebastian Doerr,
  Leonardo Gambacorta,
  Luigi Guiso,
  Marina Sanchez del Villar
  27 April 2026 | Management Science, Vol. 0, No. 0
- Customer data privacy & security as a firm strategy: financial implications, risks, and the role of product-market competition
  Journal of Business Research, Vol. 208
- Innovation and the GDPR: Much ado about quite a lot
  Computer Law & Security Review, Vol. 60
- Unleashing new-quality productive forces: Reconsidering the impact of data-factor marketization
  International Review of Economics & Finance, Vol. 107
- How does privacy protection affect the innovation performance of artificial intelligence corporations: empirical evidence from the personal information protection law
  International Review of Economics & Finance, Vol. 107
- The impact of government data disclosure on corporate green innovation: a quasi-natural experiment of public data openness
  21 March 2026 | Environment, Development and Sustainability, Vol. 369
- The catalytic power of compliance: evaluating the impact of China’s Personal Information Protection Law on corporate value chain upgrading
  15 March 2026 | Applied Economics, Vol. 36
- Does Privacy Regulation Harm Content Providers? A Longitudinal Analysis of the Impact of the GDPR
  Vincent Lefrere,
  Logan Warberg,
  Cristobal Cheyre,
  Veronica Marotta,
  Alessandro Acquisti
  11 July 2025 | Management Science, Vol. 72, No. 3
- Website cookies and voluntary disclosure
  Journal of Accounting and Economics, Vol. 100
- Cross-border data flow regulation and multinational enterprise financing constraints: A pre-registered report
  Pacific-Basin Finance Journal, Vol. 97
- Regulation as opportunity: proactive GDPR compliance in the US financial services industry
  11 November 2025 | Industrial and Corporate Change, Vol. 35, No. 1
- Cybersecurity legislation and corporate AI adoption: Evidence from China—A pre-registered report
  Pacific-Basin Finance Journal, Vol. 95
- Website Cookies and Voluntary Disclosure
  1 January 2026 | SSRN Electronic Journal, Vol. 100
- Customer Data and Cost Structure: Evidence from Data Privacy Regulation
  1 January 2026 | SSRN Electronic Journal
- Antitrust Platform Regulation and Entrepreneurship: Evidence from China
  Ke Rong,
  D. Daniel Sokol,
  Di Zhou,
  Feng Zhu
  7 November 2025 | Management Science, Vol. 0, No. 0
- Frontiers: The Intended and Unintended Consequences of Privacy Regulation for Consumer Marketing
  Jean-Pierre Dubé,
  John G. Lynch,
  Dirk Bergemann,
  Mert Demirer,
  Avi Goldfarb,
  Garrett Johnson,
  Anja Lambrecht,
  Tesary Lin,
  Anna Tuchman,
  Catherine Tucker
  5 August 2025 | Marketing Science, Vol. 44, No. 5
- Consumer Privacy in Online Retail Supply Chains
  Fasheng Xu,
  Xiaoyu Wang,
  Fuqiang Zhang
  29 January 2025 | Management Science, Vol. 71, No. 10
- Customer Concentration and Suppliers’ Blockchain Technology Adoption: Evidence from China
  13 April 2025 | Production and Operations Management, Vol. 34, No. 10
- Privacy protection laws, national culture, and artificial intelligence innovation around the world
  4 July 2025 | Journal of International Business Studies, Vol. 56, No. 7
- Delaying Informed Consent: An Empirical Investigation of Mobile Apps’ Upgrade Decisions
  Raveesh Mayya,
  Siva Viswanathan
  2 December 2024 | Management Science, Vol. 71, No. 8
- The Bright Side of the GDPR: Welfare-Improving Privacy Management
  Chongwoo Choe,
  Noriaki Matsushima,
  Shiva Shekhar
  21 November 2024 | Management Science, Vol. 71, No. 8
- Does Firm Size Influence the Collection of Sensitive Data?: A Study of Child-Orientated Apps
  2 July 2025
- Navigating digital frontiers: The impact of China's cybersecurity law on corporate digital innovation
  International Review of Financial Analysis, Vol. 103
- Industry 4.0 enabled calorimetry and heat transfer for renewable energy systems
  iScience, Vol. 28, No. 7
- Impact of the General Data Protection Regulation on the Global Mobile App Market: Digital Trade Implications of Data Protection and Privacy Regulations
  Ziru Li,
  Gunwoong Lee,
  T. S. Raghu,
  Zhan (Michael) Shi
  7 June 2024 | Information Systems Research, Vol. 36, No. 2
- The Race for Data: Utilizing Informative or Persuasive Cues to Gain Opt-In?
  24 January 2025 | Journal of Marketing, Vol. 89, No. 3
- The Dark Side of Voluntary Data Sharing
  1 March 2025 | MIS Quarterly, Vol. 49, No. 1
- Regulating data: Evidence from corporate America
  14 July 2024 | Journal of Business Finance & Accounting, Vol. 52, No. 1
- Preserving the Institutional Value of the FTC in the Digital Era
  21 August 2024 | Review of Industrial Organization, Vol. 66, No. 1
- Algorithmic Pricing with Restricted Consumer Characteristics
  1 January 2025 | SSRN Electronic Journal, Vol. 132
- Privacy Regulations
  1 January 2025 | SSRN Electronic Journal, Vol. 13
- Breaking the Data Chain: The Ripple Effect of Data Sharing Restrictions on Financial Markets
  1 January 2025 | SSRN Electronic Journal, Vol. 59
- Data privacy regulation and cross-border e-commerce
  27 July 2024 | Empirica, Vol. 51, No. 4
- Can the establishment of a personal data protection system promote corporate innovation?
  Research Policy, Vol. 53, No. 9
- A roadmap to achieving a healthier information ecosystem through GDPR implementation and privacy compliance technologies
  28 February 2024 | Journal of the Association for Information Science and Technology, Vol. 75, No. 10
- Optimal Service Strategies of Online Platform Based on Purchase Behavior
  30 September 2024 | Sustainability, Vol. 16, No. 19
- Regulating data platforms from a value of data approach
  3 September 2024 | Digital Policy, Regulation and Governance, Vol. 124
- The effect of cybersecurity legislation on firm cost behavior: Evidence from China
  Pacific-Basin Finance Journal, Vol. 86
- Policy and Infrastructure for Data Privacy and Data Protection in South Indian States: Issues and Prospects
  29 August 2024 | Indian Journal of Public Administration, Vol. 70, No. 3
- Big data and inter-firm wage disparities: theory and evidence from China
  4 July 2024 | Economic Change and Restructuring, Vol. 57, No. 4
- Solving the Problem of Market Failure Associated with Data Scraping: The Behavior Regulatory Pattern
  Journal of Legal Affairs and Dispute Resolution in Engineering and Construction, Vol. 16, No. 3
- Privacy regulation and firm performance: Estimating the GDPR effect globally
  4 March 2024 | Economic Inquiry, Vol. 62, No. 3
- Why generative AI can make creative destruction more creative but less destructive
  16 November 2023 | Small Business Economics, Vol. 63, No. 1
- The impact of the EU General data protection regulation on product innovation
  30 October 2023 | Industry and Innovation, Vol. 31, No. 3
- The rise of empirical online platform research in the new millennium
  18 December 2023 | Journal of Economics & Management Strategy, Vol. 33, No. 2
- The Early Impact of GDPR Compliance on Display Advertising: The Case of an Ad Publisher
  23 June 2023 | Journal of Marketing Research, Vol. 61, No. 1
- Regulating Privacy Online: An Economic Evaluation of the GDPR
  American Economic Journal: Economic Policy, Vol. 16, No. 1
- Intermediaries in the Online Advertising Market
  Anna D’Annunzio,
  Antonio Russo
  31 March 2023 | Marketing Science, Vol. 43, No. 1
- Does Privacy Regulation Harm Content Providers?  A Longitudinal Analysis of the Impact of the GDPR
  1 January 2024 | SSRN Electronic Journal, Vol. 50
- Antitrust Platform Regulation and Entrepreneurship: Evidence from China
  1 January 2024 | SSRN Electronic Journal, Vol. 6
- Consumers’ Perceived Privacy Violations in Online Advertising
  1 January 2024 | SSRN Electronic Journal, Vol. 54
- Toward a Global Approach to Data in the Digital Age
  1 January 2024 | SSRN Electronic Journal, Vol. 54
- The Intended and Unintended Consequences of Privacy Regulation for Consumer Marketing: A Marketing Science Institute Report
  1 January 2024 | SSRN Electronic Journal, Vol. 375
- The Value of Sharing Market Data through Data Analytics on Digital Platforms: Empower Small Businesses on Alibaba's Taobao Marketplace
  1 January 2024 | SSRN Electronic Journal, Vol. 42
- Hierarchical Rule Compliance Check Method for Distributed Query
- Anonymity and Online Search: Measuring the Privacy Impact Of Google’s 2012 Privacy Policy Change
  22 November 2023 | Review of Law & Economics, Vol. 19, No. 3
- Privacy and Market Concentration: Intended and Unintended Consequences of the GDPR
  Garrett A. Johnson,
  Scott K. Shriver,
  Samuel G. Goldberg
  10 March 2023 | Management Science, Vol. 69, No. 10
- The Economics of Digital Privacy
  Annual Review of Economics, Vol. 15, No. 1
- Putting Data Privacy Regulation into Action: The Differential Capabilities of Service Frontline Interfaces
  29 November 2022 | Journal of Service Research, Vol. 26, No. 3
- Compliance costs and productivity: an approach from working hours
  4 June 2023 | Journal of Regulatory Economics, Vol. 63, No. 3
- Privacy regulation and online concentration during demand peaks: evidence from the E-commerce sector
  19 December 2022 | Journal of Industrial and Business Economics, Vol. 50, No. 2
- Digital Privacy: GDPR and Its Lessons for Australia
  16 February 2023 | Australian Economic Review, Vol. 56, No. 2
- User Privacy Awareness, Incentive and Data Supply Chain Pricing Strategy
  12 February 2023 | Sustainability, Vol. 15, No. 4
- Privacy Regulation and Fintech Lending
  1 January 2023 | SSRN Electronic Journal, Vol. 54
- The Economics of Digital Privacy
  1 January 2023 | SSRN Electronic Journal, Vol. 109
- The Bright Side of the GDPR: Welfare-Improving Privacy Management
  1 January 2023 | SSRN Electronic Journal, Vol. 14
- Small Firms and Digital Platforms
  1 January 2023 | SSRN Electronic Journal, Vol. 1
- Preserving the Institutional Value of the FTC in the Digital Era
  1 January 2023 | SSRN Electronic Journal, Vol. 59
- Data Protection, Cookie Consent, and Prices
  1 December 2022 | Economies, Vol. 10, No. 12
- The Impact of Privacy Regulation on Web Traffic: Evidence From the GDPR.
  Information Economics and Policy, Vol. 61
- Digital technologies: tensions in privacy and data
  5 March 2022 | Journal of the Academy of Marketing Science, Vol. 50, No. 6
- How Do Privacy Laws Impact the Value for Advertisers, Publishers and Users in the Online Advertising Market? A Comparison of the EU, US and China
  16 September 2022 | Journal of Creating Value, Vol. 8, No. 2
- Online privacy and market structure: Theory and evidence
  Information Economics and Policy, Vol. 60
- E-Privacy Issues in the Smart Cities Environment
- Regulatory Spillovers and Data Governance: Evidence from the GDPR
  Christian Peukert,
  Stefan Bechtold,
  Michail Batikas,
  Tobias Kretschmer
  15 February 2022 | Marketing Science, Vol. 41, No. 4
- Consumer Consent and Firm Targeting After GDPR: The Case of a Large Telecom Provider
  Miguel Godinho de Matos,
  Idris Adjerid
  8 September 2021 | Management Science, Vol. 68, No. 5
- Privacy and Consumer Empowerment in Online Advertising
  25 January 2022 | Foundations and Trends® in Marketing, Vol. 15, No. 3
- Consumer Privacy in Online Retail Supply Chains
  SSRN Electronic Journal, Vol. 14
- Privacy, Data and Competition: The Case of Apps for Young Children
  SSRN Electronic Journal, Vol. 54
- The Impact of Apple's App Tracking Transparency on App Monetization
  SSRN Electronic Journal, Vol. 54
- Gdpr and the Lost Generation of Innovative Apps
  1 January 2022 | SSRN Electronic Journal, Vol. 54
- Digital Privacy: GDPR and Its Lessons for Australia
  SSRN Electronic Journal, Vol. 14
- The Race for Data: Gaming or Being Gamed By the System?
  SSRN Electronic Journal, Vol. 11
- Economic Research on Privacy Regulation: Lessons From the GDPR and Beyond
  SSRN Electronic Journal, Vol. 54
- Economic Research on Privacy Regulation: Lessons from the Gdpr and Beyond
  1 January 2022 | SSRN Electronic Journal, Vol. 54
- 'In situ' data rights
  19 November 2021 | Communications of the ACM, Vol. 64, No. 12
- Effective Strategy for Digital Communication Channel Migration: Field Evidence from the Insurance Industry
  SSRN Electronic Journal, Vol. 347
- Privacy Laws and Value of Personal Data
  SSRN Electronic Journal, Vol. 54
- The Supply and Demand for Data Privacy: Evidence from Mobile Apps
  SSRN Electronic Journal, Vol. 50
- The Impact of Privacy Concern on Consumer Behavior
  SSRN Electronic Journal, Vol. 14
- European Privacy Law and Global Markets for Data
  SSRN Electronic Journal, Vol. 65
- The Impact of Privacy Laws on Online User Behavior
  SSRN Electronic Journal, Vol. 59
- Regulating Privacy Online: The Early Impact of the GDPR on European Web Traffic & E-Commerce Outcomes
  SSRN Electronic Journal, Vol. 105
- GDPR and the Localness of Venture Investment
  SSRN Electronic Journal, Vol. 23
- Delaying Informed Consent: An Empirical Investigation of Mobile Apps' Upgrade Decisions
  SSRN Electronic Journal, Vol. 100
- Privacy & Market Concentration: Intended & Unintended Consequences of the GDPR
  SSRN Electronic Journal, Vol. 62
- The Differential Effects of New Privacy Protections on Publisher and Advertiser Profitability
  SSRN Electronic Journal, Vol. 54
- The Business of AI Startups
  SSRN Electronic Journal, Vol. 159

Volume 40, Issue 4

July-August 2021

Pages 593-812, ii

Article Information

Supplemental Material

Metrics

Information

Received:June 22, 2019
Accepted:July 17, 2020
Published Online:March 01, 2021

Cite as

Jian Jia , Ginger Zhe Jin , Liad Wagman (2021) The Short-Run Effects of the General Data Protection Regulation on Technology Venture Investment. Marketing Science 40(4):661-684.

https://doi.org/10.1287/mksc.2020.1271

Keywords

PDF download

Available Issues

Available Issues

Available Issues

Available Issues

Available Issues

Available Issues

The Short-Run Effects of the General Data Protection Regulation on Technology Venture Investment

Supplemental Material

Volume 40, Issue 4

Article Information

Supplemental Material

Metrics

Information

Cite as

Keywords

Sign Up for INFORMS Publications Updates and News