Growth Development Paths of Firms-A Study of Smaller Businesses

Thomas Brenner · Antje Schimke

48 citations0/0 files storedJournal of Small Business Management

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Firm Innovation and Growth Entrepreneurship Studies and Influences Economic and Industrial Development

Abstract

This paper investigates whether firm characteristics that are related to firm growth in the literature are also related to the development path of firms. This means that we test which firm characteristics accompany growth dynamics during a longer period of time, referring to the sequence of growth and decline steps. We examine three variables: firm size, innovation effort, and export share. To this end, we use panel data on 178 German manufacturing firms over the period from 1992 to 2007. We find that the determinants of growth paths are not the same as the determinants of firm growth at one point in time.

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References

1937The Nature of the Firm 1995The Theory of the Growth of the Firm 1977The Population Ecology of Organizations 1995Understanding the small business sector 1998Is Learning by Exporting Important? Micro-Dynamic Evidence from Colombia, Mexico, and Morocco 2003Arriving at the high-growth firm 2003Strategic decision speed and firm performance 2008Gazelles as Job Creators - A Survey and Interpretation of the Evidence

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